Price Action made simple with Supply and Demand levels | Page 27 | Forex Factory

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Price Action made simple with Supply and Demand levels

  • #521
  • Oct 31, 2013 7:05am Oct 31, 2013 7:05am
Quoting TraderBen
{quote} I would ask myself: 1. Is it a fresh level - yes 2. Was there a strong move from level - not really (especially not on a M15 chart - always study the level on smaller timeframes) 3. Is the risk reward a minimum of 3:1- yes 4. Is it with with the big picture trend (eg. H4/D1) - no 5. How much time did price spend at the level - not much on a H1 chart but quite a lot on a M15 and M5 chart 6. How did price arrive at the level - don't know yet For me the level isn't high probability enough because of 2, 4 and 5 above. Like Thomaas I only take...

Hi TraderBen,

4. Is it with with the big picture trend (eg. H4/D1) - no
Thank you for explaination. Could u help me to identify trend USDJPY in daily since I'm quite confused not sure price moving north or south ?

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  • #522
  • Oct 31, 2013 7:11am Oct 31, 2013 7:11am
Quoting adriann
{quote} Example of it on EURO. weak and stronger zone. i also count what happend higher and recently. for me personaly stronger level is also coz it have flip on same price {image}
Thanks Adriann,
Understanding better S/D zones. Could u explain what it means " stronger level is also coz it have flip on same price " ?

Btw, then this zone for USDCHF is strong ?

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  • #523
  • Oct 31, 2013 7:42am Oct 31, 2013 7:42am
Quoting samsungs3
{quote} Hi TraderBen, 4. Is it with with the big picture trend (eg. H4/D1) - no Thank you for explaination. Could u help me to identify trend USDJPY in daily since I'm quite confused not sure price moving north or south ? {image}
I am not suprised that you are confused. To me it looks like an uptrend on H1 and H4 but consolidation on the D1. What makes me very wary is that it has recently hit a D1 Supply Level (higher timeframe levels are stronger) and so there is a danger that it will continue going down until it hits the D1 Demand Level below. It would have to break through the Demand Levels on the H4 and H1 charts it has hit now first though in order to keep going down.

I am confused too so I am just going to stay out and wait and see what happens at these H4 and H1 Demand Levels and look for high probability opportunities elsewhere in the meantime.
  • #524
  • Oct 31, 2013 8:23am Oct 31, 2013 8:23am
Quoting TraderBen
{quote} I am not suprised that you are confused. To me it looks like an uptrend on H1 and H4 but consolidation on the D1. What makes me very wary is that it has recently hit a D1 Supply Level (higher timeframe levels are stronger) and so there is a danger that it will continue going down until it hits the D1 Demand Level below. It would have to break through the Demand Levels on the H4 and H1 charts it has hit now first though in order to keep going down. I am confused too so I am just going to stay out and wait and see what happens at these H4...

By the way what a lot of people do is use a 20 period moving average. If the moving average is pointing up then they say the trend is up, or if it is pointing down then the trend is down. I don't because I prefer looking at market structure i.e higher highs and higher lows or visa versa.
  • #525
  • Oct 31, 2013 8:25am Oct 31, 2013 8:25am
Quoting TraderBen
{quote} I am not suprised that you are confused. To me it looks like an uptrend on H1 and H4 but consolidation on the D1. What makes me very wary is that it has recently hit a D1 Supply Level (higher timeframe levels are stronger) and so there is a danger that it will continue going down until it hits the D1 Demand Level below. It would have to break through the Demand Levels on the H4 and H1 charts it has hit now first though in order to keep going down. I am confused too so I am just going to stay out and wait and see what happens at these H4...

Thank you for your explaination ..... It's very useful
  • #526
  • Oct 31, 2013 11:19am Oct 31, 2013 11:19am
My GBP/AUD analysis:
http://gyazo.com/4757225473ca054de5a8aa0b168fafcd
it contain levels : 1D 8H 6H 4H 3H 2H 1H ( not in all of the TF there is a level , but that's the TFs that i will work from now for a better analysis!)
please check on your platform !
  • #527
  • Oct 31, 2013 12:55pm Oct 31, 2013 12:55pm
Quoting samsungs3
{quote} Thanks Adriann, Understanding better S/D zones. Could u explain what it means \" stronger level is also coz it have flip on same price \" ? Btw, then this zone for USDCHF is strong ? {image}
i meant bt that where also other support/resistance are together.
USDCHF thinkg Yes this would be stronger for me
  • #528
  • Oct 31, 2013 1:41pm Oct 31, 2013 1:41pm
usd cad a nice zone to go long
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  • #529
  • Oct 31, 2013 2:01pm Oct 31, 2013 2:01pm
Quoting kin89
usd cad a nice zone to go long {image}
it's a 1H demand level inside of an 8H demand .
8H:
http://gyazo.com/e883b382b07fbedff64d011fafb84f4b
1H:
http://gyazo.com/129eeb515cbacf95e213881e47381920
i wouldn't take that trade based solaly on the 1H because the level in the 1H is bad.
I'm taking it because it is 1H inside of an 8H level.
let's see how it goes.

