As the lights go by so too do the shadows move
Ratios & Harmonics: a Different Way to Trade
Quick 10 pips from an AB=CD with long term order flow on my side and price heading into a resistance area. Panicked a bit because of the rejection i saw from the bullish candle before price hit the target and cut the trade short, still expecting price to go lower. 
- #12,284
- Jan 23, 2015 6:31am Jan 23, 2015 6:31am
- Joined Aug 2011 | Status: Trader | 4,956 Posts
As the lights go by so too do the shadows move
- #12,285
- Jan 23, 2015 6:45am Jan 23, 2015 6:45am
So here was my short on the GBPUSD.
There was a lot of resistance in and around the RN 1.5000 and price had met this level twice before in the last 24 hours and could not break it. This was a trade against short term order flow so I managed it aggressively. Long term orderflow is bearish but there has been a breakdown in price so looking like price is turning in favour of the bulls.
There was a lot of resistance in and around the RN 1.5000 and price had met this level twice before in the last 24 hours and could not break it. This was a trade against short term order flow so I managed it aggressively. Long term orderflow is bearish but there has been a breakdown in price so looking like price is turning in favour of the bulls.
- #12,286
- Jan 23, 2015 6:47am Jan 23, 2015 6:47am
- Joined Aug 2011 | Status: Trader | 4,956 Posts
I think I'm done for tonight (Australian time). It was a good way to finish the week with I think 40 pips tonight and my marathon EA trade that took 56 equals 96 pips, all under the banner of Mr Pip. Anyhows the winnings aren't as important as understanding the concept which imo points direction, distance and timing. I still have a ways to go yet to produce results (correct analysis) consistently, another weekend of study 
Already looking forward to next week. It's a wonder this thread isn't like the EU was last night during the ECB press conference with over 1000 viewers
Already looking forward to next week. It's a wonder this thread isn't like the EU was last night during the ECB press conference with over 1000 viewers
As the lights go by so too do the shadows move
- #12,287
- Jan 23, 2015 8:10am Jan 23, 2015 8:10am
- | Membership Revoked | Joined Jul 2010 | 9,273 Posts
If you fail to plan, you plan to fail.
- #12,288
- Jan 23, 2015 8:18am Jan 23, 2015 8:18am
- | Membership Revoked | Joined Jul 2010 | 9,273 Posts
If you fail to plan, you plan to fail.
- #12,289
- Jan 23, 2015 8:29am Jan 23, 2015 8:29am
- | Membership Revoked | Joined Jul 2010 | 9,273 Posts
If you fail to plan, you plan to fail.
- #12,290
- Jan 23, 2015 8:35am Jan 23, 2015 8:35am
- | Membership Revoked | Joined Jul 2010 | 9,273 Posts
{quote} Hi Bary, I got burned many times when I missed an entry and then jumped in as soon as price returned to that area. Now, I force myself to ask the questions: why has price returned to this area again and so soon? Has it invalidated my entire premise for the trade? I know it is very easy for me to say this with the benefit of hindsight, but that was a very significant bull candle that pushed price back into your entry zone. It wiped out several bearish candles in one move. I hope you don't mind the observation.
If you fail to plan, you plan to fail.
- #12,291
- Jan 23, 2015 8:41am Jan 23, 2015 8:41am
- | Membership Revoked | Joined Jul 2010 | 9,273 Posts
If you fail to plan, you plan to fail.
- #12,293
- Jan 23, 2015 9:01am Jan 23, 2015 9:01am
- | Membership Revoked | Joined Jul 2010 | 9,273 Posts
If you fail to plan, you plan to fail.
- #12,294
- Jan 23, 2015 9:08am Jan 23, 2015 9:08am
This was my final trade for the day and a little frustrated by it 
I entered the market as the bearish trend had come to an end and as I thought the market started to get bullish. Price broke through the RN and an area on confluence, then resistance became support as price came back down. This created a potential AB=CD which came in at a similar point to a larger AB=CD PRZ.
Price went up but then came straight back down and tested the lows. My SL was just below the RN at this point so I remained in the trade. A price breaking below the RN would then invalidate my reasons for entry and I would be out. Price then retested the highs again and following the 2 retests (last 2 blue circles) I was not 100% confident in the trade so moved to BE.
Price then came down and took me out at BE then swiftly accelerated in price to the larger AB=CD completion, almost to the pip. So this meant I left 27 pips on the table.
So was I too aggressive with my SL on this trade? Any thoughts appreciated. I have not had the best of weeks, and think that maybe a lack of confidence and my ability to read the charts forced me to be a little too tight on some of my trades.
That being said I had 2 trades today +7 and BE so +7 on the day.
Lesson of the week; I have learned to be a little more patient in looking for trade and make sure I am entering something which I think has a high probability of winning. I had been a little too quick to jump into some trades earlier in the week. I think I feel that if I do not trade then I am missing out. I think it is a fine line at the moment between trading too much and not enough (paralysis by analysis).
I entered the market as the bearish trend had come to an end and as I thought the market started to get bullish. Price broke through the RN and an area on confluence, then resistance became support as price came back down. This created a potential AB=CD which came in at a similar point to a larger AB=CD PRZ.
Price went up but then came straight back down and tested the lows. My SL was just below the RN at this point so I remained in the trade. A price breaking below the RN would then invalidate my reasons for entry and I would be out. Price then retested the highs again and following the 2 retests (last 2 blue circles) I was not 100% confident in the trade so moved to BE.
Price then came down and took me out at BE then swiftly accelerated in price to the larger AB=CD completion, almost to the pip. So this meant I left 27 pips on the table.
So was I too aggressive with my SL on this trade? Any thoughts appreciated. I have not had the best of weeks, and think that maybe a lack of confidence and my ability to read the charts forced me to be a little too tight on some of my trades.
That being said I had 2 trades today +7 and BE so +7 on the day.
Lesson of the week; I have learned to be a little more patient in looking for trade and make sure I am entering something which I think has a high probability of winning. I had been a little too quick to jump into some trades earlier in the week. I think I feel that if I do not trade then I am missing out. I think it is a fine line at the moment between trading too much and not enough (paralysis by analysis).
Nice run through on your thought process. I think that's a nice trade for 43 pips
IMHO, the exit is always more important (and more difficult) than the entrance.
Thanks, I needed them to help make up for some recent losses, lol.
It fell a lot further later on, but maybe I still did the right thing getting out because you never know. Hopefully trade management and more strategic exiting will get easier with time.
I went long here because price was at the .618 retracement of a gartley plus some structure and looked like it might be turning, but when there was no follow through after about an hour and a half I closed for +1 pip. Maybe an overly hasty exit, but since recent bearish candles had a lot of momentum, I began to think price might move against me in search of further support. Also I recollected that Friday afternoon is probably not a great time to be trading anyway.
