THE JOY OF CANDLESTICK TRADING - a Learning Experience

[8pipike]

Hello Tymen and all,

Did any of you trade on Friday morning?

Here are 2 charts in the attachment;
the first one is the 30 minutes and the second one is the 5 minutes, from Friday 8:00 AM.

Beautiful evening star formation (isn't it?) and I thought this will be good ...and what happened

...then I panicked and started loosing money.

Do you have any advice on this chart?

What did I miss here, besides that it's Friday...the unpredictable!

Have a great Sunday!

[VulcanClassic]

8pipike,

I do believe that spike was the US Non Farm Employment Change and US Unemployment figures, which were worse than expected.

Check out forexfactory, they have a good economic calendar.
Make sure you know what is coming and when for the day before you enter a trade.

[forexsmile]

...::: Forex Smile :::......::: Forex Smile :::...

[Max99]

Originally Posted by 8pipike

Hello Tymen and all,

Did any of you trade on Friday morning?

Here are 2 charts in the attachment;
the first one is the 30 minutes and the second one is the 5 minutes, from Friday 8:00 AM.

Beautiful evening star formation (isn't it?) and I thought this will be good ...and what happened

...then I panicked and started loosing money.

Do you have any advice on this chart?

What did I miss here, besides that it's Friday...the unpredictable!

Have a great Sunday!

8pipike,

I see two problems with your trade.

1. Avoid trading close to news releases. And NFP is a big one.

2. If you were looking at the 7:30 bar as your evening star, I would have avoided that trade regardless of the news. That star is not near the Bollinger Band. Maybe it’s just me but I’ve found a much higher failure rate when the candles are not on or outside of the BB’s.

I noticed you are using FXCM. Are you live with them? If so, what’s your opinion of them? I have a demo with them and I really like the charts and platform. I’m live with MBT but their Navigator platform is terrible.

Max

[Babysteps]

Hope it help.
It's 2 sample of candlestick indicator, Let me know your opinion

[concept]

Originally Posted by 8pipike

Hello Tymen and all,

Did any of you trade on Friday morning?

Here are 2 charts in the attachment;
the first one is the 30 minutes and the second one is the 5 minutes, from Friday 8:00 AM.

Beautiful evening star formation (isn't it?) and I thought this will be good ...and what happened

...then I panicked and started loosing money.

Do you have any advice on this chart?

What did I miss here, besides that it's Friday...the unpredictable!

Have a great Sunday!

I am not even close to a expert... but I would have to say that you ignored one of Tymens rules for opening a trade. The evening star has to be closer to the upper BB as the real body of the candle was closer to the middle. That and the NFP which I understand is a fairly big economic event to stay away from if you like to lose money.

[8pipike]

Hi everybody,

Thank you all for your advice, I appreciate it.
I'll answer to everyone here:

VulcanClassic - yes, that was a big mistake! Calendar is great, I'll use it.

Max - I'm a bit puzzled here. Look at the 04/03 3:00 AM EUR/USD chart the evening star formation is on the lower BB, and what a great short trade there.
I'm live with FXCM and I really like them. If you like their demo, then you will like the live platform, as it is the same; and they are very helpful if you have any problem.

Babysteps - I cannot open the files. Can you post it in a different format?

Concept - I have to read Tymen's post again.

I'm looking forward to learn more from Tymen and from all of you!

Thanks for your help!

[tyrant_ragg]

Hi Master Tymen,

Have a question regarding the entry strategy. Specifically when the vector is going down and we're selling, why do we have to enter at lower part of the KC given this would hit us a few pips? Example we're shorting and the current bar for entry is in the middle of KC but the vector is downward, if we short right away this would give us few more pips rather than waiting for the bar to hit the lower part of KC. Please enlighten me if i'm misunderstanding something on the entry strategy. thanks.

[tyrant_ragg]

Hi Again to All,

Need your opinion on the daily chart i attached. The 3 bars before the red line show's the pattern. Then next 2 bar is just from tokyo open till today but show two bars because the MT4 server is using different time zone. Can we consider this a valid short entry? In my opinion it is but the next 2 bars is bullish.

[tymen1]

Since I last posted on Friday, a whole lot of new posts have been made.

Firstly, I would like to thank Yuv, Tonymand, Aha, Vulcan Classic and Sweet Pip for their ongoing compliments.

I say to Love forex that you have only 3 posts and are not yet rated even as a newbie!
Please learn to respect this forum and stop spamming.
I would respectfully suggest you take some English classes and learn how to spell !!
Then use this forum for what it is designed for - to learn!
In any case, your spamming is not appreciated on my thread!


To Sweet Pip:

I think you have got the Ergodic right. It was invented by William Blau and designed to work even with large gaps in stock trading. I had a scree of notes on it but I dumped them as I do not use the ergodic for anything. There is loads on the internet about this indicator.