Have just had a quick look, do you use the middle band, or just look to trade the extremities? I have only thrown the 20 and the 100 on there so far, on the 240 - I see, obviously, that they coincide this morning at the level you mentioned, 1.3834. Is that the trigger for the trade (within the correct overall bias, obviously!)? You look for confluence between the different Donchian levels? And does it also govern your TP, for instance the mid-point of the 100? Or the lower band? Aplogies for all the questions - just tell me if I have taken âI have no secretsâ a touch too literally and I will park it!
Trouble is, the answer would change depending on where we were on the psychological journey at any given moment!!
Three small boys are enough to cause chaos here, 2-6 years. I hear you on the school runs etc. Particularly now that the weather looks like turning, so itâs the Land Rover that is pressed into service for the school run, which means that I get to do all the driving âin case it gets a bit trickyâ. Itâs only a bit of fog!! We both work from home (me at this), so who does the school run seems to depend on a combination of weather conditions and Claireâs work calls - there always seems to be an important one if it is snowing or foggyâŚ
Protestations that I am halfway through plotting some Fib lines fall on dead ears. And it was Claireâs idea that I take up trading in the first place lol!
Anyway, with apologies for the ramble and to get HoGâs thread back on track: I am no computer genuis, and Master Tang recently pointed me at tinypic.com, and suddenly I can post charts. Save a chart image (right click and pic âsave imageâ in eSignal), then from the tinypic homepage select browse and find it in your âdocumentsâ folder, it is usually called something like âsnapshot-1â and will be in the folder you most recently used). Then it even gives you an option to upload it for discussion groups et voila! You can cut and paste the code in. If I can manage it, anyone can. Claire still has to set up Excel spreadsheets for meâŚ
ST - I use only the hi/lo bands on the various DNC periods and as you suggest look for confluence and then to PA reaction for a trigger. I have not looked at the middle lines⌠suppose it might be useful for a âcross overâ strat⌠shorter periods crossing the longer though? DNC is also a favourite âindiâ for the âturtleâ type break out trades. TP is tricky in as much as I guess it will depend on your preferred length of trade? I have opened 5 lots short⌠and will phase in and out according to PA and the various DNC hi/lo levels. Slight bounce off the 5 period 4h DNC at 1.3742 but donât think it will amount to much. Next area to watch⌠1.3697-1.3688.
Interesting stuff, thank you for sharing. I have a Monthly Pivot on my charts as that often gives some reaction - comes through at 1.3709. Donât see it putting up much fight today, though!
Certainly had a lot of confluence on this occasion, really interesting stuff, thank you for the insight, much appreciated. Curiously enough, it appears that this would often throw up similar entries to some of mine, albeit arrived at by a different route (unless one is fully in the âthis is all just S&Râ camp, which I think oversimplifies). Anyway, thank you for walking me through it, kind of you.
HOG - Ok Iâve uploaded my 4h DNC 5/10/20/50/100 period chart using an older version of Word⌠BP doesnât seem to like Word10? Hopefully, youâll be able to see it and play around with sizing etc if its too small?
Let me know if you canât access it and Iâll try something else.
1.3815 is a nice Price to get in at, what made you choose that? Nice work! On your road map of Birmingham (lol!) point, I tried setting the different Donchian levels to have lines of varying thicknesses on my chart, in pretty subtle colours. As we would only be looking for confluence, that means that when the lines are not overlapping they (sort of) blend into the background, whereas when there is confluence of levels I get a thick, striped line. Just a thought, but with indicators like this it often makes the key area more obvious, to my eye. But maybe thatâs just me!!
Apologies, conscious that I am like a dog with a bone with this one. Interesting chart - never ceases to amaze me both how many different âlooksâ there are to charts, and how many different ways there are to upload images into discussion groups!
Couple of things occur to me - in terms of TP, an initial TP of the middle band of the 10 period Donchian on the 240 would have been hit very quickly and would have given a pretty solid 1:1 - not particularly ambitious of me, but with a better than 50% win rate could work as a solid place for TP1, trail Stop to B/E, then see if it runs? Anyway, thinking out loud, but the fact that it bounced off the middle band on this occasion is interesting. Secondly, that area also coincided with the Monthly Pivot - I often set TP at Pivots, depending on timeframe traded, as there is often some reversal, there, some sort of retracement at least, and we have certainly had at least a minor bounce on this occasion.
Anyway, apologies for rambling on: wonât draw too many conclusions based on one example lol!
Thanks. Iâll have a look tonight when I get home from work. My phone doesnât like to let me make phone calls nevermind look at word docs. Thanks again though
ST, Oh how I would love to tell some technical story of how the charts aligned with PA, the stars and the planets, allowing me to get the protractor out and draw some angled lines, which I the added up and divided by Pi, and then to the flash of fireworks and the sound of marching bands I magically came up with the figure 1-3815.
The truth is much simpler though.
As I have recently mentioned I now run my chart with 10 lines running constantly across it. 8 of them are the last 4 weeks highs and lows, and the other two are this weeks high and low which I change obviously as the price changes. So I now use these levels as my support and resistance. And through that I had 1-3834 marked as a resistance level.
Looking at the charts this morning I was of the opinion that today would have a move down, and 1-3815 was the closest I got to resistance before I had to leave for work this morning.
I put a stop at 1-3845 in case I was wrong and targeted 1-3730 originally but moved my stop down to 1-3755 when price hit 1-3740, which was stopped out before price moved a bit lower.
Sorry it wasnât a bit fancier lol!!
Canât get back into any trade now but Iâm happy with the +60.
Trading out of Resistance and bagging 60 pips is classic, textbook trading and much better than anything âa bit fancierâ in my opinion. Do that once a day forever more and you are set for life!!
This is pretty much how I keep my 4 Hr chart constantly now. Obviously as time passes and prices change I need to move lines and change numbers, but my 4 Hr always looks like this now.
It may not be to everyoneâs liking, or taste, but it reminds me of S/R levels.
I see, this thread is like the living room now, lol.
I made 3 winners today. Phew! 2 by bot and one by hand. All short.
Could go farther down maybe after a quick pullback. We are overbought at the daily. Plus a nice confirmed resistance up there at the 13850 level, where also the 50 ema lingers.
Yes, HoG hosts a friendly thread - itâs like he is a pub landlord and weâre all regulars who hang out around the bar chewing the fat. And placing the odd trade.
I canât make out the attachment, but 400 pips?! I thought you were short today⌠very well done, but am guessing that this was a long trade entered earlier. Anyway, nicely done!
