Supply and demand in a nutshell by Alfonso Moreno | Page 199 | 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

  • #3,961
  • Feb 12, 2014 11:50am Feb 12, 2014 11:50am
Quoting panoramia
Hello fellow traders, This is just a reminder of next week's webinar on supply and demand backtesting, next Monday 17th February. These reminders get lost in the middle of the posts, so I repost them every now and them to remind you. This webinar will be completely different, it will be a real time forward test of supply and demand rules with Forex Tester 2, in my humble opinion, key to having success trading SD or any other strategy. WHY A WEBINAR ON FOWARD TESTING? Visual backtests on Metatrader 4 or any other platform is not enough, it's useless....
will the webinar be recorded for those that carn't make that time Alfonso?
  • #3,962
  • Feb 12, 2014 4:51pm Feb 12, 2014 4:51pm
Quoting Tedge UK
{quote} will the webinar be recorded for those that carn't make that time Alfonso?
Always recorded and shared with those that signed up to the webinar's mailing list... If you haven't done that yet, please do so that you receive the link to watch the video!
Alfonso
Set and Forget supply and demand trading community
  • #3,963
  • Feb 13, 2014 6:03pm Feb 13, 2014 6:03pm
Hi fellow traders, the markets are moving and here are no posts, questions, suggestions, watzup?
Any learning to share? Any new candidates to analyze?
Tnx, have a nice weekend!
  • #3,964
  • Edited 11:18am Feb 14, 2014 2:15am | Edited 11:18am
Hello fellow traders,

I have the pleasure to communicate you that version 12 of supply and demand Rectangle Extender indicator for Metatrader 4 has just been released. It has been under tests at the www.set-and-forget.com supply and demand community, but now it's released for everybody to use. We must thank Peter, one of the members of the community because he's been the one who has done the coding of these new functionalities I needed. Congratulations for your great work Peter. This is what a community is all about, traders helping traders, either on their analysis, with new tools, anything.

What's new in version 12? A couple of very powerful features to help you on your supply and demand trading

  1. Indicator will show a 50% line at the curve for MN, WK and D1 timeframes, you choose which one you want to display. You will need to draw at least 1 zone above and below current price on the timeframes you want the zones and lines to be calculated. If diddle in the middle, stay away from the markets unless there is a strong momentum in one direction
  2. It will show freshness of the Hight Timeframe Levels on the upper right corner next to the curve percentages
  3. It will calculates risk to be taken on each SD zone based on a % risk parameter, spread, padding pips and wiggle room pips. By doing so, you will be able to plan your limit orders faster since the lots calculation will be done for you automatically on each level depending on your risk tolerance

How to install it?

  1. Just close MT4 and overwrite the RectangleReader.ex4 from the .rar file under Experts/Files
  2. It's fully compatible with new Metatrader 600 build
  3. Restart Metatrader and it should be working like before but with the new features

This 15 minutes video shows in more detail the new features added to version 12 of the RR indicator


Inserted Video


WHERE CAN YOU DOWNLOAD IT?
From the first post of this thread, together with and updated template. Or from the supply and demand community's blog
Set and Forget supply and demand trading community
  • #3,965
  • Feb 14, 2014 4:56am Feb 14, 2014 4:56am
Thank you very much Alfonso and Peter for sharing the new version of the Rectangle Extender indicator. Appreciate your efforts!
  • #3,966
  • Feb 14, 2014 10:10am Feb 14, 2014 10:10am
Quoting panoramia
Hello fellow traders, I have the pleasure to communicate you that version 12 of supply and demand Rectangle Extender indicator for Metatrader 4 has just been released.
Alfonso, Peter, thank you very much, I have just started dreaming of some of these functions, and you are here and ready! Tnx!
Is it possible to change the TFs for intra day trading, or is it just for D/W/MN?
Have a great weekend!
  • #3,967
  • Feb 14, 2014 2:32pm Feb 14, 2014 2:32pm
I'm just trying to learn and want to share my chart with you guys, GBPUSD$ is now sitting above monthly , weekly and daily supply downline which is 1.6741, if price breaks it then it will test 1.68750 which is daily supply upline. if it successfully breaks then pound will be ready to fly to 1.70479 which is monthly supply upline and was last tested on 2009.08.05 at 00.00 Open:1.69323 High:1.70419 Low:1.69001 Close:1.69912, we are 116 pips up right now in this zone and if it touches the monthly supply upline within this zone then we will have then we will have 373 pips. more 257 pips move up there.

