30 Pips A day Keeps the your money at bay

BankDaPips · May 6, 2009, 1:04pm

TMoneyBags:

That’s true, most of the time you will find 1-3 patterns that lead to the 30/60 min patterns. If you want to find a limit that would work in any given time frame just about 85-90% of the time, I would set my limit at the .382 of the CD fib measurement (Conservative). Another option which works as well is the .382 of the AD leg (less Conservative). This is because of the fact that usually when a pattern such as a Gartley fails, it retraces to the .382 of AD (testing price) before it fails. Also take note that its roughly 50% of a patterns target 1 which is typically the .618 of AD. Also, a good tactic that works (if you have the discipline to follow it). Is to set your stop as a free trade once it hits the .236 of your XA. I’ve found that when 8/10 times when a pattern fails it will reach the .236 measurement of AD (wick to wick) and then fail. An even more conservative way to set a stop or limit with this method is draw your fibs from the Base price of A to the wick of D. Go back through your charts and put the theaory to the test. Its real and it works, Again I highly stress that you must be disciplined to follow methods such as this.

I liked the fixed and conservative take profit approach TMoney…just sometimes that little green eyed monster comes whispering in the ear, “What if it goes all the way there?” lol. But it is much more feasible and consistent.

The biggest challenge, to me, in trading is to develop the discipline. But as time goes by we grow.

Bank

BankDaPips · May 6, 2009, 1:06pm

Ok Lavaman, I thought you were talking about the quality/reliability of the patterns on 15M. Didnt realize you were referring to stops. Nice trade on the EUR 5M by the way.

Bank

lavaman · May 6, 2009, 1:17pm

Haha, sorry about the confusion! I was about to pull out the boxing gloves! Just kidding…

BankDaPips · May 6, 2009, 1:23pm

No problem…only thing is us ladies tend to resolve more peacefully lol

lavaman · May 6, 2009, 1:32pm

I was completely joking about the gloves, I was beat up a lot when I was younger and now I’m a pacifist. Plus, I didn’t know you were a lady and I don’t hit girls!

BankDaPips · May 6, 2009, 1:59pm

Haha, seems I have escaped your wrath by the skin of my teeth Lavaman…I know you’re kidding, a laugh or two does help reduce the stress level in this pipping game

wrtm_19 · May 6, 2009, 2:42pm

Hello everyone! BankDaPips, me neither! I wasn’t aware you’re a girl! It’s nice to hear we have a mix group in here.

Now to the tacher and my classmates, here are some patterns I think are in their way. Hope they’re well spotted.

Regards!

15 min Eur/usd

USD/CAD 30 min

USD/JPY 30 min

hoss · May 6, 2009, 2:55pm

lavaman:

Hey hoss,

Yes, I would definitely be more inclined to take only the more symmetrical setups. But I don’t mind if the XA is much longer than the AB, especially if there is an AB=CD pattern in there. I would say I’m only trading about one out of five patterns I draw.

I’ve been using a risk management system that was written about in “Trade What You SEE”. That is, for now I set my stop at a spot that will be difficult to hit, usually right under or over some major resistance or the next major fib level. I then take half my profits when price hits a level equal to the amount I had at risk. Then, I take the rest of the profit at the next major support/resistance or fib level, whichever seems to make more sense. Typically, my stops have been around 25-35 pips, and my final TPs have been around 35-55 pips. Yes, these are usually at the lower end on 15 minute charts and the higher end on hourly charts.

I’m just as new to this as most others on this thread. So I’m still experimenting to see what works for me. Right now my account level is exactly where it was when I started trading these patterns. So, considering all my rookie mistakes, I feel pretty good about that!

Great. Thank you for your help!

lavaman · May 6, 2009, 3:00pm

wrtm_19,

That’s a big stack of 100 dollar bills in your avatar. I’m sitting here staring at it and I’ve already counted $37,900 and it just keeps going!

TMoneyBags · May 6, 2009, 3:09pm

Good job on spotting the patterns. You guys are improving just as fast as my account is increasing day by day lol (which is at 20k now and I will be upping the leverage to 3 lots;whoa we where 4.8k last month lol) and I think you meant teacher instead of tacher right? :rolleyes:.

Anyways I want you all to note, that the reason I much rather take a 30 min pattern then a 15 or 5 min is not only because it has a higher pip gain for its main target (more powerful). But it also is more respective towards fib levels. While looking in the 15/5 min charts you will be able to see lots of patterns, probably 2-5x more then on the 30 min. This in effect also increases your chances of choosing a “fake out” D. What ussually happens, is that we find perfect patterns on the lower time frames but then we totally disregard those that are developing on the higher time frames. As a result a Beautiful D that is forming on the 15/5 min charts might in reality be a Much bigger D that is forming just bellow your pattern (this tends to happen a lot). If you do not have the patience to trade the higher time frames, I suggest that you make sure you always do a “top down” analysis of the daily-30 min charts (searching for patterns) before you begin your search for the smaller ones. Please note that I am not trying to add fear into trading these time periods, I just would like you all to avoid the mistakes I my self have done in the past. A good thing to do Is to draw possible XA fibs on your 30 min and leave them on while your trading the smaller charts. This way you will avoid a fake out D and know that price is probably trying to “touch” an even stronger fib level. All in all, trading patterns on the smaller time frames is an excellent way to scalp the market for those of you who have the discipline and like the “fast paced” trading style.

