Anybody have a chart they want to throw at me?

Hello iDoubleStoch,

Here is gold daily:



And 4 h:



Green pips,

Results: 9/10/2014

EURCHF: Fail
http://i58.tinypic.com/24uw00o.jpg

This one failed. Personally, I would not touch EURCHF with a ten foot pole at any time whatsoever, because it has some serious structural problems with stability in its liquidity. Predictive Algorithms that are Non-Direction in nature, need consistent Volume and consistent Volatility Characteristics. Without those traits, you can forget about NDP type indicators against their data. Because I have done the research on EURCHF and because am a predictive model trader, I have never traded the pair, as there are far better candidates that have normalized tendencies within its market data. So, this one got away today, no doubt.

Here is the historical reality that keeps me from ever trading a pair like EURCHF:
http://i58.tinypic.com/dzutj6.jpg

http://i62.tinypic.com/2mcvoyr.jpg

In the last chart, you are looking at D1 data and nearly 5 months of compressed Volatility without Liquidity. That's not a normal market and nothing I would ever consider trading. The first chart shows massive sell-off on extremely low Volume - again, not something indicative of a normal market and nothing I would touch even while wearing latex gloves and a respirator.


EURUSD: Success
http://i57.tinypic.com/f3awx4.jpg

This one worked. Markets that contain normalized data having Volume and Liquidity traits that are stable are typically good markets for the predictive trader, especially non-directional predictive traders. EURUSD pretty much did what was expected. It demonstrated a reluctance to conform to its B2i history and it struggled to strike targets just as predicted yesterday. However, those targets were struck, though given the condition of the indicators used to make this prediction, I personally would NOT have traded the EURUSD Short yesterday. So, I stand by my decision to not have been wiling to make this trade, even though it came through today.

As a predictive trader (especially ND), I need as much confluence in my tools as I can get. If I see another trade with higher levels of confluence among the indicators and signals that make up my trading system, I will take that trade over a nominal looking signal every time. EURUSD looked no better than Nominal in its B2i signal and thus, I would not have made this trade.


USDCAD: Pending Success | Net Positive Profits
http://i59.tinypic.com/24dmvkx.jpg

This one is tracking very well. It is a larger B2i structure spanning 6 full days. So, this would be a D6 B2i and given the normal Volatility and Liquidity history of USDCAD, is pretty moving at the rate of speed expected for such a pair. Not much to say about this one as it is basically adhering to its own internal market characteristics that are empirically seen in the history of its data. Outcome: Pending.

Hello Darryl,

It looks like you drew a Hybrid b2i (non-standard bar) and it does look correct with the exception of the Final Extreme Point which in this B2i was the O:L Primary Leg. Yours terminates on top of an MA instead of at the actual O:L data point within the Hybrid B2i time frame that you selected. However, the Fall Line target at $1.6115 is very close to $1.6116 and this the structure is relatively the same.

Using some of the Early Warning Entry techniques, this trade was a breeze. However, my caution would be trading B2i structure inside the Long Range Stabilizer (mine is OS1, yours looks similar). Price will get very volatile when it sits inside such long range lines. My pic shows the Fall Line sitting in between the OS1 Fast and Slow lines. That is a very volatile place to be trading unless you are very familiar with the price behavior in such regions of price as this pic demonstrates:

http://i62.tinypic.com/23hsy6e.jpg

Shortly after price struck the Fall Line target, it rocketed back up to the OS1 Slow and then violently rocketed down through the OS1 Fast and then slung itself right back through both lines while slamming its head on the OS1 Slow. If you can stomach that kind of short term volatility, then fine. Just be aware that when price enters an OS1 type of zone, Volatility has a really good chance of accelerating and decelerating very rapidly relative to the time frame in which your long range stabilizer sits.

Good trade.

Gold is going down. It is sitting in a long term pattern of downward bias. Selling rallies has been the trade in Gold for a while now. I do no trade Gold. However, I went out and found some charts and plotted B2i in different time frames to show you what they look like:

D1 Time Frame:
http://i57.tinypic.com/2mhc02q.jpg

This goes back to the middle of June and shows the downward bias. Trading Gold should not be confusing at this time on the Daily Charts.