What i think:

Daily supply up line: 130 pips far from current price
Weekly Supply up line: same as monthly supply up line
Monthly Supply up line: 313 pips above from current price
Daily supply down line: Current Price
Weekly supply down line: broken
Monthly supply down line: broken

chart:
yellow dotted line is weekly supply down line
orange lines are monthly supply up and down lines
yellow un-dotted lines are daily supply down and up line
Attached Image(s) (click to enlarge)
Click to Enlarge Name: daily.jpg Size: 131 KB
Click to Enlarge Name: weekly.png Size: 67 KB
Click to Enlarge Name: monthly.jpg Size: 120 KB
  • #3,968
  • Edited 10:44pm Feb 14, 2014 10:00pm | Edited 10:44pm
Quoting Solomon1a
I'm just trying to learn and want to share my chart with you guys, GBPUSD$ is now sitting above monthly , weekly and daily supply downline which is 1.6741, if price breaks it then it will test 1.68750 which is daily supply upline. if it successfully breaks then pound will be ready to fly to 1.70479 which is monthly supply upline and was last tested on 2009.08.05 at 00.00 Open:1.69323 High:1.70419 Low:1.69001 Close:1.69912, we are 116 pips up right now in this zone and if it touches the monthly supply upline within this zone then we will have then...
Thanks for your post... the pound is right now in a tricky situation as is the other majors. Why? It's very high in all the higher timeframe's curves. Buying into these areas should be done aggressively on really nice levels.

  1. I was thinking to buy the lower H4 demand, but price never go there. Then now there is a brand new H4 demand formed
  2. Now we do have the possibility to draw an ascending D1 TL to buy down there if it ever does in a D1 uptrend condition
  3. It looks like the pound wants to rally higher, but we're too high. If buying do it aggressively in very good levels of demand, since price "might" start dropping and removing demand
  4. Dollar Index closed underneath D1 demand, so the US dollar is weak, it "should help" the pound's longs
  5. EDIT: it looks like price closed above D1 supply in purple by 2 pips

Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot1.png Size: 75 KB


Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot2.png Size: 87 KB


Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot3.png Size: 46 KB
Set and Forget supply and demand trading community
  • #3,969
  • Edited 5:02am Feb 15, 2014 3:04am | Edited 5:02am
Quoting lobogabor
{quote} Alfonso, Peter, thank you very much, I have just started dreaming of some of these functions, and you are here and ready! Tnx!
Glad that you had those functions you had been dreaming of, they are great functions.

Quote
Is it possible to change the TFs for intra day trading, or is it just for D/W/MN? Have a great weekend!
Not it's not possible, I created the indicator to help me trade the way that I do, I'm not doing intraday so the indicator is not prepared for that. Not in my plans, that would mean losing focus on what I do. If doing intraday, D1 should be the curve... never trade intraday without having the D1 curve. Indicator supports that, so that should be fine. It does not support H1 trendlines on H1 and lower levels though, minimum H4... sorry

However I will soon release a new version that will allow you to do this:

  1. Automatically draw trendlines at proximal and distal lines for: M5, M15, M30 and H1

This will be great for those that do intraday and scalping. But the curve timeframes will remain D1, W1 and MN. H4 is not a timeframe bigger enough.

Alfonso

Set and Forget supply and demand trading community
  • #3,970
  • Edited 1:18pm Feb 15, 2014 3:31am | Edited 1:18pm
Alfonso,
First things first, I would like to Thank you for your selfless contribution to the trading community. You have a sincere, kind, knowledgeable and patient soul for teaching. I hope that others will pay close attention to this style of trading, as it is IMO the only trading style you need to be a successful FX trader. I've been a silent observer of this thread for quite some time, as my trading style is quite similar to what you are teaching here. I wish you all the best, and may GOD bless you and your family with great health and abundance, for your selfless act in sharing with others.

