Supply and demand in a nutshell by Alfonso Moreno | Page 170 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Supply and Demand Zones 57 replies

Price movement as a function of Supply and Demand 43 replies

Supply and demand zones and EW principles 1 reply

How Markets Work, in a Nutshell! 32 replies

Demand and Supply 1 reply

Attachments: Supply and demand in a nutshell by Alfonso Moreno
Exit Attachments

Supply and demand in a nutshell by Alfonso Moreno

  • #3,381
  • Oct 29, 2013 6:17am Oct 29, 2013 6:17am
Quoting GregT
{quote} With that thought in mind, I am prepared to start compiling FAQs for this forum and post them on a suitable wiki or social media site that we can all access, so that those who feel inclined, can contribute their experiences to improve the quality of the answers, so we can improve our own trading and provide a single resource to the new thread subscribers. We will eventually have a great resource that is created from crowd sourcing. Who wants to be part of that idea?
This is a good idea Greg, it will help a lot of traders that wants to learn S&D Method. Just layout the plan how to start and the rest will follow.


Quoting GregT
{quote} Thanks so much April. I would really appreciate any feedback you would be able to offer when I post up any charts.
Don't worry Greg, the storm had passed. Help is on the way.
SMT, IPDA, Market Structure
  • #3,382
  • Oct 29, 2013 6:30am Oct 29, 2013 6:30am
Quoting GregT
{quote} I am prepared to start compiling FAQs generated by subscribers to this forum and post them on a suitable wiki or social media site that we can all access, so that those who feel inclined, can contribute their experiences to improve the quality of the answers, so we can improve our own trading and provide a single resource to the new thread subscribers. We will eventually have a great resource that is created from crowd sourcing. Who wants to be part of that idea?
I have my own notes on this thread, willing to share any info on FAQ's.
It never gets easier, you just get better
  • #3,383
  • Oct 29, 2013 6:57am Oct 29, 2013 6:57am
Quoting Shabs19
{quote} I have my own notes on this thread, willing to share any info on FAQ's.
Quoting isko
{quote} This is a good idea Greg, it will help a lot of traders that wants to learn S&D Method. Just layout the plan how to start and the rest will follow.
Excellent, thanks Shabs / Isko.

I will keep monitoring this thread for specific questions that get posted and start to compile a list of questions into an interactive social media tool that we can all use to contribute answers.

I have some experience using Google Groups which could work with some limitations, but I am trying to read up on how to administer a wiki because I think that is a more useful tool for collaboration activities. Or it could be as simple as a WORD document stored as a public dropbox file.

Does anyone else have any thoughts on any online collaborative tools we could use to collate a list of FAQs that would allow inclusion of pictures / images along with text?
  • #3,384
  • Oct 29, 2013 7:20am Oct 29, 2013 7:20am
Quoting GregT
{quote} Rami's point about \"hard work\" is one that I wish to expand on ... I can do more hard work than anyone else, but until I get access to a mentor who is actually achieving success with the same strategy I am trading, I will never know whether my hard work is effective or not. Sure, I might start getting profitable results after many months / years of trying hard, but access to quality advice, as early as possible, will enable me to avoid going off on tangents and wasting my time. With that thought in mind, I am prepared to start compiling...

Good idea, how about also including money/trade management so anyone with a good plan can share.
  • #3,385
  • Oct 29, 2013 7:55am Oct 29, 2013 7:55am
Quoting GregT
{quote} {quote} Excellent, thanks Shabs / Isko. I will keep monitoring this thread for specific questions that get posted and start to compile a list of questions into an interactive social media tool that we can all use to contribute answers. I have some experience using Google Groups which could work with some limitations, but I am trying to read up on how to administer a wiki because I think that is a more useful tool for collaboration activities. Or it could be as simple as a WORD document stored as a public dropbox file. Does anyone else have...
Appreciate your effort in keeping this thread going. Thank you.
  • #3,386
  • Oct 29, 2013 9:10am Oct 29, 2013 9:10am
Good to see positive posts in a great thread.
DM if you have any questions
  • #3,387
  • Oct 29, 2013 11:06am Oct 29, 2013 11:06am
Quoting GregT
Anyone following the EURCAD? I would be interested in comparing my Weekly Big Picture markup below to anyone else's Questions I would appreciate feedback on: 1) Do you think I missed any Weekly zones? 2) Have I marked the zone boundaries appropriately? 3) Is the Demand Zone \\"in control\\", a valid zone I should be planning to trade? (or should it be the lower DZ at 1.2188) {image} I am Swing Trading using: Weekly - Big Picture TF Daily - trend lines H4 - execution TF.
Hi Greg!

