Please Help!! I thought this was a good trade! Chart included

[thoughtpunk]

Hey ctbasscatcher, my first post here and hopefully a very helpful one.

I was intently listening to those company CEO's on cnbc and i specifically heard one of them say they are making more money from stop gains and their primary goal is to protect their clients capital. Once I heard that I really sat and thought about it.

they are profiting fro stop gains. just like happened in your situation.

I also noticed some free forex signals sites that have been pretty spot on with their signals are losing due to their stops.

From hearing that and noticing the losses i've come to the conclusion that these guys are intentionally buying (in your case) before letting the market take its natural Acton.

Mike
just my opinion from observing. =)

[Blaiserboy]

From what I see on your chart...... the Macd line and the Macd signal were both above the zero line.......... indicating up trend....

[chubspips]

Look, If MP is willing to take the time to speak out on this trade, I feel you are definitely on the right track, and agree with him concerning your current broker. Though I can appreciate a "free $25 live account", I am certain I have learned my lesson with FXCMMicro and will be moving in another direction as far as future accounts. I would refer you to a Thread I created a couple weeks ago this Sunday, but its probably back a ways by now. It is titled "New Problem Found With A Common Micro Account Broker" here on Newbie Island. It includes posts from many "team player" type traders here on Babypips, including MP and others, (no disrespect intended for not mentioning other names).

If you should choose to find a good broker, I would ask people who I see as reputable who they use, do some homework of your own by talking to different brokers on your own without following links, and see what they are offering you, as, afterall, we are living in a "buyer's" market frame of mind.

If, for what ever reason, you should choose to continue your contractual marriage with this less than lawful brokerage, hmmm.

Please know that not all brokers are out to get you. There are good brokers out there, but this one you are seemingly currently with would be one to be more than concerned about.

Further, there are people out there that will more than willingly share their tools and maybe even help you set up your trading station, but again, be careful to choose from reputable traders... MP is definitely a very good teacher and I have yet to be billed. I still owe a "pound of flesh" or 5 myself.

Good pippin,

Chubs

[ctbasscatcher]

Thanks for all the great advice....

MP, I have a couple questions if you don't mind:

sorry you couldn't see the exchanges, it was usd/chf bought on 2/6 at 11:54 and was stop loss was hit at 12:05 (one minute chart)

"i would exchange your RSI for a 5/3/3 or 8/3/3 STOCHASTIC WITH a CCI "
for the CCI what is the parameter for number of periods...default is 14 will that work?

ITS LIKE THIS ---- you see the stochastics start DOWN, but you see that the CCI is BOTTOMED (has NO more room down) and perhaps its STARTING UP --- this immediately tells you that there will be an UPMOVE BEFORE THE STOCHASTICS INDICATED DOWNMOVE, and so you are protected !

Do you have an example on a chart as to what this would look like? I've looked through some charts for examples and not sure it I see it properly.

an alternative to the CCI (although i use both) is the "accumulation/distribution" indicator which seems much more intelligent than the CCI

Where can I find this, I don't see it in my "add indicators" box. Is this a custom feature or one that is only available in mini or larger accts?

what charts time frame are you using for all these indicators?

Since beginning my Forex trading I have been reading, absorbing and following as much as possible not only learn but also create my own system of trading. Hopefully these questions weren't too forward of questions as I know some traders are very protective of their systems....alot like fishermen are of their fishing spots :O)

And Last and probably most important

ps -- besides teaching i also make the best bagels in new york !

Boiled or baked???

I owned a bagel shop not too long ago and (IMHO) Boiled is the only way to go!!!

thanks

[mp6140]

Thanks for all the great advice....

MP, I have a couple questions if you don't mind:

sorry you couldn't see the exchanges, it was usd/chf bought on 2/6 at 11:54 and was stop loss was hit at 12:05 (one minute chart)

"i would exchange your RSI for a 5/3/3 or 8/3/3 STOCHASTIC WITH a CCI "
for the CCI what is the parameter for number of periods...default is 14 will that work?

while not so easy to do if youre simply switching between timeframes on an MT4 platform, i use a slightly different value for each timeframe --- 14 for the lower timeframes and 12 and 10 for the higher ones (h4 + daily), as i have seperate charts for each timeframe already set up with their own indicator values. Default WILL work, but try 12 and see if it works for you

ITS LIKE THIS ---- you see the stochastics start DOWN, but you see that the CCI is BOTTOMED (has NO more room down) and perhaps its STARTING UP --- this immediately tells you that there will be an UPMOVE BEFORE THE STOCHASTICS INDICATED DOWNMOVE, and so you are protected !

