As per my point of view, GBP/AUD is not on my radar as since April is into a trading range.
If I had to trade it, I would take short only as it has broken the low of 3 of the last 4 week…
But there are better candidates out there…
I absolutely agree mc297, far better choices if you’re adhering to the core principles of the approach, but this wasn’t one of those.
As i mentioned in one of my previous posts I’m using the 00’s, average range & session levels in tandem with a strength indicator & filtering the appropriate set ups based on that option for short-term opportunities.
Hi, I’m sorry, I have to read again your post. It wasn’t a critic at all anyway, it was just to check if my view is aligned to the principles of the core structure presented.
No worries my friend, it’s all good 
You’re quite correct in your observation about there being much stronger & better established core directional opportunities out there currently & of course that is the primary objective of this approach.
The thing i love about their material is the fact the same basic principles & 4 step process can be very easily transferred from a medium to long range outlook to a short range stance with minimal effort & without compromising the structure.
I think it was AltTab quoted in one of his recent posts, “its a man for all seasons” & he wasn’t exaggerating. There are very, very few concepts where you can change hats so quickly using the same tools. Usually it requires a whole separate strategy change to achieve that objective.
[quote=“roddysmith, post:1302, topic:71504”]Sterling & Canadian$ are holding up well today with Australian$ & Swiss Franc under-performing so I took a long Pound/Aussie day bet as it bounced 1.81 an hour into the London session spurred by a full tank of 130 pips worth of average daily range.
Right on cue it covers 80% of its range into 1.82 as the meter began easing off into the lunchtime/New York overlap period.[/quote]
You got yourself a reversal of fortune today sonny jim.
A quick peek at the retail positional biases for yesterday & this morning on those 2 revealed majority leaning long on both spiking to +76.3% on gbpaud & +75.7% on euraud during middle of yesterday’s NY shift.
Aussie was as strong as the Pound & Euro were weak all through Asia & London this morning, & with the wind at your back courtesy of their liquidation stops below yesterday’s lows you ought to have had a comfortable short ride on either of those.
They’re both up around 80% of range into the lunchtime lows too, so not bad odds at all for an intraday punt……not to mention they’re weighing heavy to the downside anyway re; directional momentum, so you could have ticked that box too.
[quote=“double_6, post:1308, topic:71504”]You got yourself a reversal of fortune today sonny jim.
Aussie was as strong as the Pound & Euro were weak all through Asia & London this morning, & with the wind at your back courtesy of their liquidation stops below yesterday’s lows you ought to have had a comfortable short ride on either of those.[/quote]
Hi double6
I posted as much 12 hours ago on another thread where a like minded soul is looking at the same type of strategy.
My readings were similar too all the way off the kick start of Tokyo & never really subsided into european trade. As you say, both pairs are structured short this week anyway & confirmed the heavy tone as they pierced last week’s lows yesterday.
At the moment i’m getting my brief from the strength data, flagging up the highlighted currencies, overlaying the tools (avg range/00’s/session levels) & where possible taking trades in line with dominant flows. However, if i can compute 2 of the 3 default confirmers, which i was able to yesterday on the Sterling/Aussie long, i’ll take it on against a directional bias as it’s strictly an intraday trade opportunity & not a standard directional set up as per your framework.
Basically i’m using the medium-long term set up opportunities in line with how you guys have presented it & taking the core of the tools to put my own spin on intraday opportunities in tandem with the strength data.
Early day’s but i’m comfortable with the risk, have plentiful capital at my disposal, using very low leverage & focusing purely on the higher average daily/weekly range pairs to maximise odds & obtain decent value.
If you guys have any input related to it please wade in, after all it’s your material that’s inspired me to shape the model according to my own preferences. I’m conscious that i don’t wish to drag the thread off topic so not wishing to annoy the regulars, will keep it to myself if requested to do so.
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Knock yourself out sunbeam.