Thanks for trying again. I looked at your charts and then analyzed the Eur/Cad on my platform. Just remember I consider myself still a beginner. In my opinion I think your levels are good however you are missing some. To answer your questions. 1. Yes, 2. Looks like you did good, 3. I think Supply is still in Control, I think this pair should not be traded until the weekly supply has been broken. See screenshots below. Please anyone correct if I am wrong in my analysis.
Attached Image(s) (click to enlarge)
Click to Enlarge Name: Image1.png Size: 78 KB
Click to Enlarge Name: Image2.png Size: 57 KB
  • #3,388
  • Edited 11:26am Oct 29, 2013 11:10am | Edited 11:26am
Below: Wider shot of my H4 chart - Not all my levels are drawn, I only drew the ones closest to price.
Attached Image (click to enlarge)
Click to Enlarge Name: Image1.png Size: 162 KB
  • #3,389
  • Oct 29, 2013 1:58pm Oct 29, 2013 1:58pm
Quoting aprilnparker
{quote} Hi Greg! Thanks for trying again. I looked at your charts and then analyzed the Eur/Cad on my platform. Just remember I consider myself still a beginner. In my opinion I think your levels are good however you are missing some. To answer your questions. 1. Yes, 2. Looks like you did good, 3. I think Supply is still in Control, I think this pair should not be traded until the weekly supply has been broken. See screenshots below. Please anyone correct if I am wrong in my analysis. {image} {image}
On my broker the WK supply area was overshot by 4 pips, was it on yours as well April? So the WK supply is no longer valid.
Alfonso
Set and Forget supply and demand trading community
  • #3,390
  • Oct 29, 2013 2:24pm Oct 29, 2013 2:24pm
thanks for the hard work and the thread. But.......

if you feel lost and alone in the dark, come have fun and see clear again.

no bs, no monthly fee, traders helping traders, for free.

results, progress, no chit-chat.

let the traders speak by themselves.

SUPPLY AND DEMAND RULES.

one place:

www.acegazette.com
Hello.
  • #3,391
  • Oct 29, 2013 3:16pm Oct 29, 2013 3:16pm
Quoting Gxp1
{quote} Good idea, how about also including money/trade management so anyone with a good plan can share.
Thanks Gxp - that would be very useful for new traders as it would immediately set their approach down a path that we all know will be ultra important to preserve their account capital. I should be able to lay out the FAQs into themes so it will be easier to locate multiple questions relating to the same theme.
  • #3,392
  • Oct 29, 2013 3:20pm Oct 29, 2013 3:20pm
Quoting panoramia
{quote} On my broker the WK supply area was overshot by 4 pips, was it on yours as well April? So the WK supply is no longer valid. Alfonso

Hi Alfonso,

I am still showing it hasn't yet. Could be how I drew the level too. I attached what I am seeing on my chart as well as the level I drew. Let me know what you see.

Thanks
April
Attached Image(s) (click to enlarge)
Click to Enlarge Name: Image1.png Size: 58 KB
Click to Enlarge Name: Image2.png Size: 59 KB
  • #3,393
  • Oct 29, 2013 3:57pm Oct 29, 2013 3:57pm
Quoting panoramia
{quote} On my broker the WK supply area was overshot by 4 pips, was it on yours as well April? So the WK supply is no longer valid. Alfonso

