The True Way To Beat Forex (Beating the banks)

Notice the distribution pattern on the chart, always setting up on thursdays or fridays.

In this order,you are looking for a move in price that is not accompanied by an increase in volume
,and thatā€™s when you want to take the opposite side of the move. Is that the logic?

Cheers

Correct,

you want to enter at the end of a low volume downtrend right into the peak of the extremely high volume downbar least you miss the move.

hi, von:
just curious: where is the pdf youā€™ve been talking about? I really hope u can give us a more in-depth explanation of your system in the pdf. Right now Iā€™m still a little confused about how to use volume and price to enter trades.

Iā€™ve just recently started writing the pdf for it and i wonā€™t be done for a while. About volume and price entry, you enter in a downtrend that has low volume going into high volume downbar. The downbar has to have extremely high volume for you to enter in after the trend, itā€™s that simple.

I donā€™t know any other way i can explain it, which is why the pdf is taking awhile to compile. I also have to compile examples of charts and so on, so it will be awhile. But, if you have anymore specific questions then feel free to ask.

Hello Von :slight_smile:

I am just a beginner in forex, having only weeks of experience and learning. I have revisited charts of EUR/USD according to the info you gave. It is amazing! Almost all have the same pattern you are talking aboutā€¦ downtrend at the beginning of the weak with low volumes, until approx wednesdays, then increase in volume > there is the entrance point. And usually thursdays/fridays the uptrend has reached around 50-130 pips > exit point. I even noticed in the weeks with the NFP fridays that the uptrend tends to finish thursdays.

Did I get the point? Do I need anything more to trade this method if I now see the pattern in charts?
Thank you for your sharingā€¦ It is really helpful.

I assume the same is applied for an up trend with low volume.
You are talking about those extremely high volume downbars(bearish bar, forex lingo;)) as an Entry signal to trade a reversal, right?

It would be much more comprehensive if you post a picture of that bearish bar,with the down trend before it and reversal afterwards. Now I know you posted various pictures already,but Iā€™m affraid most peers find it difficult to read those pictures. Mostly because you are pointing out more than just one candle and on top of that you have horizontal lines running over the chart,this and all the texts can be confusing. If not explained seperately.

Hope I make sense.

Cheers

You can be atleast 90% successful using just what iā€™ve laid down, yes. In essence you donā€™t need anything more to trade this part of the method but overall it goes much deeper into detail if you want to catch more moves of the trends. But going off of just those few parts of the setup, when they happen you can use them to your advantage.

You make perfect sense, i do get alittle sloppy with overall market trend following. I put those setups on the charts that i saved as they happened and i donā€™t have any ways of un doing them, so iā€™ll have to make new charts from scratch explaing my method regoing over all the setups as they happen again in detail.

Thanks for your input.

Now, on to stops. You can use stops at the point to where you will never be hit and are gauranteed not to get filled on a stop. You can place your stops right below the entry point of the setup, or seconds away from the low of the day and are guaranteed not to get hit. Cutting your losses short and letting your profit run itā€™s course. I use 10 pip stops when scalping but when looking for much bigger moves, 20 pip stops are proper to setup. There is also a way you can ā€˜break the spreadā€™ which i cover in my method, so much to get into.

Like i said, knowing how to beat the banks is long overdue and is about time people start waking up to the reality of trading. To know that itā€™s extremely possible to come out on the winning side of the trade.

Remember this one key principal which will serve you well,

For every Buyer thereā€™s a Seller.

Someone always has to take the otherside of your trade.

Hi von,

As you mentioned last week accumulation already started on Friday,is that correct?

If that is the case then how do you identify phases?

I reckon a new week could serve as a tutorial to spot phases and market movements. Which in return would bring clarity.

Cheers

Volume calculation plays a big role in this approach - but I really donā€™t know where you go to get volume. I work on Tradestation and I think they are reporting the volume thatā€™s going through their system, not total volume.
Anyone have a comment here?

To spot the accumulation phase you have to first identify where the analyst says price is going to go on Monday. If he says that itā€™s going down then you wait for the down bar strong volume to hit for confirmation. The market maker will be accumulating in large blocks. Sometimes in 5ā€™s to maybe 10ā€™s of shares (pips) at a time 100,000 lots and so on on an extremely thin spread. So, with that being said, you can initially scalp the market out of this setup, but you have to go with the analystā€™s recommendation, this is vital.

With Analysts itā€™s tricky, they donā€™t recommend where price is going,rather pointing out levels where price could go. Moreover there is not always unity between analysts. Thus sourcing bias is somewhat unconventional if you are not really used to it, I suppose.

Cheers

Yes, i know.

This is why you have to go with the most popular analyst. Who is the most popular broker on the forex planet and the most poweful?

FXCM

You have to remember one small thing, WallStreet wants you trading as blindly as possible and their biggest motivation is trying to get you into trades so that they can capture on the spread and/or catch you into selling. Eitherway itā€™s a trap by the market makers into getting you to pay the spread for example.

London session review and outlook October 28 - YouTube

Bulls vs Bears: The spread Betting Morning Update October 28 - 2013 - YouTube

Heā€™s recommending that you go long, but is also planting a short bias because he knows that traders will try to catch the meat of the move (markup) aswell as the small moves that accompany the long bias. Notice how heā€™s giving a huge long recommendation now at the beginning of the week. Remember, that they need massive amount of long positions for the markup to be successful and they would rather have huge longs in the market rather than massive shorts. But WallStreet (the market makers & analysts) are greedy.

They want you doing both, buying and selling. This is where the accompliss comes in to play and is rather handy for setting up shorts for market maker accumulation.

Today they are still accumulating and will probably stop either tomorrow or tuesday early wesnesday.

These videos have barely 200 views.

So to Recap,
-The market maker wants to push price explosively high on Wednesday.(markup)
-In order for that to happen they need to accumulate as many long positions as they can.

But I thought the analyst is usually lying,no?

Cheers

The whole thing slowly begins to get very interesting. Never watched the market from the side of accumulation, manipulation and take profit but after some research it seems to make sense.

By the way, the news of the german analysts of fxdaily are more bullish than bearish, too.

Hi Von,

Youā€™re right to say that FXCM wants people to place trades with us. After all, we make our money from the trading volume. However, you are mistaken about why our research analysts at DailyFX will often mention both bullish and bearish factors that could influence currency prices. They provide both sides to help traders make informed decisions for themselves. That is why twice a day, they even publish updates from our Speculative Sentiment Index (SSI) which shows how FXCM clients are positioned in the market, so traders can use this information as a contrarian indicator.

Hi Von,

Could you kindly share any input regards these charts?
Anybody else, please do post your thoughts.

/s22.postimg.org/3q45201gx/USDJPY_chart.png

Another way to look at it is below.

s12.postimg.org/vjgmkymlp/USDJPY_H4_Chart.png

Thanks,

V


@Von
Am quite new in the business but I ve gathered some knowledge from my experience so far and with people like you.
My questions are as follows:
Does the markup which you described occur only during high impact news releases?
Does accumulation occur before high impact news releases or is it the range prior to the news hour or day?
How do u measure accumulation and distribution within a business day, week, month, quarter and year?
What are the likely technical indicators to measure volume, range, accumulation and distribution? Thanks.