Pipbull's thoughts

[pipbull]

Here is what seems to be a great set-up, following the Ninja's AUD/USD idea. This one is for EUR/GBP.

See the progression of charts starting with Weekly and working your way down to 1hr.

This is more or less the kind of trades i look for. They don't have to line up perfectly like this but i do have to be at S/R levels on the Daily or higher, and there must be OB/OS conditions coupled with divergence on at least one of the lower time frames for me to consider a trade.

[ForexNinja]

Very nice examples! Oh so pretty!

[topgun]

Excellent charts! I don't trade that pair but you their is a setup that good how can I not. I think I will just watch it and learn from it. Thanks for the breakdown.

Topgun

Originally Posted by pipbull

Here is what seems to be a great set-up, following the Ninja's AUD/USD idea. This one is for EUR/GBP.

See the progression of charts starting with Weekly and working your way down to 1hr.

This is more or less the kind of trades i look for. They don't have to line up perfectly like this but i do have to be at S/R levels on the Daily or higher, and there must be OB/OS conditions coupled with divergence on at least one of the lower time frames for me to consider a trade.

[fuside]

Thanks Pipbull,
Love your charts and explanation. I'm currently shorting this one too but I got in a little late at .6737. It's currently .67 19/22, leaving me with +15 pips. Should I exit now or see if it will drop to .6700. I've set my stoploss at .6737 the price I've sold at. Thanks

[pipbull]

Originally Posted by fuside

Thanks Pipbull,
Love your charts and explanation. I'm currently shorting this one too but I got in a little late at .6737. It's currently .67 19/22, leaving me with +15 pips. Should I exit now or see if it will drop to .6700. I've set my stoploss at .6737 the price I've sold at. Thanks

I am still holding it. Based on the rules i am testing, this trade calls for me to hold it until 1 one of 2 things happens:

1. Wait till the 4hr drops to OS then climbs back out

2. Wait until 6700, which is based on some congestion from the 4hr chart.

Whatever happens first i will exit. In any case, i have taken half my profit and moved to b/e at 25 pips of profit, which sort of removes the pressure making it easier to hold on


By the way, I'm glad you guys like these set-ups. This is generally the type of trade i look for so i will continue posting my ideas here. The thing to remember though is that since these are high probablity set ups they only happen a few times a month. I generally don't trade more than 5-10 times per month, across several pairs

[fuside]

Thanks Pipbull for helping out with the explanation. I really appreciate everyone's help on this website. It's nice to have experienced traders carrying newbies like myself on their back and explaining why they did something instead of just saying 'just do it'. Go Pipbull Go Go Go!!! ^^

[pipbull]

Originally Posted by pipbull

Here is what seems to be a great set-up, following the Ninja's AUD/USD idea. This one is for EUR/GBP.

See the progression of charts starting with Weekly and working your way down to 1hr.

This is more or less the kind of trades i look for. They don't have to line up perfectly like this but i do have to be at S/R levels on the Daily or higher, and there must be OB/OS conditions coupled with divergence on at least one of the lower time frames for me to consider a trade.

Attached is an update of the EUR/GBP trade idea i posted a few days ago. It worked out nicely.

[pipbull]

Here is my next trade idea for the USD/CAD.

When viewing the charts, start from the daily overview, then move down to 1hr and then back up to 4hr. The reason for this is because i started with major S/R from daily chart and then timed an entry on the 1hr. I used the 4hr chart to then plan an exit that would gave me a very nice risk:reward

Don't hesitate to ask questions if there are any.

[pkffw]

Hi pipbull,

Really enjoying your charts and analysis.

I have heard and used the technique of divergence myself. I learnt to look for divergence with the "waves" of the MACD signal line rather than the histogram.

I was wondering why you use the histogram more often? Do you find this gives better signals? More reliable? etc.

Any thoughts would be appreciated.

Cheers,
PKFFW

[pipbull]

Originally Posted by pkffw

Hi pipbull,

Really enjoying your charts and analysis.

I have heard and used the technique of divergence myself. I learnt to look for divergence with the "waves" of the MACD signal line rather than the histogram.

I was wondering why you use the histogram more often? Do you find this gives better signals? More reliable? etc.

Any thoughts would be appreciated.

Cheers,
PKFFW

I have found the histogram to work quite well. I find picking up divergence on the histogram much clearer visually. Does that mean to say divergence using the MACD lines or stochastics is any less reliable? No, not at all. In fact, I will take a divergence trade using the MACD lines as well or even stochastics. The point is that if you find divergence across multiple time frames, it almost doesn't matter what oscillator you use to see it.

This being said, i will question the power of the divergence if i see it only on the histogram and noweher else. I feel more comfortable with my trades if i can confirm the divergence, if not on other time frames, at least on other oscillators. In any case, divergence is divergence. If i doubt the strength of the signal i will just reduce my position size or scale into the trade.

Hope this helps