One question I do have as I would like to incorporate the use of the reader into my trading chart. If anyone can please instruct me on how I can input the rectangle reader correctly that it will display the percentages of the higher TF on my lower TF? Example, to be able to see the monthly/weekly/daily percentages on the 4hr trigger TF or perhaps the daily trigger TF. Right now it only display the percentage on the current TF I am on (minus the 4hr chart of course). Any help would be greatly appreciated.

One request if it would be possible to have the percentages of all the higher TF to show on the 4hr trigger TF in future update? Thanks again Alfonso.

Cheers
  • #3,971
  • Feb 15, 2014 3:41am Feb 15, 2014 3:41am
Quoting MKFXTrader
Alfonso, First things first, I would like to Thank you for his selfless contribution to the trading community. You have a sincere, kind, knowledgeable and patient soul for teaching. I hope that others will pay close attention to this style of trading, as it is IMO the only trading style you need to be a successful FX trader. I've been a silent observer of this thread for quite some time, as my trading style is quite similar to what you are teaching here. I wish you all the best, and may GOD bless you and your family with great health and abundance,...
Thanks for your kind words, I really really appreciate your comments. I do my best to try and help others to see how SD works. Hopefully some will see the power of this way of trading and how the rectangle extender indicator can help them to improve their entries by knowing how high or low price is in the curve.

Contact me through the contact form at http://www.set-and-forget.com/contact-us and I will be able to help you configure it as per your needs.
Alfonso
Set and Forget supply and demand trading community
  • #3,972
  • Feb 15, 2014 1:07pm Feb 15, 2014 1:07pm
Quoting panoramia
{quote} Thanks for your post... the pound is right now in a tricky situation as is the other majors. Why? It's very high in all the higher timeframe's curves. Buying into these areas should be done aggressively on really nice levels. I was thinking to buy the lower H4 demand, but price never go there. Then now there is a brand new H4 demand formed Now we do have the possibility to draw an ascending D1 TL to buy down there if it ever does in a D1 uptrend condition It looks like the pound wants to rally higher, but we're too high. If buying do it...
hello, sir thanks for your feedback, the daily supply zone you showed in your daily chart its different from mine, its near 1.6747 to 1.6877 and price is currently sitting at 1.6746, correct me if i am wrong and how D1 recent supply which has been broken in your chart i guess i am missing something
Attached Image (click to enlarge)
Click to Enlarge Name: HMLOrss.png Size: 100 KB
  • #3,973
  • Feb 15, 2014 11:10pm Feb 15, 2014 11:10pm
Quoting Solomon1a
{quote} hello, sir thanks for your feedback, the daily supply zone you showed in your daily chart its different from mine, its near 1.6747 to 1.6877 and price is currently sitting at 1.6746, correct me if i am wrong and how D1 recent supply which has been broken in your chart i guess i am missing something {image}
D1 zones can differ from broker to broker Solomon, it's very common that they differ. What should not differ is that we're very high in the Monthly curve, so watch out your longs. Since the Monthly supply is not fresh and tested several times, it could be under attack and longs could work well as well but you can't assume anything in the markets. If you want to go short in such a zone, wait for at least a brand new D1 supply to be formed.

Alfonso
Set and Forget supply and demand trading community
  • #3,974
  • Feb 16, 2014 10:07pm Feb 16, 2014 10:07pm
Hello fellow traders,

This is just a reminder of next week's webinar on supply and demand backtesting, TODAY Monday 17th February. These reminders get lost in the middle of the posts, so I repost them every now and them to remind you.

This webinar will be completely different, it will be a real time forward test of supply and demand rules with Forex Tester 2, in my humble opinion, key to having success trading SD or any other strategy.

WHY A WEBINAR ON FOWARD TESTING?
Visual backtests on Metatrader 4 or any other platform is not enough, it's useless. You will see what you want to see, that's all. Metatrader 4 does not allow multiple timeframe analysis on backtesting but Forex Tester does. Not knowing which candles come next is crucial in order to backtest any strategy, be it supply and demand, fibonaccci, price action... any!