H1 Time Frame:
http://i60.tinypic.com/2j4d6ie.jpg

This shows that on the hourly, Gold maintains good downside bias.


M15 Time Frame:
http://i62.tinypic.com/xm4d8y.jpg

This would be a REAL-TIME structure given the already existing downward bias in Gold and I DO NOT track Gold in real-time. So, take this ONLY as a snap-shot of the potential B2i.

Again, even on the M15 scale, you can see that rallies are being sold off.

I drew a B2i on the Daily and 15 Minute time frames so that you can see the potential IF/WHEN Gold decides to flatten out, or when you begin to see your own Long Range Stabilizer turn flat (some kind of indicator that does a very good job of showing dominant bias in the market across at a ratio of 60 times a small Fibonacci number - see my other thread for more explanation).

Notes: Long term, I don't see a problem with shorting rallies in Gold as prescribed. Short term, opportunities for B2i trades will increase as Gold pivots and bleeds off some of its stronger downside bias.

Gold should not be confusing right now.

Pick a chart any chart. Just follow the rules above.

The EUR is Falling! The EUR is Falling! Okay, but what's really going on inside the "trend?"

This M15 chart clearly shows the EURUSD to have been moving with persistent downward bias for a while now:
http://i60.tinypic.com/2rw1amq.jpg


Now, take a look at what's happening with the B2i structures on the EURUSD M15:
http://i57.tinypic.com/20joayu.jpg

Yesterday's D1 B2i (gray) and its extension, the D2 B2i (white) are producing Fall Lines near the same price level.

Now, take a look at the current D1 B2i (yellow) structure and note where its Fall Line sits relative to the others:
http://i61.tinypic.com/2hs1092.jpg

One: When Fall Lines in any time frame begin to cluster AND you start to see Internal Strikes BEFORE the structure completes (before the end of the selected B2i time frame), you are most likely witnessing a Medium to Major Pivot in the market taking place BEFORE the masses know about it.

Two: While most people look at a chart and a particular number on that chart and call it "Price," my opinion about the definition of "Price" highly differs. Note the Blue Shaded Box to the right of the chart. That's the initial descriptor for my idea of what Real Price looks like. It is not a singular number on a chart. Rather, "Price" is smeared out over Time and Space within the chart and in a specific region of what I call the Price Structure (a concept I won't be getting into here). Thus, that Blue Shaded Area, not the actual Bid/Ask that you see below it, is where I begin the process of understanding WHERE "Real Price" happens to be in this particular market.

For me, "Price" is not a data point. It is a Region of Space/Time and it may or may not be located near the current Bid/Ask at any given moment. This helps me to understand future directional probability over the short-term. If the market keeps punching out B2i in this fashion on these lower time frames, then the EURUSD will start heading higher in its directional bias.

Timing

People typically ask me how do I know the Timing of the entry into a B2i trade. While that is a relatively complex question that I cannot answer fully for obvious reasons, I can give some hints into just how deep the rabbit hole goes. Taking a look at the same EURUSD example chart on the M15 time frame, we encounter the same three B2i structures:

http://i58.tinypic.com/2v823is.jpg

Notice two timing agents in Blue. They are 127 to 161.8 Fibonacci levels. Nothing new about that. However, notice the other indicator at the bottom of the screen in Red and Green. Those are two components taken from an indicator called Distinct Vega. DV in combination with properly placed 127/161.8 levels are two of many Timing Aids used inside the B2i structure. The key here, is the synergistic relationship between Fibs, Distinct Vega operating within the B2i structure.

Selecting the appropriate level to draw the 127/161.8 range is obviously key and Distinct Vega operating in both the M15 and the H1 time frames is critical. Why H1? Because, H1 coincides with the B2i time frame selected, which is also a Standard H1 B2i Structure. Again, finding synergy not in just indicators but in TIME as well, is critical for the timing of well placed entries.

