Hi!
I have been following this PA thread with great interest.
Thanks to Johnathon and all for starting & keeping a great thread alive.
I am learning how to trade using PA, and i love it coz it keeps things simple and clean
I’m currently trading on demo (after burning fingers for 2months in live due to impatience until i can learn to trade profitably using PA.
What i also like about you Johnathon is that: you not only show trades in hindsight, but also post them before the action happens, and this is more real and sincere, and shows that the method works.
Here’s to effective learning and consistent & profitable trading!
pretty much answered your own questions spongy! Yes the majors are the bomb however the Forex market is a 3-4 trillion dollar a day market, so the other smaller pairs are still doing large sums of money!
The main factor is when trading smaller time frames as 1hr. that is when we want to be trading the majors and not the exotic but on the daily such as my setup above on the daily USDSGD it is not as important!. I watch roughly 40 pairs on 4hr and daily charts but only 15 or so on 1hr!
I plan to keep this thread going and build it for all to learn how to trade Price Action the right way! Price Action is the way, and I have come to find out many have been led down the wrong way
I will continue to post live and in hindsight as a learning tool.
Please stick to demo (ALL) as there is no reason to lose in this brilliant market of our’s that is forex as we have demo’s!
Safe trading to all I look forward to many posts to come.
Nice reply on changing on currency trade… How many time you can take to update the price action in the market? Help me to trade with your signals guide!
Great information in this one post! I would like to ask you how you define the trend direction and also how back are you going in the charts to define support and resistance levels.
For ex. for the trend…please, correct me if I am wrong…
…but, if we zoom out, the picture changes. The general trend looks more on the down side. Now, considering how the price hesitates and rejects the lows from middle of July 2011 up to beginning February 2012, and having that huge spike 31st of October would you still trade to the down side or …?
How long will you take to update the changes on share level? Within a second or after some time… Guide me how to make the beneficial trade with the trading updates…!
Please, could you post the same GBPUSD Daily chart with your S/R levels marked, that we could learn from. This is something I am struggling…It would be a great lesson!
p.s. I would like to apologize for bombarding you with so many sometimes maybe “stupid” questions…But I think it is in a favor of all of as in this tread to ask questions and to learn from the answers
I’ve attached GBPUSD pair with my S/R levels as well for evaluation.
I use the line chart to plot the S/R levels, then switch back to candlesticks
( Apologies for the lack of colours, still using the basic setup… )
Thanks!
PS: the darker lines are what I consider to be stronger areas of S/R while the lighter lines are what i consider to be relevant but less stronger areas of S/R
Well, I’m a beginner also, so my definitions of S/R levels may not be correct, also waiting on Johnathon and others to comment.
But my definition of stronger/weaker is based on what i see as the number of peaks/troughs at a given level.
For example: on my GBPUSD chart, i have turned off auto-scroll (Chart > Properties on MT4)
-> So after switching to line chart, i do a quick scroll back in time, and see, for example, where multiple high peaks seem to coincide. I then draw a line at their peaks (approximate best fit).
-> Then i scroll back forward to current time and see if that also approximately aligns with recent peaks. The more the peaks seeming to meet at that level, the stronger i consider that area to be. The fewer peaks i see hitting that level (over the scan of time), the weaker i consider that level to be (but still relevant, especially for setting stop losses and take profits).
-> And then i switch back to candlesticks.
I have also found though, several times that i end up with too many lines So i’m trying to learn now to eliminate the ones landing on fewer peaks (e.g for resistance) and leave those having more peaks/troughs. Looking forward to Johnathon’s & others’ comments!