We’ve always maintained those few minimalist tools are there to help shape & mold your game plans. We’ve offered direction & guidance based on our collective experience as to where the best bang for your buck is & how you can exploit the weaknesses of your retail competitor, of which there are many!
Judging by your initial contributions you already seem up to the task of deploying the elements of the framework to suit your psychological tolerances & that my man is a huge leap forward when gearing up for the gambles ahead. Use the tools however you wish, that’s what we presented them for.
Identify
Filter
Execute
Manage.
It works just as effectively & efficiently when betting the short game as it does the long game.
Enjoy it & post here as often as you want – you won’t be disturbing or annoying anyone.
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& on the subject of bang for your buck….
that’s where you’ll obtain maximum value on that score if you’re considering incorporating strength data into the mix.
corpellan’s eur/cad short bet on monday & your re-engagement with that gbp/aud short bet yesterday morning are perfect examples of using data such as that to stack favourable odds on your side.
you rightly noted the strength in sterling, weakness in aussie during early wednesday trade & although there was nothing wrong with your back-up confirmatory reasoning, you’ll need that scenario to stack up virtually every time you trigger a bet against clear directional momentum… in other words, selectivity & timing will have to be absolutely crucial because your margin for error will be a lot less than it will be when engaging with plentiful flow behind your back.
i’m sure you’ll discover via the feedback from your stats which path offers the least resistance.
good luck with it.
Cheers laine.
One of the things that kept me glued to this thread when i first began reading was the consistency & clarity of the advice you guys dispensed. I’ve not only revisited the posts a few times but also leisurely looked back at charts with the tools plotted to see for myself how consistently these events unfold. Also your comments to other new thread posters & the examples shown have added & strengthened confidence in the set up.
I’ve only been observing this model for less than 12 months, so nowhere near as long as the majority of regulars, but since i got linked here during last summer & began adopting your filtering & prioritizing sequence there have been very few days or weekends where i’ve failed to correctly identify the priority set ups. Nothing i tried in the previous 2.5 years registered anything near the kind of structured order you offer in this template & certainly not with such clarity.
I like the fact whatever i decide to trade, the process is exactly the same & that takes a lot of stress out of the situation. It’s also an easier task to gauge & identify potential weaknesses in my preparation & execution.
For the first time in a long while anxiety is low & confidence is high which translates to actually enjoying switching on the platform looking for trade op’s every day & weekend. To a degree it’s changed my outlook regards taking day trades too. I’d veered away from that approach before, but the process you’ve laid out lends itself to an either or scenario, especially when a currency begins exhibiting clear strength.
The acid test is always reflected in real live account balances & mine has been ticking over & continuing to register a steady positive curve ever since i began getting to grips with this framework. That for me says it all.
Fear not, i’m definitely not intending to sit here reacting to every little wiggle in a strength meter. My occasional day trades will be as strictly filtered as my continuation entries.
As apache mentioned earlier last week, a meter isn’t necessary at all when identifying trending/momentum set ups, but yours & Billy’s comments below regarding using one as an added nod to a potential resumption following a pullback won’t distract from the main core of your set up criteria.
Thanks again guys. I asked for input & you’re nothing if not consistent with your comments, advices & interaction & i very much appreciate it.
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Quite interesting to see on this week the trader’s positioning (from my broker, Dukascopy) on EUR/JPY:
and the footprint of the pair:
exactly the opposite! 
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it was an even larger disparity last week on nazdaq up at 7000 & Nikkei at 22520. Most were shorting into the beginning of this week & as far as I know sketcher & corpellan are still running strong long bets in those 2.
.
similar picture at 76.0 on audusd & 98.0 on audcad…very heavy (aggregate) short participation on both into the last week’s close/this week’s open ensuring the guys received acceptable odds on their long bets.
as you’re no doubt witnessing, these opportunities are plentiful every month when combining that observation with the correct positioning & set up triggers.
Hi, I have a question on how to trade those pairs that incorporate for example AUD, NZD ecc.
