The similarity system | Page 421 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Similarity: A Practical Approach 859 replies

Similarity Trading - The ZZBB Method 215 replies

Rainbow similarity 256 replies

Similarity Stuff 17 replies

Directional Similarity 0 replies

Attachments: The similarity system
Exit Attachments

The similarity system

  • #8,401
  • Sep 18, 2014 6:24am Sep 18, 2014 6:24am
Quoting ephisi
short at 1.2901
A pip is only worth it if you know how much you risked to earn it
  • #8,402
  • Sep 18, 2014 6:27am Sep 18, 2014 6:27am
Quoting vlady1974
{quote} Here's a newbie rule on continuation. I actually learned this from an eBook but the example was clear and I tested it MANY times and found it to be true. Rule: After a pump in any direction, consolidations will tend to continue in the same direction as momentum, unless something significant forces the opposite.
So with current price action, this is what I and a few people here are thinking.... (and this re-enforces the post above).
Flag...rising from left to right

Attached Image (click to enlarge)
Click to Enlarge Name: EURUSD-1H.JPG Size: 69 KB


From a wider perspective (same 1H chart though):

Attached Image (click to enlarge)
Click to Enlarge Name: EURUSD-1H2.JPG Size: 69 KB
A pip is only worth it if you know how much you risked to earn it
  • #8,403
  • Sep 18, 2014 6:31am Sep 18, 2014 6:31am
Quoting vlady1974
{quote}
  • #8,404
  • Sep 18, 2014 6:35am Sep 18, 2014 6:35am
Quoting vlady1974
{quote}
same crazy price action pattern i illustrated on the daily chart. same things happening on the 1hr chart. bearflag( or what do you call it. i havnt read that post on bear flag properly). so we will have same tricky pricaction on the 1hr chart.

But this time i am well prepared. Just occured to me that this pattern is a normal pattern on all timeframes and we have been experiencing it in the past. except i didnt know what it was
  • #8,405
  • Sep 18, 2014 6:39am Sep 18, 2014 6:39am
Quoting vlady1974
{quote} So with current price action, this is what I and a few people here are thinking.... (and this re-enforces the post above). Flag...rising from left to right {image} From a wider perspective (same 1H chart though): {image}
wow, we are actually saying the same thing in different word. you beat me to it this time
  • #8,406
  • Sep 18, 2014 6:40am Sep 18, 2014 6:40am
Quoting Tom21
Everyone is talking about the TZ system but where can i find it?
Pages 286 to 296 discusses TZ concept.
  • #8,407
  • Sep 18, 2014 6:42am Sep 18, 2014 6:42am
Quoting Robertk
{quote} That's why traditional sup/dem marking does not work in my opinion; it does not include the correct time factor. In other words, the way price approaches a level is more important than the actual eyeballed sup/dem. Now arbitrage takes this in consideration, your bollinger overshoots for valid price marking as an example here.
You know, I've learned something new from this. It's a very good point I didn't even consider when I made the statement.
But let me dwell on this... thumbs up.

=========

I was actually making the point that demand always equals supply.
There's no such thing as too many sellers or too many buyers. They are in equilibrium.

What creates the perception of oversold/undersold or momentum is the auction process. The auction process is what drives the prices. Everytime a trade happens, there is an agreement in price. AGREEMENT. But at one point... if the last price is 2905 and if a seller says, 1.2910 and there are no willing buyers...... then another seller says 2905 and and again no buyers, then someone says 2875 and then there are 30 buyers....... what is the price move?

2905....... 2875. Price drop. And it's not because of too many sellers. It's the exact opposite. There were no buyers and sellers who could come into agreement at 2905, but agreement was found at 2875. Supply though is an extension of that idea. Those who hold lots of contracts so that they can sell them to the market.... that's what "supply" really means. Therefore the price movement is the coming to agreement of the suppliers and the buyers.... via an auction process. Not because the quantity of one party exceeds the other. It's the willingness to transact at a certain price..... that's why a MISPRICE is the advantage traders look for.

If one market prices what should be 2875 as 2873 for 20 seconds..... then those who were paying 2875 have lost the opportunity of 2 pips. What if a seller wanted to dump a shitload of EUR... they could take advantage of that fact.... arbitrage.
A pip is only worth it if you know how much you risked to earn it
  • #8,408
  • Sep 18, 2014 6:46am Sep 18, 2014 6:46am
Quoting vlady1974
{quote} We're on the same wavelength. Something you said about the bear flag had me looking at charts and reminded me of something I saw 2 days ago but I didn't post it. To me, all bear flags rise from left to right. Traditional tech analysis books say that describes a reversal flag, but in today's modern trading world with automated trading, I don't believe that to be the case anymore. Here's a newbie rule on continuation. I actually learned this from an eBook but the example was clear and I tested it MANY times and found it to be true. Rule: After...
Awesome mate awesome. i never actually read the post cos it was long. But this is exactly what i meane. feels so good when we are in sync. it is this pattern im refering to, when everyone goes crazy on direction. But it cant fool me no more.


Between i dont use BBzz Stock semaphors etc. I only use support and resistance. Transient zones and trendlines. but i see the exact same thing you see. wow awesome stuff

THIS IS THE BEST POST I EVER READ ON FOREXFACTORY IN THE MEAN TIME
  • #8,409
  • Sep 18, 2014 6:52am Sep 18, 2014 6:52am
Quoting vlady1974
{quote} You know, I've learned something new from this. It's a very good point I didn't even consider when I made the statement. But let me dwell on this... thumbs up. ========= I was actually making the point that demand always equals supply. There's no such thing as too many sellers or too many buyers. They are in equilibrium. What creates the perception of oversold/undersold or momentum is the auction process. The auction process is what drives the prices. Everytime a trade happens, there is an agreement in price. AGREEMENT. But at...
wow, arbritrage. haaaaaa. you broke your record again.

