Supply and demand in a nutshell by Alfonso Moreno | Page 181 | 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

  • #3,601
  • Nov 27, 2013 12:39am Nov 27, 2013 12:39am
Hello fellow traders!

Yesterday's supply and demand webinar has just been uploaded to YouTube, you can find it here:

Inserted Video


We covered trend trading using the Monthly/Daily combo and Monthly curve. It's much better to have the higher timeframes with you on any trade setup. We went through all the reasons why I took 3 of the live trades that I had running at the moment when the webinar was being held: USDCHF H4 short, GBPJPY H4 long and CADJPY long.

Hopefully by going through these live trades, you will understand the rules much better, how we made a top-down analysis from the Monthly down to the D1 and H4 entry timeframes.

If you haven't signed up for the free webinars yet and you are interested, please fill out this form: http://www.set-and-forget.com/free_webinars

Have a great day!
Alfonso
www.set-and-forget.com
Set and Forget supply and demand trading community
  • #3,602
  • Nov 27, 2013 4:27am Nov 27, 2013 4:27am
I was involved too in GBPJPY before the seminar and I was happy to find out that I put the trade accordingly your SD rules and know where to re-entry if not working from there. I cant tell yet if this approach can be more profitable than intraday trading, but for sure you can save at least 5 times the time invest; and everybody should know that time is more value than money.

Maybe you say it before, but may you tell us how many trades in average can you take per month? (on H4+, just swing trades)

About testing: I found http://tradeinterceptor.com/forextradingtraining/ which gives you the opportunity to do paper trading (simulating, testing) but I didn't manage to insert a SD indicator or to move charts in the same time (maybe need the full version), but is nice to play with it.
  • #3,603
  • Edited 7:25am Nov 27, 2013 5:07am | Edited 7:25am
I am adding a Candle format multiple currency index for the following currencies:

USD, JPY, GBP, EUR, CAD, CHF, AUD, NZD

So the parameters it takes are:
- currency, one of the above
- colors for candles and bg.

Might help identifying S/D zones

Bellow is the AUDJPY chart with both C.I. for AUD and the same for JPY

Attached Image (click to enlarge)
Click to Enlarge Name: index.png Size: 35 KB


If you do not have the data up to spec, then you need to refresh the chart by changing the timeframe

Enjoy
Attached File(s)
File Type: ex4 Currency_Index_Candle.ex4   11 KB | 688 downloads
  • #3,604
  • Nov 27, 2013 7:50am Nov 27, 2013 7:50am
Hi Alfonso

By your observations, where do you put your faith when defining a trend?
A trendline(whatever angle it may have) or the price action/sd definition of higher high + higher low for uptrend and lower low and lower high for downtrend?
  • #3,605
  • Nov 27, 2013 8:33am Nov 27, 2013 8:33am
Quoting bruce_loco
Hi Alfonso By your observations, where do you put your faith when defining a trend? A trendline(whatever angle it may have) or the price action/sd definition of higher high + higher low for uptrend and lower low and lower high for downtrend?
Hi Bruce,
The trend definition is clearly explained on the 1st post, I follow those rules always. The trendline is JUST a mechanical way of filtering out levels, you can or you can't use it. It helps me a lot to be consistent and mechanical. I put no faith on anything, just rules that I have to obey always. Rules and SL is the only things we have to protect our equity.

But like I said, the uptrend/downtrend definitions are clearly explained on the 1st post, latest webinars gives doznes of examples as well. You need to watch all those videos and then forward test to do your homework in order to understand the dynamics. A couple of examples will not suffice, you will need HUNDREDS, minds work like that unfortunately or fortunately
Alfonso
Set and Forget supply and demand trading community
  • #3,606
  • Edited 10:14am Nov 28, 2013 9:33am | Edited 10:14am
I was checking out Forex Tester 2 and I was also looking for other ways to be able to run MTF backtesting on either MT4 or MT5.
While Forex Tester 2 is really a nice tool to do the job, it seems possible to run MTF backtest in MT4 as well with the help of a period converter and off-line chart, basically with the same MT4 indicators used on this thread. I am playing around with it to see its use and limitations.
One limitation I definitely already know - MTF MA-CCI will only work on the TFs set-up for the test, and not on the others.

http://forum.mt5.com/showthread.php?...n-back-testing.
Attached Image (click to enlarge)
Click to Enlarge Name: MTF test.jpg Size: 376 KB
  • #3,607
  • Nov 28, 2013 9:48am Nov 28, 2013 9:48am
Quoting lobogabor
I was checking out Forex Tester 2 and I was also looking for other ways to be able to run MTF backtesting on either MT4 or MT5. While Forex Tester 2 is really a nice tool to do the job, it seems possible to run MTF backtest in MT4 as well with the help of a period converter and off-line chart, basically with the same MT4 indicators used on this thread. I am playing around with it to see its use and limitations. http://forum.mt5.com/showthread.php?...n-back-testing.
Tested some forex tester applications, I stick to Forex Tester 2, it's just great, stable and works like MT4. We just need rectangles to forward test, so it's just perfect! Very happy with my 2 licenses

Alfonso
Set and Forget supply and demand trading community
  • #3,608
  • Nov 28, 2013 9:55am Nov 28, 2013 9:55am
For those who were on last live webinar this Tuesday, I am still holding the live trades which I presented and for which I explained in extreme detail the reasons why I had decided to take them as per the rules.