As price reaches a well positioned 127/161.8 within the B2i structure and DV begins to strike its averages (identified by the Red and Green lines associated within each indicator window at the bottom), the structure of the B2i is revealed and an Early Entry Window (discussed in the other thread) becomes extant. This is one way I can time the entry into QUALIFIED B2i structures AHEAD of the Version 1.0 entry window and by doing so, increase potential reward while decreasing associated risk.

Finding creative ways to minimize risk is always the first step and well placed or well Timed trades do that better than anything else.

A Return To Gold

The same holds true for Gold, as it does any normally situated instrument with historically consistent volume and volatility. Gold still retains long term downward bias. The more B2i Fall Lines that cluster in a specific region, the higher that likelihood Gold starts moving towards the larger B2i Fall Line target.

This morning:
http://i62.tinypic.com/xm4d8y.jpg

Now:
http://i62.tinypic.com/1zqzmoo.jpg

Pick a chart any chart. Just follow the rules above. Two days remaining.

Back to EURUSD.

http://i62.tinypic.com/2vskj7p.jpg

"Price" now moves back into "Real Price" region - providing me evidence that the structure is being maintained per historical norms. This is how I see "Price" and why I look at price as being stretched over time and two dimensional areas into a specific shape or structure of the market. This is also why I believe that at any given time, there are Multiple Prices in the market depending on the time frame being analyzed. Pick your price region, target that region and hit the "GO" button.

You do have a "GO" button? It looks something like:

http://www.lifereboot.com/wp-content.../go-button.jpg

Back to CAD.

http://i61.tinypic.com/2zhfkh2.jpg

Almost perfect but not quite there yet. Two very important things to point out about CAD. First, notice the Primary Leg 61.8 line and notice the Projection Leg 61.8 line (they are plotted along the B2i's Primary Leg and its Projection Leg accordingly). Notice how price comes down, interacts with the "Primary 61.8" which is directionally opposed to the B2i Short signal. Then notice how price hesitates, dances along the Primary 61.8 until it joins the "Projected 61.8" line. It takes two quick looks at Projected 61.8 and then makes its move for the distant Standard (Neutral Fall Line).

Almost as if somebody was pulling strings behind the scenes making it happen that way. Or, like flying your aircraft to the outer marker on an instrument approach, being slightly off the approach path and then using the localizer to get back on glideslope all the way to the threshold - where the Projection Line is the glidepath.

Pick a chart any chart. Follow the rules. Two days remaining.

CAD is working in the area of about an 50+ to 80+ pip trade thus far (depending on the entry).

The US session (so-to-speak) in retail FX has just ended and if I were trading it, I'd make a decision to bank profits or continue to the target. Price is running right on top of the Projection Line and has created a lot of distance between itself and the Projection 61.8 Line. So, it would not be unusual for price to show that Projection 61.8 Line some respect and in order to do that, it needs to either move sideways until striking the Projection 61.8 Line, stalling the current trade, or reverse and start moving higher until reaching the Projection 61.8 Line. Either way, some respect shown to that line would not disappoint or surprise me.

Hi,mate. I love you work , still reading the other thread, and I bump on this one, so this is my chart.is OS Oil 1H ,I draw some lines myself,but I doubt that there mean something, sorry for the charting software, I am on my mobile now.I will keep reading.thanks for open my mind to something new in trading.Z

Back to lurking for me, but your ability to see the patterns within the patterns (that lead to more R&D->possible patterns->etc) never ceases to amaze me.

Hello Zaho,

Thank you. You want to start off by learning Standard B2i Time Frames first. Those start at the Open price of a bar on any chart to establish the Chart Time Frame where you view the structure. However, the B2i Time Frame (or Size of the B2i Structure) itself is determined by the last Maximum Extension Point used to make the final Primary Line drawing (either the highest high or the lowest low in the B2i range you have selected).