Let’s take as example AUD/USD of this week:
Assuming I trade in Europe and I try to catch the movement at the beginning of London session (where volumes are higher) and I tend to close or trail my SL when the price has travelled the daily range,
on Monday I would have missed the entire move as at 8.00 price did travelled almost 100% of his range.
On Tuesday I could have taken the stocastic hook after 8.00 with a loss and the the second one at about 16.00 (also 123 pattern on 15m) that could have returned an about 1R result. Yesterday wasn’t a big move during London session too.
So the question is: shall I have to trade AUD/USD (but also NZD/USD, AUD/JPY ecc…) not only during the London window but preferably during asian sessions?
A lot of the Australasian momentum in the corresponding pairings is stronger during their regional business hours. You will pick up pullback & continuation breakout triggers during European & North American hours but as with anything else, patience will bring its rewards.
As you note, occasionally a good chunk of the daily range will already be banked into the mid European session so you’re going to need to ensure all the key components of the set up are lined up in your favour before triggering.
Wyntac was shorting gbpnzd during most of May & we noticed a good percentage of his bets were triggered at the beginning or during European hours. Same with eurcad in April. If you trigger off the key levels (prior session high/lows, round numbers etc) via pullbacks & breakouts you’ll receive a decent percentage of entries during your own regional business sessions.
Thank you very much!
Just be mindful of those smaller range pairs when attempting to engage intraday day type gambles. You really need as much gas in the daily range tank as possible & aud/usd only has a touch over 60 pips to go at. We’d advise to skip the lower end range pairs when taking intraday punts unless you can grab a good chunk of the range at entry during your regional business window.
They’re ok to punt them via rollovers & trail your stop up underneath key levels or the day’s range to see how far they can run. Some of them will sprint a good way especially if they’re being driven by strong sentiment/momentum.
Using that chart example, you’ve correctly adjudged the positioning this week as long above 76.0 & your higher odds entry was indeed that pullback trigger back to that level on tuesday as it was backed up with a full tank of range gas, punching off a key level & had the flow behind it.
If you’re looking to punt aussie via intraday gambles you’d be better off eyeing it via either sterling or euro as they afford you between 80 & 150% more range flexibility than aud/usd.
Those are 2 of the 8 higher range pairings that take top billing when considering intraday gambles on the spot offerings. The other 6 being gbp/nzd, gbp/cad, gbp/jpy, eur/nzd, eur/cad & gbp/chf.
[quote=“AltTab, post:1318, topic:71504”]Just be mindful of those smaller range pairs when attempting to engage intraday.
If you’re looking to punt aussie intraday you’d be better off eyeing it via either sterling or euro as they afford you between 80 & 150% more range flexibility than aud/usd. Those are 2 of the 8 higher range pairings that take top billing when considering intraday gambles on the spot offerings.[/quote]
That’s a very apt reminder & one which has helped me personally.
I read similar advice back in the thread when i began perusing the content & it’s definitely worth taking on board. Although the crosses can sometimes chop around a bit before getting into a groove, the extra range coverage they afford on day trades is worth the effort.
I’m lucky i can catch the opening segments of the Sydney & Tokyo sessions mc, but i’ve also picked up entries during european trade too. They might not be as competatively priced regards available range as in their own trading zones, but they do come around, particularly if news or events influencing Sterling, Euro or Canadian Dollar ramp up the volatility.
& all 3 of those have had ants in their pants of late, particularly today.
Interestingly, but not unsurprisingly the majority of those 3 cross match pairings stalled or bounced previous weekly highs/lows or round number levels having breached daily, & in some cases covered weekly range averages almost to the pip.
If you missed the first swing of the bat you could catch it with the second using the same data set.
Aye. Some habits are just so conveniently predictable aren’t they 
Price constantly seeking sanctuary……
Hey mister deee-jay…….
Run a few stops….spin a disc or two….chew the fat….be the ‘deeejaaay’….
Before you became a poptastic deejay mate you tried to date our Pauly didn’t you, you naughty naughty boy!
5, 4, 3, 2, 1 & action…cue camera, cue sound.