I am still holding all of them: USDCHF H4 short, CADJPY D1 long, GBPJPY H4 long, and now as we talked on the webinar the conditions happened for the EURUSD H4 long, and of course I am long on that one as well, will it be a winner or a loss? I just don't know, it just matched the rules as planned as explained.

As I was talking on the GBPJPY H4 CP demand entry, any of you could have gone long on that one even at a better price that I took. This trade alone is more than 300 pips now after 2 days.

Below you will find all the charts we discussed on the live webinar, plus the eurusd H4 long which we discussed that could happen on that H4 CP demand. Hope all is a bit clearer after last webinar.
Attached Image(s) (click to enlarge)
Click to Enlarge Name: eurusd_h4.png Size: 74 KB
Click to Enlarge Name: gbpjpy.png Size: 81 KB
Click to Enlarge Name: usdchf_h4.png Size: 67 KB
Click to Enlarge Name: cadjpy_d1.png Size: 26 KB
Set and Forget supply and demand trading community
  • #3,609
  • Nov 28, 2013 11:30am Nov 28, 2013 11:30am
Your SL on GBPJPY is not a bit too high?
How you get to that level?

I`m not saying is not good, I just trying to learn to manage SL better.
It looks like you put it under the last demand zone formed on H1, or last CP formed on H4, which I like but kind tight for a swing trade.

I personally put the stop under 166 level, but I`m no sure where is safer.

How is better to manage?
  • #3,610
  • Edited 9:35pm Nov 28, 2013 12:16pm | Edited 9:35pm
Hello All,

I just recently came across this thread after only a month of trading. I'm actually better than I'd expect at it, but it appears that supply and demand is so important and I am so glad that I found it so early on (only on my 80th demo trade) Thank you Panoramia for your contribution.

I've been playing around with Forex Tester 2 just this morning and it is amazing. I looked at the first video in your initial post in this thread and you use a Support and Resistance indicator that I can't find anywhere on Forex Tester's forum's or AceGazette (I found the Supply and Demand dll there after some searching).

I believe the indicator is named FX_SupportAndResistance. Any chance someone can post a link to where this dll is?
  • #3,611
  • Nov 28, 2013 1:21pm Nov 28, 2013 1:21pm
Quoting revival_fx
Hello All, I just recently came across this thread after only a month of trading. I'm actually better than I'd expect at it, but it appears that supply and demand is so important and I am so glad that I found it so early on (only on my 80th demo trade) Thank you Panoramia for your contribution. I've been playing around with Forex Tester 2 just this morning and it is amazing. I looked at the first video in your initial post in this thread and you use a Supply and Demand indicator that I can't find anywhere on Forex Tester's forum's or AceGazette...
Hi Alfonso,

I'm also looking for the same indi to use on forex tester as revival fx but in your video I think you refer to it as ftc_SupportAndResistance.
Could you kindly post this dll file.

Many thanks
Max
  • #3,612
  • Nov 28, 2013 4:48pm Nov 28, 2013 4:48pm
Search took 1 minute.

I don't know if it works from the AG site.

