Trading Made Simple

Emm，you‘re right.EU hit the SL,anyway,I catch about 20 pips moving up.15pips moving down.
NU,seems green going cross red.H4
D1 is different situation

Emm, what did E mean when he wrote "Look at the candles on the last reversal... big, little, what." I know he didn't count or trade small candles but I still haven't understood that line.

Is outlook still bullish for AUDUSD for everyone? Is this retrace a good time to add to our positions?

What is your outlook ? Which time frame you are referring ? Many has different view.
Here is my outlook on D1. Price hit last swing, yesterday OutSideBar, Divergence all indicating no buy at the moment for me.

How To Add To Winning Positions

Buy Singal Green 30~90
Sell Singal Green -30~-90

Hey Lee,

You should look at charts and see the market price action instead of these pictures which mean very little without seeing what we see on our price chart.

Trading TMS 5-Method is about PA first #1 most important, then #2 is the TDI.

Always check the #1- Price Action first, then #2- TDI Post#3142

It is not so simple to pick buy and sell signals. We are discretionary trades, we trade PA price setups not signals.

regards,

..

Hi,

You must know that Big E only look at the APB candles. By big candles he refers to the big APB candle high-low and the APB body size.
usually when market trend with big candles, the trend will exhausted when we see small candles. This is when he looks for reversal trade setups where he would enter on APB#1 and APB#2 show a change in colour and also when the setup candle close across the 5EMA,Typical Price, Shift+3.

Look at his last few posts with training chart before he want offline.

This one for example, http://www.forexfactory.com/showthre...55#post4911355

regards,

You know How to Add to Winning Positions,

here is WHEN to add to winning positions... using TMS Price Action setups with TDI in agreement.

anyone take the gbpnzd trade it's on fire since yesterday nice move up

Awesome explanation of adding to position I just went on the 1hr and every time apb changed colour to the upside I bought with daily chart confluence

Too many news this week, but fortunately, I had some nice trades. I closed the following trades manually before London close. I have already posted the first trades of this week, so here are the rest:

EG, H4, short, +63 pips. Following W1 BEEB, I entered short on the close of the first APB, which closed under the bearish flag pattern, signaling continuation, also under last W1 low. PA came right into my TP, but it did not close the trade. That damn ask line! I should have gotten 70 pips. Forex market, you owe me 7 pips.

EU,H4, short, -89 pips. I entered on the close of the first APB, following W1 evening star pattern. My SL was above the MN resistance, also above current W1 high, so I thought I should be safe there during the news. The news spiked up right into my SL, and then reversed. I should have used the last WOL instead of MN S/R. Win some, lose some.

GBPCHF, H4, long, +60 pips. Last W1 was BUEB, so I was looking to buy. I had some issues with the S/R seen to the left on H4, and with the TDI being OB and the VBs being narrow, but I had W1 on my side and D1 was looking very bullish. I assumed the resistance will be broken, and it was.

EJ, D1, long, +53 pips. I haven't traded D1 in a while, but I took 3 trades on this TF this week. Although my bias was short, I spotted RD and PA went back into the W1 MC, being rejected by MN S/R and last W1 low. Manual exit before London close, although the initial target was way above. PA might turn because of the MN S/R where it is at now, so better to be safe than sorry.

UC, D1, short, -81 pips. Bearish MN, MC low break on W1, D1 making LHs and LLs. Everything was bearish, but I closed it manually in a loss.

UJ, D1, long, +84 pips. W1 IB, consolidation or reversal signal. My bias was short, but PA went back up to retest the low of the WRB seen on W1 chart 10 weeks ago. Bounce trade with entry on D1 on the close of the second APB.

Have a great weekend, everyone!

Hello Folks,

It's weekend time again. If you are new to this thread, you do not need to read from Post#1. That's too much to read just to learn a very simple trading method.

Here is what you need to do, follow these links and read those posts.

Trading Made Simple for beginners : Post#52,707

A short history by pioneer member snarlyjack Post#110

Our late OP eelfranz aka Big E spent 6,000 hours: Post#6 and he evolved as a trader and went on and developed two trading methods.
5-Method and 21/233 Method Post#3018, Post#4104,

After months of postings and answering many frequently asked questions FAQs,
eelfranz made the jump to this new Trading Made Simple thread on 26 April 2011... Post#4432

In Post#1, he explained how he traded the H4 chart timeframe and he also trade the H1 chart during the NY session. This suited his lifestyle being retired and the time zone he lived. Sadly he passed away in Oct 2012.

Two very important posts: Post#261 and Post#647, give a simple summary of what this 5-Method is and the basic forex stuff we check before we look for the TDI setups to trade.

TMS 5-Method Basic Rules: Post#53,841

Always check the #1- Price Action first, then #2- TDI Post#3142

The original indicators and template … Post#25

Have a good weekend.

Thank you Mr. Emmanuel for what you do, have a nice weekend also.

Hi Emmanuel , thanks for your contribution have a great weekend , cheers

Hi Folks,

I have a few PMs this week asking me about the use of Pivots for TMS trading. Common uqetsions are:-
- which pivot calculation should be use for TMS H1 and H4 trading? standard or fibonacci pivots better?
- what is the correct Day open to use for the calculation of the pivots? is Tokyo open correct? is New York open better or is London open better? etc.
- do we check the market volatility when we use the pivot s and r levels?

Before I post and answer some of the questions asked, please read up on the different type of Pivots available and how they are usually used for trading different market conditions. I also need time to read what other members posted recently and their use of pivots.

here go to school of pipsology and read up up on the topic 'Pivots'.

http://www.babypips.com/school/middl...sentiment.html

stay tuned.

will be back later.

Hello,

This is a 2 fold question, on the Average Daily Range.

Also assuming most swing traders use ADR as opposed to ATR, since gaps are rare in forex typically occur over the weekends.

If price reaches exhaustion on the ADR, would it be reasonable to enter on a retrace (given only a valid TDI cross setup and S/R for confluence), and generally expect a shallow 38% retracement for a target, as long as there was no hindrance in the path? I would think there are many factors involved; pair, time of day, week, etc., but my question is just, generally speaking.

My next question is what is a reasonable look-back period for the ADR #? Given I consider myself a H4 swing trader, and don't plan on holding anything over the weekend. Mr. Emmanuel, I read, mentioned 100 days to be good for a newbie, and conservative. Would this number apply to my above scenario?

Thank you.

Dears All, I have read almost all posts but still wonder sth . What it means to ''Enter a trade when green crosses red on the TDI at the beginning of that candle ,If it's candle 3 or more don't enter''.

How to spot candle Number: 1 (the correct one) ?

A candle might start in Red color and we get TDI short signal ,jump in , then Ooops! PA goes high and the candle turn color to close blue.

Am I understanding well that just at the start of candle we go as initial sight tells us red /sell , blue /buy (of course with TDI confirmation)?

But again that is not reasonable to decide the candle's fate once it is born .

Excuse me I don't mean to be mean Just need support guys . Five years and keep losing ....

Hi Folks,

If you had done your study at school of pipsology on pivots,
here is some of my findings reading recent post on TMS. see attached pdf.

important thing is when you pick an indicator posted here in FF, make sure to test that thoroughly in live market to make sure it works correctly.
always know the original source of information and the industry standards.
also do not use any posted indicator without knowing the purpose why they were coded for. some members coded indicators according to their beliefs about the markets and not conform to already known standards available.

Pivots are not holy grail but if you choose to use them, make sure you have your own trading rules when you use them when trading with TMS 5-Method.

regards,