H4 Power

I haven't posted in a while, despite my continuing success with this method of trading. Here is a recent EURCAD trade that took 2 days to gain me 170 pips - I know I could've gotten more, but I have 2 thoughts on this:

1 - hindsight is 20/20
2 - while there are plenty of threads and comments about letting winner run and millipedes and tsunamis, etc., I have experienced many instances of 100+ pip positions reversing and ending either at BE or ending as losses. If I can average 100 pips per week, I will be a happy man - and an independent man soon enough. I have been averaging 100 pips or more per week since my previous post in October. This trade below could've gained another 100+ pips, but I chose the "bird in the hand" technique for exiting this trade, haha...


I don't dispute those who advocate letting trades go until the market turns and takes you out, I just enjoy taking pips out when I reach triple digits in profit. Perhaps one day, I will open a separate account and trade in a millipede or tsunami fashion. But for now, while I build up my 1st account, I'll enjoy taking 100 pips here and 170 pips there...

Thanks 60minuteman and the others who have managed to keep this thread alive for so long.

Being a failure at trading on and off for a number of years, I have now returned to give it one last chance. I am dabbling with a few strategies using a GKFX account at 10p per point.

I have read the first 10 or so and the last few pages of this thread but will try and get through the rest over the next few days.

I have come across a few strategies recently that advocate something similar to this one ie using a lower time frame for entries to reduce risk, one even suggested using the daily and/or weekly as your anchor time frame and entering using the 5 minute, the idea to have outs and lots of small stop outs before hitting the 500+ point move.

If I understand it correctly, this one is about using the high, low, open and close of weekly, daily and possibly monthly candles as your support and resistance areas, then looking for engulfing candles on the 4 hour chart and if there is enough room between the high/low of the 4hr candle before hitting one of the s/r levels from the higher time frames, you drop down to the 15 minute to look for engulfing candles for your entry.

Have I got this right so far?

I have a few questions but hopefully someone could answer the above question before I ramble on in case I have got it all wrong.

Thanks

Steve

Steve,

I think you have the gist of it pretty well. Finish reading the thread (at the very least, read all of 60mm's posts). Then also read the Weekly/H4 Trending thread (also from 60mm). Those two should solidify this method of trading for you. Don't shortcut the learning - once you finish 60's posts, your confidence will soar and you will be on your way.

I am loving this method; I have gotten very good (nobody's perfect) at identifying S/R levels on the Weekly chart, then I continue to be amazed at how well price reacts at those levels on the H4 chart. I'm tempted to set pending orders near those levels, but I remind myself to have patience and discipline and to follow the rules (or maybe I just wimp out). Anyway, good luck to you and Many Pips!

Bry

Thanks Bry and congratulations on your weekly average since October, that would do me nicely, especially with a slow compound up to £10pp (I wish).

Good advice, I will read those threads before asking questions.

Steve

I will repeat it thousand times if it needs. No body explained Support / Resistance like 60Minuteman did. We mark S/R early and see how price reacts then we attach the needed importance to it. Not before.

Is 60MM`s explanation of S/R in this thread somewhere? I see that he has directed people to his website which is no longer available.

Steve

Not sure Encantador. But you should read whatever 60 Minuteman wrote in all threads including Weekly/H4 Trending thread

60MM's explanation is absolutely in this thread. Read his posts, you won't be sorry.

I have read both threads.

I am a little confused as to whether people here are using one or the other or a combination of both.

Can anyone shed any light on how the keep the s/r lines to a workable number, just had a play and even on 4hr it soon becomes unmanageable with weekly and daily, even just using highs and lows, if you include open and close, there is one evry few points.

Thanks

Steve

To anyone who is still visiting this thread, I am planning to begin sharing my trades and thoughts on what I see in the charts using this method of trading...

While I have read this thread multiple times and other related threads by 60minuteman, I have not been the most disciplined when it comes to waiting for convincing h4 engulfs before placing trades. Only later have I admitted to myself that I should not have entered this or that trade - even when they have occasionally worked out. I am hoping that by exposing my trades to the scrutiny of this thread, I will force myself to be more judicious in choosing my entries. I would much rather be wrong because of the market than because of my lack of discipline and patience...

