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Simple problem I am sure the great minds will fix in a couple of mins 2 replies

What if everybody trades ? 21 replies

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Open minds - everybody is welcome

  • #1
  • First Post: Dec 14, 2014 12:09pm Dec 14, 2014 12:09pm
Hi, all.

First of all, some of my personal thoughts.

Currency trading - is all about putting stacks against US dollar.

Let's try trade currency pairs using pivot points calculated from US session open.

I think it is fundamentally and technically approved. Just try set up your pivots according to US open.

All of the further market movements (asia, europe) is just a correction of the US session direction.

No indicators needed. Price action (trend definition) and pivots, according general pivot trading rules.

I use stop orders. Target at first resistance or support, or further (R2/S2). Stop loss - last swings.

Timeframe - 15 min. Entries - 5 min.

E/U, G/U, U/J. Tight spreads is essential.

In my opinion nice opportunities - Europe open (London). 1-2 hour after open. We can see a correction of the US market moves (fading out).
And US session first 1-2 hours - we can catch a good moves.
Even after London close, there are huge price moves.

So, I would appreciate anybody to join, discuss and share opinions.

All the best and good luck to everybody.
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  • #2
  • Dec 30, 2014 7:39pm Dec 30, 2014 7:39pm
Hi

Looks good.

Can you post your indicator that you use for pivots, I can calculate these levels,
but it would be easier with indi.

Thanks.
  • #3
  • Edited 11:35pm Dec 30, 2014 11:18pm | Edited 11:35pm
Quoting Sacaric
Hi, all. First of all, some of my personal thoughts. Currency trading - is all about putting stacks against US dollar. Let's try trade currency pairs using pivot points calculated from US session open. I think it is fundamentally and technically approved. Just try set up your pivots according to US open. All of the further market movements (asia, europe) is just a correction of the US session direction. No indicators needed. Price action (trend definition) and pivots, according general pivot trading rules. I use stop orders. Target at first resistance...
You said Open Minds and I hope you will show open mindedness.

First of all - I fully agree with your concept but have some reservations about the tactic of using Pivot as a benchmark, even though many orders are placed around this level. My concern is that if there was a consistently profitable technical/mechanical system, even with 0.1% edge, the financial giants would have got worth of their (or their stakeholders') billions of dollars invested in research and development. That makes me believe that here is no such thing as a reliable technical system. Not to snatch away retail traders' money, but to make room for their trading decision implementation, big players keep on changing their tactics. However, there are certain things they cannot change, it is beyond their power and reach. This is the area where one should be looking for an edge. You have already indicated one such area, that is, rest is the correction of what goes on in the US (New York) session. Not always, but most of the time New York influences the whole market. For a very good reason, its market capitalization. I don't know what is the ratio of total currency exchanged during New York session and other sessions, but if it is in the ratio of stocks, it must be 5 or 6 times more than total value of currency exchanged in any other session, including London. The second thing that they cannot change is the correlation between Euro and CHF. This alone provides some edge to scalpers and other traders who know how to benefit from it. US brokers changed the rules, banning "Hedging" in the same currency pairs plus implemented FIFO. But, this correlation will remain until Swiss economy remains linked with European Economy. Yet again, this correlation was also manipulated not too long ago.

Let's see how this pivot thing works. I believe if traded in a probabilistic frame of mind and with proper money management, it should produce good results. Good luck.
The Thief of Wall Street
  • #4
  • Edited 10:18am Dec 31, 2014 10:05am | Edited 10:18am
Quoting Chicky
{quote} You said Open Minds and I hope you will show open mindedness. First of all - I fully agree with your concept but have some reservations about the tactic of using Pivot as a benchmark, even though many orders are placed around this level. My concern is that if there was a consistently profitable technical/mechanical system, even with 0.1% edge, the financial giants would have got worth of their (or their stakeholders') billions of dollars invested in research and development. That makes me believe that here is no such thing as a reliable...
Now of course, this comes a mere 2 days after Chickster posted his holy grail method, which seen him take a beating on every trade since....including this very moment when he was yet, stopped out of another trade based on a random guess at catching falling knives....


