Whoa! Chill out kid
Price Action in Day Trading by Dadas
- #3,342
- Oct 29, 2013 2:00pm Oct 29, 2013 2:00pm
- | Commercial User | Joined Sep 2012 | 3,282 Posts
Trade the facts, not opinions.
- #3,343
- Oct 31, 2013 5:13pm Oct 31, 2013 5:13pm
- | Commercial User | Joined Sep 2012 | 3,282 Posts
Trade the facts, not opinions.
Some trades with trend in last week, I based on D1, H1 or H4 BO level to setup stop pending order.
I watched PA & tried to hold trades to end of week if they not hit TP.
Many tks for your teaching, Mr. Dadas.
AU: 3 trades, ca +110 pips
EU: 5 trades, ca +215 pips
GU: 4 trades, ca +510 pips
GOLD: 4 trades, ca +250 pips
I watched PA & tried to hold trades to end of week if they not hit TP.
Many tks for your teaching, Mr. Dadas.
AU: 3 trades, ca +110 pips
EU: 5 trades, ca +215 pips
GU: 4 trades, ca +510 pips
GOLD: 4 trades, ca +250 pips
- #3,348
- Nov 5, 2013 5:36am Nov 5, 2013 5:36am
- | Commercial User | Joined Sep 2012 | 3,282 Posts
I can see that some of you are taking things straigthforward and doing great,
while others still don't know the SHT they are doing!
The PTECZ is the ultimate idea and it is the Potential Trend Ending Consolidation Zone.
If anyone still doesn't understand this, please read from the start, as many times as neccessary.
Break Out should also be clear. I mean, how difficult is it to understand that where the Price
Closes on a strong Trend, that is the Break Out Level, and then watch if Price is Breaking or Rejecting???
I know, there are so many PTECZ, smaller and bigger.
Which one is the important one for us?
I usually said that the important PTECZ is the one which proves to be the important one.
And, that statement was correct, because only the Price can show us the importance of any S/R or S/D Level.
However, my recent evaluations have led me to a very crucial understanding of the PTECZ.
There is always a PTECZ we will call "Controlling PTECZ" or "Base PTECZ".
Now, how do we find the "Base PTECZ"?
First, we define our 2 Timeframes:
1. Trend Tf,
2. Trade Tf.
The Trend Tf will serve us to identify the direction of our trades:
1. Long On Retrace (LOR),
2. Short On Retrace (SOR).
The Trade Tf is where we will actually plan out our Trade and execute it.
So, I choose:
1. Trend Tf = 240 (H4),
2. Trade Tf = 60 (H1).
And, I get to work:
I read Price Action.
On Friday Price has reached some important Floor/Support and stopped there.
Plotting a BO Line we can see that clearly.
On Market Opening Price filled a Gap, but still stopped at the same Support/BO Line.
Then, consolidated strongly on the same BO Line and Broke Up in a Bull Candle,
followed by another strong Bull Candle where it again stopped with a PTECZ and another PTECZ.
Thus, we get our new BO Lines:
Now, I have defined the Trend as Bullish and found the important BO Lines, so I switch to H1:
If you have been learning how to read Price Action as I describe it, you will see clearly what's going on.
You can, actually plan out your Trade now:
The Controlling or Base PTECZ is the one just at the BO Line, which is also the SL for our Long Trade.
The Entry Zone according to our Risk/Reward Ratio is anywhere from Long Bot Line to the Blue Line.
The TP is at the Risk/Reward Ratio Level.
All these Levels can be predefined for any given instrument just by common sense and analysis of what's typical.
However, if you fail to take the time and effort to learn to apply the basics, how can you ever start to know WTF you are actually doing???
while others still don't know the SHT they are doing!
The PTECZ is the ultimate idea and it is the Potential Trend Ending Consolidation Zone.
If anyone still doesn't understand this, please read from the start, as many times as neccessary.
Break Out should also be clear. I mean, how difficult is it to understand that where the Price
Closes on a strong Trend, that is the Break Out Level, and then watch if Price is Breaking or Rejecting???
I know, there are so many PTECZ, smaller and bigger.
Which one is the important one for us?
I usually said that the important PTECZ is the one which proves to be the important one.
And, that statement was correct, because only the Price can show us the importance of any S/R or S/D Level.
However, my recent evaluations have led me to a very crucial understanding of the PTECZ.
There is always a PTECZ we will call "Controlling PTECZ" or "Base PTECZ".
Now, how do we find the "Base PTECZ"?
First, we define our 2 Timeframes:
1. Trend Tf,
2. Trade Tf.
The Trend Tf will serve us to identify the direction of our trades:
1. Long On Retrace (LOR),
2. Short On Retrace (SOR).
The Trade Tf is where we will actually plan out our Trade and execute it.
So, I choose:
1. Trend Tf = 240 (H4),
2. Trade Tf = 60 (H1).
And, I get to work:
I read Price Action.
On Friday Price has reached some important Floor/Support and stopped there.
Plotting a BO Line we can see that clearly.
On Market Opening Price filled a Gap, but still stopped at the same Support/BO Line.