Standard B2i Structures will ALWAYS have both of their Maximum Extreme Points (the highest high and the lowest low) within the Time Frame you have selected for the Size of the Standard B2i Structure. To adequately see price movement within the B2i Structure, you will want to ALWAYS select a Visual Time Frame that is smaller (lower) than the B2i Structural Time Frame. In your example below, you have selected an H1 (60 Minute) USOil Time Frame. The period separators on that chart are Daily Period Separators, so you are seeing 24 H1 (60 Minute) bars for each day separated by vertical lines built into the chart. This means that you are using a 2-Day or D2 B2i Time Frame, displayed on an H1 (60 minute) Chart.

Now, you have created a Hybrid B2i, probably without knowing it, because your starting point is at 9/8/2014. I have taken the liberty to draw all of the relevant B2i Structures surrounding your Hybrid B2i starting point. Whenever, you use Hybrid B2i, you want to make sure you draft ALL relevant Standard B2i in the same area. That will give you Fall Line data points that you would not otherwise notice. It also helps you to put the B2i that you have selected into better perspective in terms of the likelihood of price reaching your target.

Hybrid B2i are Non-Standard B2i that do not use the Standard Open Price of the Standard B2i Time Frame selected. Hybrid B2i can use any Open price available and any Maximum Extensions for the Primary Legs (O:H and O:L), as long as those Primary Maximum Extension Points straddle the Open Value you have selected as the starting point for the Hybrid B2i. This is NOT Beck's Emblem nor is it Beck's Quadrilateral, where the Open Price is connected to two lines that can be either fully above or fully below the Open Value.

Hope that helps.

http://i57.tinypic.com/23u3l9c.jpg

http://i59.tinypic.com/4udmc9.jpg

Oil (WTI) is clearly challenging its very long term dominant bias to the UPSIDE, by colliding with the OS1 (a long range directional bias indicator). So, B2i in smaller time frames start to become more "active" in this Market Phase.

What a surprise! I did not expect to see this.

This is called an Inverted B2i Structure. This structure typically repels price away from the Fall Line in the direction where price emerges from the structure itself. Why? The flatness of the structure significantly reduces (according to my research) the probability of price striking the Fall Line and typically results in a Three Test approach into a Long position.

This Inverted B2i Structure is the first I have ever posted on ForexFactory. This is an M1 chart of Oil (WTI) and it coincides nicely with your estimated H1 B2i Long signal. You can see that the market has "passed" the first two tests. Test three typically results in a release of price upwards (or, downwards if the structure had the opposite shape). I have not seen one of these in a long time - they are not extremely common but the market does generate them from time to time. It will be interesting to see how it works out.

http://i58.tinypic.com/2ppgcn4.jpg


In this M15 chart of WTI, you can see the M1 Inverted B2i against the larger H1 B2i (green lines) and the bigger Multi-Month B2i (projecting off the screen). Keep in mind this is an M1 chart, so you cannot see all of the very large Multi-Month B2i as there was not enough data on the server (I guess) to plot it.

http://i58.tinypic.com/1zejlzr.jpg

With enough time, you'll see the patterns easily and be coming up with ideas in your sleep. The harder part is translating it into Excel, so that it works in an automated fashion there. I spent my time over the years developing my trade logic skills, so I don't have the C++, Java, R, Python, or other programming skills that a Quant would have. But, they don't have as refined a degree of creative pattern recognition either - at least not those that I've met. They can do some amazing things with code, but you have to feed them the trade logic - or at least, point them in a direction you want to see fulfilled.

It is a very rare bird (extremely rare) who can Code and produce solid Trade Logic. They are two entirely different universes. Parallel universes running on different sets of laws. I wish I had advanced software skills - I just don't have anywhere near what I need to build-out my trade logic. I could do a whole lot more, if I could code code my most advanced concepts.

The stuff you are seeing here, is pablum - baby's milk. Maybe one day, I will dig into C++, but it takes years to develop the ability to Think in C++. Being able to "write some code," is one thing. Being fluent enough to Create in C, is quite another thing.

Check out the Inverted B2i. I did not post about that in the other thread. They are rare birds.

Back to Gold. It looks like I missed a smaller structure. See notes in chart:

http://i58.tinypic.com/1z50kmd.jpg

Good eye, for those of you who caught this one. Slipped right under my radar previously.