Make Money Everyday - A Guide to Short-Term Trading

this thread has been quite qiet for a long time.... i hope that means everybody is making money every day!

Errday How are you mate?

yeah man! music to my ears!

as far as me - rumors of my demise were greatly exaggerated! I am alive and kicking! ready to trade again!

Good to hear mate I have been away from the charts for a good part of the year, back online the last month or so and loving it.

Good to hear from you fellas. So Simple question, having traded, then not traded, & now trading again, what is different?

Fantastic question

I am clearer, more in control of my actions/reactions and there is less 'heat' attached to the outcome - at a micro level, per trade; and at a macro level, 'success'.

Looking forward to building the framework to maintain this emotional space and continuing onwards and upwards!

How are you mate? How's your trading?

Uneventful in the best possible way.

This is a rough outline of how I'm trading now, have been building this for the last few years with a 6-9 month gap in the middle to deal with the rest of life

Not my concepts, but pieced together from various traders etc I have met or studied with.

It's a bit of a messy chart but hopefully still readable; ignore the moving average it's only there to make the chart pretty, has zero impact on my trading

Broadly speaking I trade thin price runs into major and minor (dependent on what is happening in the session) levels that I define on the Daily, 4H, 1H and 15M. Mainly sticking to the 1H and 15M for most intraday levels but scaling out to 4H+ when needed. There are certain price behaviours I look for when determining levels; how price has moved away from the level previously, if it has been retested, if there is a good area of accumulation or just a few candles etc.

As well as taking the skinny moves into levels I also take pullbacks with the lower TF trend, depending on circumstances; some market related and some my time related. Market related I will take these around LO as I am fairly familiar with the price moves at this time, FH fake out-swings, LO fill and fake or continuation, asia retest etc. But even so I am still internalising this and the learning continues.

In relation to my time, at the moment I work a job where I'm at the screens all day so coming home to sit at more screens for another 4 hours is not ideal. Hence why doing my analysis pre Franky open and settings alarms at major levels tends to be my preferred method. If we have built a good fractal during asia going into FO, and conditions are met, I will set alarms at the edges of the range - then either watch for the retest or set another alarm.

Have a good weekend guys!

Thanks for the detailed post - You say "I will set alarms at the edges of the range"

What exactly please do you consider the edges of the range?

Will you consider the Daily Pivots and adjust each day, in particular do you pay attention to R2 and S2 - I refer to the details in this article I was reading yesterday http://forexuseful.com/pivot-trading...free-strategy/

Also, can I ask, do you pay any attention to weekly pivots.

One last thing, do you only trade EURUSD?

Thanks in advance.

No problem. In the case of that statement I was talking about the edge of the asian fractal, looking at that chart it is the green box. We broke out to the south, retested and failed to go lower, then went back through the fractal to the north side; retested, continued north and ranged before news. Variances of this are common during frankie hour and london open.

The short I took there was a fairly risky trade as pretty close to the previous days lows and some order flow built around there. The long, that I didn't take, was perhaps a better trade.

I use pivots only as confluence, same with fibs, I'll never trade naked pivot. Yet I will trade a naked big figure if the situation is right.

For me personally I try to stick to EU and pound for intraday, but I have a heap more charts up that I use to (hopefully) read the current sentiment.

Thanks for the clarity, your time is appreciated.

Hey guys

I've just read through the entire thread over the last few days and I just want to say thanks for your reasoning and explanations. I only just gotten back into trading after a finally having some time from university (1 month break now) and I'll be trading everyday during this break to practice. Not sure if this thread is active or not but the insight over the past few years have been really helpful and I just want to say thanks : D. I took a break from trading because I would take losses too personally but I think i've matured a bit as an adult now xD.

Looking forward to posting some charts up over the next few weeks.

Cheers

I hope you find success! The thread isn't dead, just isn't very active lately. Feel free to post charts and/or questions or ideas, I'm sure you'll get some feedback from some of the fellas. They are still floating around out there.

M

Hey just got back from my trip and I've started trading. Since I'm starting off again I'm using 0.01 lot to improve my consistency and discipline before I play with larger lot sizes. I traded eur/jpy from Frankfurt open to close today. I felt like I've over traded a bit and especially near the middle of the day, I lost the majority of my trades near there : (. Should of sat back realizing the market was really choppy.