EDIT:
it is also 38.2 fibo retracement level.
  • #530
  • Nov 1, 2013 3:02am Nov 1, 2013 3:02am
Quoting kin89
usd cad a nice zone to go long {image}
target hit congratulation
  • #531
  • Nov 1, 2013 3:30am Nov 1, 2013 3:30am
Quoting kin89
{quote} target hit congratulation
Good trade
  • #532
  • Nov 1, 2013 6:10am Nov 1, 2013 6:10am
Quoting adriann
{quote} i meant bt that where also other support/resistance are together. USDCHF thinkg Yes this would be stronger for me
It touched supply level. Now print a bear engulf. Let's see how far it goes ? I put here R:R 1:3

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  • #533
  • Nov 1, 2013 11:22am Nov 1, 2013 11:22am
Quoting samsungs3
{quote} It touched supply level. Now print a bear engulf. Let's see how far it goes ? I put here R:R 1:3 {image}
didn't reach your target and got stopped.
  • #534
  • Nov 1, 2013 12:42pm Nov 1, 2013 12:42pm
And... I'm back in the thread! :-)


Quoting kin89
usd cad a nice zone to go long {image}
Really nice catch, congratulation!

---

What do you guys think about this new level on EUR/GBP?

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(I recently switched from candlesticks to bar charts, and I really like it)
  • #535
  • Nov 1, 2013 12:44pm Nov 1, 2013 12:44pm
Trust you enjoyed your couple of days away!
  • #536
  • Nov 1, 2013 12:58pm Nov 1, 2013 12:58pm
Quoting thomaas
And... I'm back in the thread! :-) {quote} Really nice catch, congratulation! --- What do you guys think about this new level on EUR/GBP? {image} (I recently switched from candlesticks to bar charts, and I really like it)
realy bad in my opinion, A LOT of choppy before it and without higher TF confirmation.
  • #537
  • Nov 1, 2013 1:40pm Nov 1, 2013 1:40pm
Quoting thomaas
And... I'm back in the thread! :-)
Really good to see you back!!!!!
  • #538
  • Nov 1, 2013 2:18pm Nov 1, 2013 2:18pm
Quoting TraderBen
{quote} Really good to see you back!!!!!
Quoting Mickeyf
Trust you enjoyed your couple of days away!
Thanks! I realised that despite the few people who don't like what I do here, I was having fun. That's why I'm back!

Quoting interputure
{quote} realy bad in my opinion, A LOT of choppy before it and without higher TF confirmation.
You are right that's it's not a perfect level. But look at the price movement, this one is definitely "super strong"! The more I look this level, the more I like it.


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  • #539
  • Nov 1, 2013 3:04pm Nov 1, 2013 3:04pm
@thomaas

Am truly glad to see your posts when I woke up this morning (Saturday here)

RS
  • #540
  • Nov 2, 2013 5:34am Nov 2, 2013 5:34am
Quoting Gilamonster
fxbishop- You have the idea. Yes find your zone on a larger time frame then on the same workspace go to a shorter time frame. I use daily for tend Then 1hr to 4hr for major zones And 5 min to 15 min for setting my entry, stop and target. But you can do it on one chart too. I have done that as well. Just make sure you have a plan in place for each trade to minimize risk and how you will exit out if it goes in your favor.

Hi GilaMONSTER,
Yr post 240 did encourage questions, which I did desperately hv but hesitated due to disruptions to others, so here it goes. I hv been reading n looking at charts on every post but hv never understood why the zone levels are different frm how I hv applied them, n I hv been using the SupplyDemand methodology for a short while now. The way i understand it, a S zone will happen at a swing high n if that zone is retraced back to, that S zone is confirmed n hence getting ready for a Short entry with the latest strong Demand level as exit target (Strong meaning that price momentum left that D LEVEL compulsively) The reverse wud be applied for a Demand zone. H'ever I notice that almost all marked zone levels are never at the Swing Highs or Swing Low areas but mostly slightly above/below the Swing High/Swing Low areas.
Then I read yr this post where u mentioned D1 to sight trends-H4 or H1 to sight zones-M15-m5 for Entry/SL/Tg Exits, so now I'm wondering if all the zone levels drawn on all the posted charts are the levels on the entry timeframes rather than the identification/sighting higher timeframes of D1/H4/H1 etc. Kindly do adv, tks.
Next thing i'm puzzled is yr repeated adv to only use fresh S/D levels/zones. For me, I've only applied S/D zones for reverse trades, ie, RBD or DBR, never on continuation trends like RBR or DBD. That is probably why I do hv many losing trades, though on average I'm grossing abt 30% profits/yr. Bcos of my reversal trades method, n also to reduce too much clutter lines on charts that taxes my old eyes, I actually draw my zone levels lines from right to left whenever the charts reach SwingHigh/SwingLow, to search if the currently happening levels did coordinate with past similarly Supply/Demand strong reversal levels, n sometimes it may go back to even a couple of yrs since I only trade on D1 tframes. So, in my application method, I almost never get fresh levels but is in fact looking for previously visited areas, tho the more recent the better. Based on this do need yr adv/comments if I'm doing it the right way, etc.
Beg yr pardon for the long email n hope for yr patience n comments, tks.
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