Then, consolidated strongly on the same BO Line and Broke Up in a Bull Candle,
followed by another strong Bull Candle where it again stopped with a PTECZ and another PTECZ.
Thus, we get our new BO Lines:
Now, I have defined the Trend as Bullish and found the important BO Lines, so I switch to H1:
If you have been learning how to read Price Action as I describe it, you will see clearly what's going on.
You can, actually plan out your Trade now:
The Controlling or Base PTECZ is the one just at the BO Line, which is also the SL for our Long Trade.
The Entry Zone according to our Risk/Reward Ratio is anywhere from Long Bot Line to the Blue Line.
The TP is at the Risk/Reward Ratio Level.
All these Levels can be predefined for any given instrument just by common sense and analysis of what's typical.
However, if you fail to take the time and effort to learn to apply the basics, how can you ever start to know WTF you are actually doing???
Trade the facts, not opinions.
- #3,350
- Edited 10:13am Nov 7, 2013 7:10am | Edited 10:13am
- | Joined Apr 2013 | Status: Trader | 149 Posts
What about this trade? Thatīs the way itīs supposed to work? I donīt know why the trade is so hard to see (draged in onto the screen) I hopyou can see the arrows closeto the latest candle?
It took some time but suddenly I can see the power of BO levels. The TP was Body ATR 6. Upper horizontal line. Unchecked!
It took some time but suddenly I can see the power of BO levels. The TP was Body ATR 6. Upper horizontal line. Unchecked!
- #3,351
- Nov 7, 2013 9:47am Nov 7, 2013 9:47am
- | Commercial User | Joined Sep 2012 | 3,282 Posts
Trade the facts, not opinions.
- #3,352
- Nov 7, 2013 9:51am Nov 7, 2013 9:51am
- | Commercial User | Joined Sep 2012 | 3,282 Posts
Trade the facts, not opinions.
- #3,354
- Nov 8, 2013 1:33am Nov 8, 2013 1:33am
- | Commercial User | Joined Sep 2012 | 3,282 Posts
Hello all I begun "to see" and I am very glad. For the moment, I haven't a chart to post here because for me is more difficult to post a chart then trade Dadas' price action. Of course, I made some errors, but I saw them, I understand them and I hope to not repeat. Like Dadas said, practise, practise, practise! With patience, perseverence and dilligence. I know that "Thank you, Dadas" is not enough but, for the moment, THANK YOU, DADAS
Trade the facts, not opinions.
Hi there,
is this also a valid analysis of BO levels?
Using BO levels as important zones on the chart. Here I marked BO levels of candles that broke out of consolidations. Does it matter if the BO level is bullish or bearish or do you just look at price and whether itīs breaking or rejecting the levels?
is this also a valid analysis of BO levels?
Using BO levels as important zones on the chart. Here I marked BO levels of candles that broke out of consolidations. Does it matter if the BO level is bullish or bearish or do you just look at price and whether itīs breaking or rejecting the levels?
- #3,356
- Nov 8, 2013 5:21am Nov 8, 2013 5:21am
- | Commercial User | Joined Sep 2012 | 3,282 Posts
Trade the facts, not opinions.
- #3,357
- Nov 9, 2013 5:58am Nov 9, 2013 5:58am
- | Commercial User | Joined Sep 2012 | 3,282 Posts
I have shown you my analysis many times.
I will show you once more, the latest upgrade of the Follow the PTECZ method.
1. Determine Trend and Price Position:
Trend: Bears
Price Position: Near Bottom
Trend: Bears
Price Position: Near Bottom
2. Plan out the scenarios:
a) Find historical Base PTECZ for Continuation of Bears.
b) Plot out the Trade: Entry Zone, SL Line, TP Line.
That's it. Trade.
If Price Breaks Up Red Line or you SL, watch PA for possible Trend Reversal.
Keep in mind the next historical Base PTECZ for Continuation of Bears.
If Price Consolidates for a few days, like recently, keep in mind the Major Trend
and watch for historical Base PTECZ.
We can see that Price is nearing to the previous Swing Level for Bulls, but there is still potential.
However, Price is also at the Level where it historically went Long.
As Traders, we can't do more than this.
The rest is just Trading and helping the math work for us.
I will show you once more, the latest upgrade of the Follow the PTECZ method.
1. Determine Trend and Price Position:
Trend: Bears
Price Position: Near Bottom
Trend: Bears
Price Position: Near Bottom
2. Plan out the scenarios:
a) Find historical Base PTECZ for Continuation of Bears.
b) Plot out the Trade: Entry Zone, SL Line, TP Line.
That's it. Trade.
If Price Breaks Up Red Line or you SL, watch PA for possible Trend Reversal.
Keep in mind the next historical Base PTECZ for Continuation of Bears.
If Price Consolidates for a few days, like recently, keep in mind the Major Trend
and watch for historical Base PTECZ.
We can see that Price is nearing to the previous Swing Level for Bulls, but there is still potential.
However, Price is also at the Level where it historically went Long.
As Traders, we can't do more than this.
The rest is just Trading and helping the math work for us.
Trade the facts, not opinions.