WHEN WILL IT BE HELD?

  1. DATE: TODAY Monday 17th February 2014
  2. TIME: 1 PM to 2:30 Central European Time | 7 a.m to 8:30 a.m EST. Right 1 hour before NY Market Open
  3. Link to join free webinar: fill out this form http://www.set-and-forget.com/free_webinars and you will receive the link after you confirm your email

If you have previously subscribed to one of my webinars, you should have already received the link to join. Else, fill out the form above

WHAT WILL THIS WEBINAR COVER?

  1. How to configure Forex Tester 2 to forward test supply and demand
  2. How to forward test any pair using set and forget's supply and demand trading rules
  3. We'll choose a random year/month from a pair and we'll start from there real time, discussing all possible entries

Hope to see you there!
Alfonso

Set and Forget supply and demand trading community
  • #3,975
  • Feb 16, 2014 10:56pm Feb 16, 2014 10:56pm
Quoting panoramia
Hello fellow traders, I have the pleasure to communicate you that version 12 of supply and demand Rectangle Extender indicator for Metatrader 4 has just been released. It has been under tests at the www.set-and-forget.com supply and demand community, but now it's released for everybody to use. We must thank Peter, one of the members of the community because he's been the one who has done the coding of these new functionalities I needed. Congratulations for your great work Peter. This is what a community...
Hi Alphonso, thank you for your continued work and support in this great thread. I downloaded your newest version of rectangle reader, but it seems that it hasn't got the new functunality. I could be doing something wrong and appolagies if i am missing something.

NS!!! I downloaded both, the one at the first post of this thread and at setandforget.com

Thank You
  • #3,976
  • Edited 11:46pm Feb 16, 2014 11:13pm | Edited 11:46pm
Quoting andriessmith
{quote} Hi Alphonso, thank you for your continued work and support in this great thread. I downloaded your newest version of rectangle reader, but it seems that it hasn't got the new functunality. I could be doing something wrong and appolagies if i am missing something. NS!!! I downloaded both, the one at the first post of this thread and at setandforget.com Thank You
Hey there,

Both indicators work The thing here is that IF you have new Metatrader Build 600, THEN you need to copy to a brand new folder, or it won't work.

Which is the exact folder? Open your MT and select File/Open Data Folder, as seen below:
Attached Image


THEN...

  1. Close MT
  2. Go to MQL4/Indicators folder. Overwrite rectangleReader.ex4 with the new one
  3. Run MT again

It should work! It works I mean, there must be something wrong you are doing on your side, and I believe it's this.

Alfonso

Set and Forget supply and demand trading community
  • #3,977
  • Feb 16, 2014 11:29pm Feb 16, 2014 11:29pm
Hi thank you Alphonso, it is working perfectly now, didn' realise the difference with build 600. Sorry my bad......
  • #3,978
  • Feb 17, 2014 6:00am Feb 17, 2014 6:00am
Do you plan to record the webinar?

Thanks

Quoting panoramia
Hello fellow traders, This is just a reminder of next week's webinar on supply and demand backtesting, TODAY Monday 17th February.
  • #3,979
  • Feb 17, 2014 6:34am Feb 17, 2014 6:34am
Quoting smalltalk
Do you plan to record the webinar? Thanks {quote}
It will be recorded and send to those that joined the webinar's mailing list, all those will receive an email with the link. If you didn't, please fill out the form at www.set-and-foget.com and you will get a link when it's uploaded!

Thanks a lot
Alfonso
Set and Forget supply and demand trading community
  • #3,980
  • Feb 17, 2014 7:45am Feb 17, 2014 7:45am
Quoting panoramia
{quote} It will be recorded and send to those that joined the webinar's mailing list, all those will receive an email with the link. If you didn't, please fill out the form at www.set-and-foget.com and you will get a link when it's uploaded! Thanks a lot Alfonso
Great webinar. It was good to help me confirm my (mis) understanding of the amazing RULES and the importance of "forward testing"

Thank you Alfonso for your time and patience.

Graham
1 trader viewing now