Attached File(s)
File Type: zip II_SupDemMOD_WhiteBG_SolidFill.zip   55 KB | 1,031 downloads
It never gets easier, you just get better
  • #3,613
  • Nov 28, 2013 5:03pm Nov 28, 2013 5:03pm
Quoting Shabs19
Search took 1 minute. I don't know if it works from the AG site. {file}
Not looking for rectangle indi.
We're after the red and blue beads - ftc_supportand resistance - dll file for forex tester 2.
  • #3,614
  • Edited 5:55pm Nov 28, 2013 5:34pm | Edited 5:55pm
Quoting panoramia
{quote} Tested some forex tester applications, I stick to Forex Tester 2, it's just great, stable and works like MT4. We just need rectangles to forward test, so it's just perfect! Very happy with my 2 licenses Alfonso
I think FX tester 2 is great and stable as well, "almost" like having MT4 running without all available indicators.
I just have no licence - none yet at my current learning curve, and there might be many like me.
I thought to share other possibilities, and I have managed to have it work at least for now for 3 TFs, with MTF supply demand indicators without the other MTF ones - I left out the ones from my template that I dunno anyway, how to interpret yet - I am not that far in the rules yet.
I think if someone is that far in SD and has the rules and trust built, but needs just more face time before hitting the road, FX tester 2 is the way to go, but till then to take the baby steps there is a possibility for free to work with - at least with this MT4 built in method for free. Would I find a better free method for just baby steps, I will post it. Definitely it is less stable though and requires patience and work before it is working as you want it, so FX tester 2 is a way to go for just initial testing and less headache, as a demo as well.
As a next step I will look into having also renko built in, so these levels would really pop into the eyes, might be even without indicators? Any experience with that?
We are all different in learning curve, approach, even trade management...if this would not be the case, we would have a nice EA already to assist us in this really nice and potentially profitable approach.
Is there any place available with current trade opportunities for SD traders? Please post the link if there is!
Tnx.
Is there any EA by the way for SD strategy? If not, why not? It seems to be relatively simple and definitely profitable.
Thanks for this forum, and the members in it I have really ecxperienced an increase in profitability, and thank to all of you for that!
  • #3,615
  • Edited 10:35pm Nov 28, 2013 5:54pm | Edited 10:35pm
Quoting Shabs19
Search took 1 minute. I don't know if it works from the AG site. {file}
shabs19,

i already have this indicator. Performs the same as the one for metatrader. There was another indicator he used. If you are on the 4 hour chart you see the last week's support and resistance. If you are on the daily chart you see last month's support and resistance. I've found the metatrader indicatory elsewhere on forex factory here:

http://www.forexfactory.com/attachme...7&d=1378401580

I find it strange that forex tester doesn't have anything of the sort already.
  • #3,616
  • Edited 3:44am Nov 29, 2013 3:28am | Edited 3:44am
Quoting silvian
Your SL on GBPJPY is not a bit too high? How you get to that level? I`m not saying is not good, I just trying to learn to manage SL better. It looks like you put it under the last demand zone formed on H1, or last CP formed on H4, which I like but kind tight for a swing trade. I personally put the stop under 166 level, but I`m no sure where is safer. How is better to manage?
It's simple, I am just trying to squeeze as many pips as possible out of this trade because GBPJPY might correct soon. It might give another entry to go long and I will be there again but having locked in more pips than if I place my SL lower. I placed my SL there just because of that. A more logical one would be lower like you said, but my reasons are those.

Alfonso
Set and Forget supply and demand trading community
  • #3,617
  • Nov 29, 2013 11:01am Nov 29, 2013 11:01am
@M4X, @revival fx,

Sorry misunderstood your request. That indicator could be a custom one that Alfonso has had made for his own use, you would need the mq4 file for a dll file to be created and you would need a programmer.
It never gets easier, you just get better
  • #3,618
  • Nov 29, 2013 12:31pm Nov 29, 2013 12:31pm
Quoting Shabs19
@M4X, @revival fx, Sorry misunderstood your request. That indicator could be a custom one that Alfonso has had made for his own use, you would need the mq4 file for a dll file to be created and you would need a programmer.
Shabs19,

Thanks for your reply. I must've been mistaken, but I remember him saying in his forex tester setup video that he would make the indicators availabe. I just wanted to confirm.

Thanks again.
  • #3,619
  • Nov 29, 2013 3:28pm Nov 29, 2013 3:28pm
Quoting revival_fx
{quote} Shabs19, Thanks for your reply. I must've been mistaken, but I remember him saying in his forex tester setup video that he would make the indicators availabe. I just wanted to confirm. Thanks again.
So I was wondering about how to use the ftc_SupportAndResistance.ex4 indicator and while searching for something else, I ran across this:

http://member.forextradingcoaches.co...esistance.html

Apparently, the ftc prefix stands for Forex Trading Coaches. This indicator comes from them. Which explains why there is no released mq4 file. This

However, (and I have not tried it yet) there is an indicator that does something similar found in this post:

http://www.forexfactory.com/showthre...78#post4431778

It has actual source code.

As well as here.

http://www.forex-tsd.com/metatrader-...tively-82.html

I'll take a look at what I can do with making a dll for forex tester with one of those. I've never done it before, but I was a software guy in another life.
  • #3,620
  • Nov 29, 2013 3:45pm Nov 29, 2013 3:45pm
Can anyone help please?

I've downloaded the indicator.zip file, extracted and uploaded all the necessary files into their respective directories in MT4 followed by a re-start. Everything seems to be working ok except the higher time frame SD levels are not appearing as trend lines on the lower time frames. Am I missing something or do I need to change some settings.

Thanks in advance

Angelo
30 traders viewing now