Actually, When I zoom into max I think I am seeing the break of the weekly supply. I barely saw this. It appears the level has been negated. In this case, I would say that Demand is now in control.
Attached Image (click to enlarge)
Click to Enlarge Name: Image1.png Size: 42 KB
  • #3,394
  • Oct 29, 2013 6:40pm Oct 29, 2013 6:40pm
Is there a multi-time frame SuppDem indicator for MT4 somewhere? I don't mind paying for it if I knew a commercial source. There is one for Ninjatrader.
  • #3,395
  • Oct 29, 2013 6:53pm Oct 29, 2013 6:53pm
Quoting FxSwordfish
Is there a multi-time frame SuppDem indicator for MT4 somewhere? I don't mind paying for it if I knew a commercial source. There is one for Ninjatrader.
Here's one I use.
I would like to have any sup/dem indicator you have for Ninjatrader.
Thanks
Attached File(s)
File Type: mq4 SD_HTFS_SupplyDemand v2.mq4   30 KB | 1,548 downloads
  • #3,396
  • Edited Oct 30, 2013 12:36am Oct 29, 2013 7:02pm | Edited Oct 30, 2013 12:36am
The single biggest problem that traders will face is what is between their ears. This, above all else, will keep you from being successful. Whether you agree or disagree with Alfonso, or Sam, or anyone else trying to show you what they are doing, is really not the point.


It is: What can I learn from this method or system? Does it work for me? Does any part of it work for me? What little nugget will move my account, live, demo or otherwise, in a profitable direction?


There are those, like me, who have been at this game a long time, 13 years to be exact... Early on... GREAT success... then GREAT failure... literally lost it all... 10's of 1000's of $$$, my personal life.... all of it, gone! So I went back to the drawing board... eventually I was able to re capitalized myself. Lot of directional changes in methods, systems, concepts along the way... The whole time missing the point of why I failed and continued to fail for a long time.


Over the course of time I realized that it was not so much the method or system, as is was what was between my ears. My attitude, my ego...allowing myself to operate from an emotional point of view... Positive or Negative … has dramatic effects on your ability to trade profitably...I had to REWIRE my thinking. For so many years I thought all that stuff was just a bunch of psycho babble...I had convinced myself: “If I could just find a method that works”... I mean "really works"... I KNOW I can be successful... Sound familiar???...!!! Yes you might be... for a while... as I was. But then, things start to change, and the mind games begin. Don’t kid yourself; they happen…even to this day... I just control them a lot better… most just make a brief appearance, and go bye bye. Ever notice those at the top of their game all have coaches to some degree. Trading is no different.

Some say trading is 90% mental and 10% method... I may not use those exact numbers but, the point is, the mental side is actually more important than the method side.


The point: Do not allow yourself to get caught up in all this. If what Alfonso, Sam or anyone else teaches has value to you... use it. If not, discard it. I am not here to defend, criticize, carry the banner, or deface. I am simply here looking for what I can use... What can I learn? Trading is a journey, not a destination. You can look at my previous trades and see I trade a bit differently that Alfonso, Sam and many other SD Traders. Some agree with my trading style…some will disagree. You may end up trading this method...Why?? Because it works for you... then again, you may move off an end up trading something completely different… EA’s, Indicators... Whatever??


So where is the EDGE??? Between your ears... IMHO it is the Grail, if there is such a thing?? No matter what method you choose, the constant is the mental aspect of YOUR trading. What you think, how you think, why you think.


Whether you agree or disagree with the different points of view... What did you BLOODY learn? Can you assimilate it into your own trading?... It’s all that matters!


Some people on FF are great teachers. Some may be great traders... Some may even be both. I have learned that keeping myself mentally right gives me that edge... And when I don’t... I get totally trashed.


Stay focused... Trade what works for you... Discard what does not work for you. ....... The key word here is YOU!


Lastly, this talk of statements, I have shown my statement only a few times and only in person… With people I personally have known for some time. I have physically looked at few others. One person wanted me to trade his money… I passed. Why would anyone, in their right mind, post a statement online is beyond me. The risk is too great.

Some will get this...Some will not.


Good trading to all



TSD


  • #3,397
  • Oct 29, 2013 7:10pm Oct 29, 2013 7:10pm
Quoting TraderinSD
The single biggest problem that traders will face is what is between their ears. This, above all else, will keep you from being successful. Whether you agree or disagree with Alfonso, or Sam, or anyone else trying to show you what they are doing, is really not the point. It is: What can I learn from this method or system? Does it work for me? Does any part of it work for me? What little nugget will move my account, live, demo or otherwise, in a profitable direction? There are those, like me, who have been at this game a long time, 13 years to be...