I have bounced back and forth between entering every h4 engulf (as long as it's not too long of a candle) and only entering engulfs that line up with recent weekly engulfs. The former can lead to more losses each week before hitting on a winner, the latter can lead to fewer trade entries each week and could possibly cause some weeks without trading (in the instance of lengthy weekly trend moves). My other back & forth has been concerning trade mgmt - sometimes I have hung on for 200 pips or more and other times I have chosen 50-pip or 100-pip TPs (usually after having a nice movement suddenly reverse). I have several spreadsheets that I'm sure you all have seen that show how well an account can grow with wins averaging 50 pips per week, etc. I STRONGLY BELIEVE that this is possible using an engulf strategy. I have seen too many moves that begin each week with engulfing candles.

My other problem is that since I am in the US, my ability to take all potential engulfs is severely restricted by margin regulations. I can't tell you how many times I have seen several engulfing candles, and chosen a pair to enter only to find out later that I chose the wrong currency pair - and the other pairs all moved in what would've been my favor had I chose them instead! 😤😤😡😡

WISH ME LUCK!

Good luck Traderbry.

Keeping a journal really helps.

Start the thread again & posting, we will share our outlooks and thoughts.

hello everyone ,
hope you guys are enjoying your weekend and ready for next week .
im gonna share couple of my trade with i'm gonna watch coming week , may be these gonna help you as well ...

my first chart is USD/CHF , there is weekly engulf candle if it goes well thn we can get more thn 250pip, this is in my watch list for next week .


my second trade would be GBP/USD as you can see weekly engulf , if it goes well , thn it gonna hit monthly S/R which means we can get more then 150pip , this would be in my watch list as well..


3rd and last , EUR/GBP again weekly engulf which gonna hit monthly S/R means if it goes well then we can get about 150 to 170pip approximately.


have a nice weekend and coming trading week .
thanks 60min

USD/CHF weekly you posted is very risky if you are considering to Buy, IMHO. May be as a continuation of Big Bearish Candle there would be bearish engulfing week. Selling is also risky because the High of the Big Bearish Candle could be tested this week. Above all CHF is one of the crazy one to trade with.

i respect you views and thouhgt, may be you are right but i ll wait for breakout of last week high, if it's not fake breakout and i get my confirmation (breakout continuation) then i'll jump in.
we only can try and play with S/R lines that's it cuz no one is 100% in forex....

Cheers !

Good luck.

60's flow thread convinced me that too many charts created confusion and more important my emotions were all over the place because I happen to 'pick' the one that failed when I had several set ups to choose from, don't allow any opportunity to introduce your opinion onto the screen, taking YOU out of the equation allows you to be free of manipulation....for me there is only one chart and a strong well tested set of rules that MUST be adhered to.

when I trade like a machine I win, there is no question, when I think, I lose.

taking profit, oh yes do it!...... a set number of pips despite what the chart looks like, the brokers want YOU to think you have control because they know full well you don't.... only time you have a chance is when you appear to be another machine.


look forward to seeing your posts.

Hi H4-forex,

I don't mean to push my view. But after reviewing my account I could see certain pairs (EURJPY) are easy to trade or rather profitable. But blame my stupidity, the favorite is AUDUSD and i try to gain the losses i made in the past :-(

I have seen great teachers talk about choosing charts that are clearly in Trend. This means that we are trading pullbacks in the form of engulfs and not counter-trend in the form of pullbacks.

Ok - well, here is my gbpusd trade this week that netted me 118 pips per lot.
I'm torn between taking all h4 engulfs or only the ones that agree with the most recent Weekly engulf...

Wow. Traderbry.

I would say you had great gut to take that trade. Did you say per lot, which means there were many lots in that trade. Incidentally I too trade Guppy this week which was a mix of buy and sell. Engulfs are now rooted in my mind I see it in all time frames. However, I do not hold one trade the entire week.