BankDaPips · May 6, 2009, 3:15pm

Nice Patterns wrtm, I thought the pink money bag as my Avatar was a dead give away lol :). No worries, you are the third to tell me that today.

Bank

wrtm_19 · May 6, 2009, 3:15pm

Hahaha, Oh yeah! I’m on fire, and it seem topless! Oh sorry I mean stopless! and I have no limits, that I can tell ya!

wrtm_19 · May 6, 2009, 3:17pm

Thanks TACHER!! I mean TEACHER, Yeah that’s what happens when you try to type really fast!

TMoneyBags:

Good job on spotting the patterns. You guys are improving just as fast as my account is increasing day by day lol (which is at 20k now and I will be upping the leverage to 3 lots;whoa we where 4.8k last month lol) and I think you meant teacher instead of tacher right? :rolleyes:.

Anyways I want you all to note, that the reason I much rather take a 30 min pattern then a 15 or 5 min is not only because it has a higher pip gain for its main target (more powerful). But it also is more respective towards fib levels. While looking in the 15/5 min charts you will be able to see lots of patterns, probably 2-5x more then on the 30 min. This in effect also increases your chances of choosing a “fake out” D. What ussually happens, is that we find perfect patterns on the lower time frames but then we totally disregard those that are developing on the higher time frames. As a result a Beautiful D that is forming on the 15/5 min charts might in reality be a Much bigger D that is forming just bellow your pattern (this tends to happen a lot). If you do not have the patience to trade the higher time frames, I suggest that you make sure you always do a “top down” analysis of the daily-30 min charts (searching for patterns) before you begin your search for the smaller ones. Please note that I am not trying to add fear into trading these time periods, I just would like you all to avoid the mistakes I my self have done in the past. A good thing to do Is to draw possible XA fibs on your 30 min and leave them on while your trading the smaller charts. This way you will avoid a fake out D and know that price is probably trying to “touch” an even stronger fib level. All in all, trading patterns on the smaller time frames is an excellent way to scalp the market for those of you who have the discipline and like the “fast paced” trading style.

wrtm_19 · May 6, 2009, 3:22pm

Thanks BankDaPips!! And about your avatar I guess that we made no previous judgement (wich I think is good) you know no prejudices. OR we’re not good observers.

Whatever! Keep up the good work girl!

Regards

BankDaPips · May 6, 2009, 3:32pm

Thanks wrm, you too! Your avatar is motivating

BankDaPips · May 6, 2009, 3:36pm

TMoneyBags:

Good job on spotting the patterns. You guys are improving just as fast as my account is increasing day by day lol (which is at 20k now and I will be upping the leverage to 3 lots;whoa we where 4.8k last month lol) and I think you meant teacher instead of tacher right? :rolleyes:.

Anyways I want you all to note, that the reason I much rather take a 30 min pattern then a 15 or 5 min is not only because it has a higher pip gain for its main target (more powerful). But it also is more respective towards fib levels. While looking in the 15/5 min charts you will be able to see lots of patterns, probably 2-5x more then on the 30 min. This in effect also increases your chances of choosing a “fake out” D. What ussually happens, is that we find perfect patterns on the lower time frames but then we totally disregard those that are developing on the higher time frames. As a result a Beautiful D that is forming on the 15/5 min charts might in reality be a Much bigger D that is forming just bellow your pattern (this tends to happen a lot). If you do not have the patience to trade the higher time frames, I suggest that you make sure you always do a “top down” analysis of the daily-30 min charts (searching for patterns) before you begin your search for the smaller ones. Please note that I am not trying to add fear into trading these time periods, I just would like you all to avoid the mistakes I my self have done in the past. A good thing to do Is to draw possible XA fibs on your 30 min and leave them on while your trading the smaller charts. This way you will avoid a fake out D and know that price is probably trying to “touch” an even stronger fib level. All in all, trading patterns on the smaller time frames is an excellent way to scalp the market for those of you who have the discipline and like the “fast paced” trading style.

True TMoney, you are right about trading style as well. I have average patience level, so 15min gives me time to breath but not enough time to sleep :). But I get yah!

Bank

Pukey · May 6, 2009, 3:58pm

Just wanted to say thanks, TMoney. I’ve only read through post 101 (so I won’t ask any questions in case they will be answered in later posts) but I’m up 4 out of 5 trades for a total of 105 pips in 3 days.

You da man!

P.S. I’m a business owner, an involved father of 2 girls, and a novice trader and I still find time for WOW without consequence.

wrtm_19 · May 6, 2009, 4:23pm

Hello everyone, I found this pattern within a major pattern in the GBP/USD 1hr Chart. Are both valid? I mean both D’s are not that far from each other (43 pips difference) What do we do in such cases?

BankDaPips · May 6, 2009, 4:50pm

I’m not sure wrtm, and the thing is I am not seeing any favorable patterns on the GBP/USD right now. I may not be looking intensely enough:). Only one bullish gartley which should buy off at 1.4875. I am currently looking at EUR/US patterns right now… I only trade these 2 pairs.

forgot to attach it…what do you think? Not so excited about the pattern

Bank

wrtm_19 · May 6, 2009, 5:09pm

:)Hi BankDaPips!! Thanks for your answer. It’s a bit confusing to me since as you’ve seen, my D points are close and I don’t know if I’m missing something in the recognition of both patterns. About your pattern I don’t know if it’s valid since your X point is not the lowest low. But you know I’m not really sure about pattern recognition yet, so let’s se what others think.

Regards!