Do you have an example on a chart as to what this would look like? I've looked through some charts for examples and not sure it I see it properly.

Its almost (probably close to "totally") impossible to show this on a historic chart as the stochastics will have gone to where the CCI "was" (repaint, in a manner of speaking) --- the only way to see it is LIVE as its happening --- study what i said above and you will definitely see it in action !

an alternative to the CCI (although i use both) is the "accumulation/distribution" indicator which seems much more intelligent than the CCI

Where can I find this, I don't see it in my "add indicators" box. Is this a custom feature or one that is only available in mini or larger accts?

the "a/d" indicator is a standard indicator on all MT4 platforms that i know of.

what charts time frame are you using for all these indicators?

EVERY timeframe !

Since beginning my Forex trading I have been reading, absorbing and following as much as possible not only learn but also create my own system of trading. Hopefully these questions weren't too forward of questions as I know some traders are very protective of their systems....alot like fishermen are of their fishing spots :O)

Fishing is a different situation, and if i were an ardent fisherman, you wouldnt get no information from me at all, simply because you would be stealing MY fish but if i give people some information on forex, you WONT BE STEALING MY MONEY --- plenty to go around, so to speak !

And Last and probably most important

ps -- besides teaching i also make the best bagels in new york !

Boiled or baked???

I owned a bagel shop not too long ago and (IMHO) Boiled is the only way to go!!!

Baked is for the Gentiles, along with cinnamon raisin !

thanks

enjoy and trade well

mp

[Cdawg]

Late reply but heres my 2 cents:

Looked to me to be a rising wedge, with higher lows as it got closer to where you placed your order, so it really was just a matter of time time it broke through.

take into account everything you see on the chart, price action!

[Pliko]

It tested the resistance 5 times.... making it seem like that is a strong resistance level.... but if you look at the support, it only tested it, what? two or 3 times (one double close together) and then kept sliding up

Following the 5 tests it started smoothing out in an upward direction and it looked to me like sellers were losing momentum to the buyers....

IMO you did read the charts right for that time frame, but the fact it kept bouncing up against the resistance and didnt test low very many times would have made me VERY leery of making a sell even with the indicators crossing.

If you had slapped stochastics and a bollinger band up there I think you might have gotten a little more insight into what was happening, but it is good you are analyzing the trade... even if a trade goes well its good to go back and verify signs and see what went right, for keys to future trades

Edit: Also, consider the stop loss.... If you are betting hard on that resistance level, why not set the stop loss just 5 above it? That way if it breaks what appears to be an established resistance, you can be fairly sure its going to keep going a little ways... on the other hand if your stop loss was larger, you could have kept going and caught the downtrend, but thats not something I would have bet on.

[Doug Allen]

First can you look at the chart and tell me if I read it correctly and what you would have done different and 2nd this seems to happen often almost like "they" know what I'm doing and grab my money and run. Is that possible????

Trading is about probabilities. You may read charts "right" and still lose individual trades. Nothing is 100%. It's like playing blackjack. It's "right" to take a card every time you're holding 12 and the dealer is showing a 9. Does that mean you'll win every time? Of course not.

[mp6140]

finally got around to looking at one of my charts and can see exactly what happened and what you did.

you went long (in an uptrend, so it was ok) but you bought at the top of the upmove at that particular time ---- the price retraced (as normal after hitting resistance) and then WENT UP AGAIN ---- youre sl was much too tight for what you were doing.

now people know i NEVER set a sl on ANY timeframe trade, but would NEVER do it on a one minute scalp --- first it takes too long and second, its sorta useless (ill use a mental stop if i feel the need), but you should have checked your five minute chart and your indicators to see the uptrend was STILL in place and you wouldnt have been stopped out.

try using "barrys support and resistance" and the LRC that i always speak about in my thread, and i think you wont repeat the situation again !

the first arrow on the left shows your entry and the second arrow shows WHERE it would have gone had you not used a stop or a looser stop ! The indicators show the same thing as the price action.

enjoy and trade well

mp

Within the great hall at Elfinore stands a wondrous coffer, precisely four cubits square and securely latched against the outside world. Inside that repository, shut away from impertinent eyes, abides many an intriquing trading secret garnered from around the world and over the ages !

As a child, i used to watch from the darkness as the secrets were debated and annotated by the elders. No one there held a single thought of my presence -- BUT I KNOW WHERE THEY HID THE KEY !!