BEST POST ON FOREXFACTORY SO FAR.
  • #8,410
  • Sep 18, 2014 6:52am Sep 18, 2014 6:52am
Quoting ephisi
{quote} wow, arbritrage. haaaaaa. you broke your record again. BEST POST ON FOREXFACTORY SO FAR.
Mate, youre revealing too much in one day
  • #8,411
  • Sep 18, 2014 6:52am Sep 18, 2014 6:52am
I have a pretty decent 90+% probability trade on Crude Oil
It's a buy targeting 50 points from current level. Got the same signal for both WTI & Brent.

I hope the above info will be useful for for anyone that tracks crude oil or use it in his analysis for currency trading.
  • #8,412
  • Sep 18, 2014 6:57am Sep 18, 2014 6:57am
Quoting pedma
{quote} Hi Vlady, your ZzBb method is great, we can use it for any pair. Thanks. If i have a "narrow zone" using R-v2 (like the "modified DS zone"), how long its lifetime? This SIMILAR' ITY concept can be used every where, i LIKE it so much. Just like if we eat a cake, this one is a very DELICATE one , isn't it ???
Hey, I just spotted this... apologies my friend. This is an interesting one.... I will have to dig this out to confirm at home, but I recall that Eurusdd may have initially mentioned.....35 days? Can't remember. It was a fixed number anyway. But I doubled it on one of my charts...... and guess roughly when price returned, 70 days later.

Hence, DS Zones are NOT like Demand/Supply... you need to move away from them because they are abitrage points. When the market is ready to address the misprice, it will do so in its own time. But if you know on the chart where they are, then you can use them as targets. And if you know the time... eg. if the DS Zone is confirmed, then 1-5days there's no chance of price returning there.... it's transient! LOL. I'm getting a feeling it was originally 11 or 14... dunno... hazy. But let's say after 10 days the market could be open to returning to the DS Zone. (n.b. The DS Zone is the High to Low of the candle where the price dissimilarity occurred).
A pip is only worth it if you know how much you risked to earn it
  • #8,413
  • Sep 18, 2014 6:59am Sep 18, 2014 6:59am
sure 30pips. we are hitting 1.2857
  • #8,414
  • Sep 18, 2014 7:02am Sep 18, 2014 7:02am
us news reports all bad today. spoiling the bear party
  • #8,415
  • Sep 18, 2014 7:06am Sep 18, 2014 7:06am
Quoting ephisi
{quote} Mate, youre revealing too much in one day
Well... it's still 1/2 of the equation. The question from me is.... who among the crew will be able to improve their trading because of it?!
Does this make improve your King and Queen and alter your Chessboard pieces?

BTW... loving your calls mate. I don't get as accurate as you... you're the Sniper!
A pip is only worth it if you know how much you risked to earn it
  • #8,416
  • Sep 18, 2014 7:13am Sep 18, 2014 7:13am
Quoting vlady1974
{quote} Well... it's still 1/2 of the equation. The question from me is.... who among the crew will be able to improve their trading because of it?! Does this make improve your King and Queen and alter your Chessboard pieces? BTW... loving your calls mate. I don't get as accurate as you... you're the Sniper!
thanks for the complement. i really do appreciate it.

i get your point. those information you just shared is useless to anyone who dont have a trading system and few years experience in this game.
  • #8,417
  • Sep 18, 2014 7:16am Sep 18, 2014 7:16am
Quoting vlady1974
{quote} Hey, I just spotted this... apologies my friend. This is an interesting one.... I will have to dig this out to confirm at home, but I recall that Eurusdd may have initially mentioned.....35 days? Can't remember. It was a fixed number anyway. But I doubled it on one of my charts...... and guess roughly when price returned, 70 days later. Hence, DS Zones are NOT like Demand/Supply... you need to move away from them because they are abitrage points. When the market is ready to address the misprice, it will do so in its own time. But if you...
Hey Vlady, this may help, here is the post:
Quoting Baillie
Here is another concept that EURUSDD promoted in another one of his threads, have these targets been hit before they have left the screen? YES, except 2, but it still has a little time to work out. Even if 2 does not get hit that is 9 out of 11, not bad in my opinion. {image}
http://www.forexfactory.com/attachme...1&d=1410715676
  • #8,418
  • Sep 18, 2014 7:16am Sep 18, 2014 7:16am
Quoting ephisi
sure 30pips. We are hitting 1.2857
its possible we go under 1.2857 but 1.2857 is minimum
  • #8,419
  • Edited 8:06am Sep 18, 2014 7:17am | Edited 8:06am
Shorted @ 1.2886 with small target of 1.2875. Keeping it very very simple based only on the way I read the TZs and a bit of BB. Lets see if I embarrass myself

Edit : Theory seems to be able to hold water but execution was rather off I admit. We'll see

Edit : Rubber meets road and stopped out oh well
I want more brain power!
  • #8,420
  • Sep 18, 2014 7:19am Sep 18, 2014 7:19am
Quoting Baillie
{quote} Hey Vlady, this may help, here is the post: {quote} {image}
No it's not this.
Well, okay it is ... but the Ralome indicators had a setting for Life or something like that. Wait... gonna dig it out! LOL
A pip is only worth it if you know how much you risked to earn it
7 traders viewing now