Please read:
Quoting Chicky
{quote} The most reliable method I have developed is the most simple. If you check my profile, the last couple of sentences indicate this. It is so simple and logical that I couldn't believe it first. Will be back after a smoke to give you and other readers this method. You people try this method for a month and see for yourselves how good it works. There is no myth involved, no illogical thing, no shit loads of calculations, no complications, nothing. Pure simple and logical. I bet if anyone can challenge this method on any logical grounds.
Quoting Chicky
{quote} Here is the method. I call it Bounce Playing. There are certain historical levels. Pa has elephant memory, it never forgets a key level, maybe because many market makers place their orders at this level and many robots have these levels fed-in to execute the trades. At these historic levels, there is a lot of activity, mostly a bounce. It touches these levels and instantly reacts. No matter where it goes after this touch (that is, breaks or reverses), most of the time, it first bounces off from these levels. I wait for the pa to touch these...
Quoting Chicky
{quote} On Weekly Time-Frame, one or two per month. On Daily Time-Frame, several in a week. I should mention that my risk appetite varies from 0.25% per trade to 1.00% per trade based on these factors: 1. How strong is the historical level. There are four types of levels by their strength a) Based on Weekly Charts, b) Based on Daily Charts, c) Based whether on Weekly or Daily but near a round number, and d) If this level is also a Price-Pivot Zone (PPZ) or MoFu. 2. What time of the day they hit the level, 3) In which session they hit the level If...
You see, unlike Chikster, anything that assumes a bounce off of pivot in direction of the day, is actually a little smarter than standing in front of a speeding play as it assumes continuation of direction.

But if you choose to question Ol' Chickyboy on his ideas as to playing directionally, he gets all bent out of shape....

Chicks, the thread is apparently for open minds...ergo, you are not qualified to be posting here.
Money Can't Buy Happiness. Poverty Can't Buy SHIT! You Choose!
  • #5
  • Jan 2, 2015 7:38am Jan 2, 2015 7:38am
Quoting Sacaric
Let's try trade currency pairs using pivot points calculated from US session open. I think it is fundamentally and technically approved. Just try set up your pivots according to US open. All of the further market movements (asia, europe) is just a correction of the US session direction.
Yeah, I think you have valid points here.

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  • #6
  • Jan 2, 2015 10:53am Jan 2, 2015 10:53am
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  • #7
  • Jan 4, 2015 9:46pm Jan 4, 2015 9:46pm
indi for pivots

http://www.forexmt4.com/_MT4_Systems...PivotLines.mq4
  • #8
  • Last Post: Edited 1:34am Jan 6, 2015 1:20am | Edited 1:34am
Hi all.

Good luck in 2015.

First of all - timing.
Of course, time zone settings are very important for calculating S/R leves. A lot of treaders use EST, GMT, 5pm NY time zones for calculating levels.
Many strategies are based on Europe and US sessions, as a lot of volatilty and liquidity are provided.
But what I want to say is that trader must define exact hours of the day when to trade.

I think essential for forex trading is - exact periods of time when to look at charts, make analysis, place orders. It is much easier to spend a couple of hours in front of the charts rather than staring at it for several hours.

I defined for myself only 2 hours of each session from the open, not more.
If there was no oppotunities for trades, no regrets, wait for the next day.
U can limit yourself by making only one trade per day. I don't. If London was succesful, I can trade US session. If London was in loss I still trade US.

The second - market moving news.
I don't trade 10-15 min before and 15-30 min after the news released. No fundamental analysis, that is was the news in favor of one currency or another.
Price movement already provides us with the market reaction to the fundamental influences. I never guess what direction price will go.

The third - essential market.
I think US market is the only market trader should take in account. All other movements of the price are just corrections. Stocks, bonds etc. assets are most traded in the US. That's why I take US market open (from 8am EST) and define essential levels on the charts, that can provide with clues about market bias.
Those levels are:
- session open
- yesterday's high and low
- pivots
- and round numbers.

The fourth - influence of the US market.
As you can notice, trading day in the US market starts later than other timezones. Therefore levels mentioned above are also usefull when other markets are active, especially London. So I take US market as starting session (open) for whole 24 hour forex trading day.

The fifth - tricks.
Trading is all about probabilities. My first point of view is - broker always on the other side. The second - broker always has positive odds. The third - broker
always manipulate your orders. And broker can use some software which can be used to control your orders.
Therefore - before placing an order I define entry level, stop loss level and take profit level. After that I define the same levels for an opposite limit order not far from my take profit level of the first order. Then I place this limit order 2x or 3x larger than my first initial order. After that I place my first order (preferably - stop order). I use some software that allows to place hidden (not visible to broker) stop loss and take profit orders.

Comments are welcome.

Good luck.

Indis attached

PS. Pay attention to sundays and mondays levels. If you trade these days they need to be corrected.
Attached File(s)
File Type: ex4 Market_Open_Lines c.ex4   7 KB | 298 downloads
File Type: ex4 xPivotMultiday_v1.31.ex4   30 KB | 287 downloads
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