Thanks!
  • #3,398
  • Oct 29, 2013 8:28pm Oct 29, 2013 8:28pm
Quoting srt
{quote} Here's one I use. I would like to have any sup/dem indicator you have for Ninjatrader. Thanks {file}
I only found this video hxxp://www.youtube.com/watch?v=oLtini8zU-g but I don't have the indicator.
  • #3,399
  • Edited 9:55am Oct 30, 2013 1:33am | Edited 9:55am
Attached Image (click to enlarge)
Click to Enlarge Name: JPY 10.24 Long #1.JPG Size: 119 KB


Here's a trade I took at the beginning of the week. Daily view. You will notice I use Alfonso's Curve slightly different. He is what I mean about taking an idea and fitting it to your trading. This was also fade of a BIG ROUND NUMBER.. Those of your who have traded with KL will see him fade BRN's

Attached Image (click to enlarge)
Click to Enlarge Name: JPY 10.24 Long #2.JPG Size: 104 KB


30M View

Attached Image (click to enlarge)
Click to Enlarge Name: JPY 10.24 Long #3.JPG Size: 90 KB


Entered Long on a 2 lot = MO. Yes, this was a tad early but that's OK. Was trying to catch it at the top of the level .. the R/R is still right. I am not so concerned with exact entries as I am proper R/R. So if I am a little early or late, as long as the R/R is right and I have high confidence in the level, we take the trade. Took me a long time to get past the idea of exact entries. Don't get me wrong, there nice when they happen but proper risk, direction, confluence or whatever you use, will be more a determining factor on your profitability than an exact entry....It takes a REWIRE to embrace this. And yes, I have heard all the excuses

Thought process:

1) Aggressive move into a 30M level
2) Volume supported move short into the level ( yes I use volume.. but not in the traditional way..it about the context )
3) BRN on top of the 30M level. IMHO a solid Demand "AREA".. ( we have Demand and Support in the same AREA ) I will use both S/R and S/D. I define them as different.. There are those who will disagree.
4) Distance to the next logical Supply Level offered a 2:1 R/R. I am of the opinion the price moves between Supply and Demand creating targets. Its nice when there is no SD Level "on the way" to your TP. If there is?? you might want to consider taking a partial as you will most likely see a stall. Same holds true with S/R levels. Very strong S/R Level can be great TP target as well as Partial TP's along the way. Ignoring SR levels while in a trade "IMHO" can play havic with your trade and overall profitability
It all about confluence.. How many chips can I put in my favor

Attached Image (click to enlarge)
Click to Enlarge Name: JPY 10.24 Long #4.JPG Size: 83 KB


Exited my 2 lot..60 pips total

Good trading to all

TSD
  • #3,400
  • Edited 7:00am Oct 30, 2013 2:21am | Edited 7:00am
Quoting GregT
{quote} {quote} I will keep monitoring this thread for specific questions that get posted and start to compile a list of questions into an interactive social media tool that we can all use to contribute answers. I have some experience using Google Groups which could work with some limitations
The FAQ Group is up and running

For those who wish to participate please visit https://groups.google.com/d/forum/su...nd-faq-alfonso

This Group will NOT be listed in the Google Directory

You will be asked to provide your Forex Factory status name (e.g. my status name shows up as GregT) so that I, as the owner of the Group, can confirm you are a subscriber (and preferably a contributor) to this forum and have previously shown some positive interest in asking questions or exposing your trading intentions as a contribution to the success of the other subscribers in this forum.

I have set the Group up as a Collaborative inbox, which apparently "allows members of a group to manage the workflow state of topics within the group". These groups have specific features and permissions set. This seemed to be what I was looking for in a collaborative FAQ tool, so we shall see how that goes for now and can change it later if required. An example of the POST page is attached.

Lets use this Group constructively to develop high quality answers to the trading questions raised by the subscribers to this thread.

Please:

  1. act respectfully to others in the Group
  2. Welcome all contributions to ensure our answers consider all options
  3. Participate in voting to help us decide what answers should be maintained.
  4. Contribute often as your answers might just be the missing link that switches on the light for others
  5. and tag your images and inputs with your Forex Factory status name so that we all know who to give credit too and possible a voucher.

Let the Q&A begin...

Attached Image (click to enlarge)
Click to Enlarge Name: Posting_to_S-D_FAQ_Group.png Size: 98 KB
6 traders viewing now