Been using 10 tick charts but using 1 min charts to make the graph look nice.
Trades

1. Entered short from the previous down trend. TP +12
2. Short again +12
3. Attempted short but stopped out -6
4. Tried another short after seeing the sharp drop around 9am but stopped out -6
5. After failing 2 shorts tried to go long but the volatility was low when I entered. Went side ways and got stopped -6


6. Had dinner and came back. Tried to go short after seeing sudden upward spike but stopped out (think it was too early and I should of waited for confirmation). -6
7. Tried to go long after 3 upward legs. But was too early again and got stopped out. (Maybe I should of set a limit buy order at 111.500 afterwards knowing it was still in an up trend) -6
8. Again tried going long but stopped out (Not sure if I am taking it too early, maybe should wait) -6
9/10/11. Tried to go long each time but got stopped out at 10 and 11 (I should probably set a limit order to buy if I see a up trend. Can't click fast enough) +12/-6/-6
12. Shorted since price was kind of congested around 111.87. +12



17. Tried to go long after a huge spike in price. (Maybe should of waited since they usually retrace back). -6
18. Tried long again -6
19. Shorted upon seeing the the major retrace from 17. +12
20/21/22/23. Tried shorting, got stopped out all 4 times. (Market direction wasn't clear to me so I should of stayed out. At 22 I should of probably attempted at long since price bounced around 111.5 3 times. -24
24. Tried long but stopped out. -6

Total profit/loss -30 pips

Thoughts
I think I got a bit too impatient and tried to jump into every single opportunity, the market direction wasn't very clear so I should of stayed out during some of my trades. Tomorrow I think I'll trade less and pick more ideal set ups and see how that goes. Gotta remind myself to be disciplined and stick to using limit orders and plan my trades out.

Anyway everyone's thoughts will be appreciated since I'm new to this and not very sure on the style this method should be traded. Sorry for the long post but I made too many trades today xD.

Good charts. Good post. I'll go over them and put my 2 cents in. Good plan to trade with the smaller lot until you're comfortable.

Put a couple thoughts on your charts. Look at working on placing your trades on the levels you want to get in @, instead of clicking away, using market orders. Plan your work and work your plan. Keep charts coming.

So I decided to trade before reading your advice on my trades yesterday and I feel pretty ashamed to repeat my mistakes today T.T. Anyway I've memorized the advice I've forgotten in the previous posts like entering on the 12 pip retracement and the importance of whole and half numbers.

Trades

1. Tried going short after the 2 downward legs from 112.125 but got stopped out.


This ones a bit chaotic. I knew the PA was really choppy but I tried to catch tops and bottoms and as a result I got punished hard. I will stay out next time until the PA is nicer.

2. Tried a long after the large upward candle but got stopped out (should of waited for the 1 leg retracement!).
3. Not sure why I tried a short, was a really bad trade to be honest.
4. Again really bad trade, not sure why I shorted after a large upward candle.
5. Tried a long, but it was too early (I felt like I did it out of revenge and just saw an opportunity).
6. Again a trade I shouldn't of taken (the PA was really unclear at this point, should of waited).
7. Saw the large downward candle and shorted at 112.00 (whole number so I should of been more cautious and also should of been more patient and wait for the 12 pip retracement)
8. Shorted after a downward candle just before.
9. Shorted again
10. Tried a short but stopped out (I wanted to risk it since it looked like a solid down trend)
11. Tried short again but the price was hanging around 111.75 for a while and I didn't feel confident. Broke Even.
12. Shorted and it almost hit my TP but it reversed quickly and got scared. Broke even again
13. Shorted using a limit order but price hung around here for a while and got uncomfortable and broke even (Should of been patient, there was a high probability of the price dropping further based off the previous downward legs).
14. Saw price dropped to 111.625 and entered with a market order (very bad but it looked very good hahahaha).
15. Tried a short but instantly stopped out.
16. Saw that it was slightly ranging and went for a 6 pip short. In hind sight I wouldn't of taken a trade like this, it's better to focus on the 12 pips for now.
17. Tried to short again but around this time volatility was very thin (6pm Frankurt time). Wouldn't have enough players to move the price that easily. Should of stayed out.

Total loss of 22 pips

Thoughts
I made a lot of errors especially from trades 2 to 7 that I really shouldn't of, it was poor PA so I should of stopped trading and wait for a clear signal. I also get really impatient when price is trending and I'm afraid of missing out on a move. Tomorrow I'll learn to be more patient and wait for the retracements before entering if I'm not clear about the PA. I'll also sit on my hands if volatility is low and PA isn't clear. Problem with trading such tiny lots is that I lose maybe 80 cents of so on each trade so it's not really significant if I lose it. Gotta treat every trade seriously from now on .

I'm going to review the advice you uploaded tonight and before trading tomorrow. Gotta stamp out the bad habits as soon as I can. Thanks for the reply Mongolian, really appreciate your insight.

Just my 2 cents. Put a 34 SMA on your chart and only trade on the right side of the trend. For example - if price is below the MA only take shorts. If price is above... should be obvious.

There's my friend. Figured you'd pop up eventually.