Better Entry Ideas Second attempt.. LOL

I am reposting the same stuff as before as on this site it doesn’t open in another window very good either. The formatting will be wrong but it will be readable… Sooooo Sorry… ken

Ken’s Rant !!!

 Happy weekend everyone ,  As the thread has grown there are more people coming and going. We are all here to learn and share. Trading is a lonelly job we sit 

there in front of our glowing screens trying to make a Dollar , Pound or Yen. So we tend to gravitate towards threads like this to fill those boring times. EO has
started what I feel is one of the best threads I have seen on the Interenet. There is a group of guys here willing to share there vast knowledge which has taken them
years to gather. It has been put into a form that is pretty easy to understand. As I have said in the past the hardest concept is the straight PA trades (Price Action, which
really should be called PPA Previous Price Action ).

 As the thread gains members and grows, the same questions get asked over and over. Normally why did you do this or why didn't you give us a heads up. I can under-

stand your frustrations you may have been trading years and still not have gained that edge you seek. Yet you see people with less time in pulling fanastic amounts of pips.
You then ask for the reasoning behind the trade. Your not sastified with a simple answer you want charts and text. In other words you want people to stop making money
to show you what has been written in a E-Book (pdf) and many charts have downloaded to that book as well. For lack of effort on your part reading we end up with
pages of bull that takes away from the overall good exprience we all have here. If your looking for trading areas. They are here but your going to have to collect them on your
own, again some effort on your part required. .

 Through out the day many people give where and why they got in a trade. They also talk of areas they are interested in. Those are the areas you are looking for write them

down. But a line on your chart would even be better. Then with time you will start to see where they pull those areas from. S/R areas are the simplest as they are just straight
lines across your charts. Trendlines are bit more dynamic but still varilly simple. You are only connecting points ! When those charts you Soooo desire do show up which a
lot ARE posted here. Use them to learn, transfer those lines to your own charts. To be successfull you have to learn this stuff, We can’t depend on other people to always
be here to tell us what to do… Plus if it gets to frustrating to be in the thread guess what people leave and then your all alone again.

So in summary ENJOY the company here. Show some respect for others. Be patient with people , maybe they don't have time right now. And number one do your part

it is your trading anyway. So trade happy and be happy. Why would you want to be anything else.

Now For Something Completelly Different …

The thread is very popular because there is information that is pretty much going to make it possible to trade during almost any type of market conditions. That being

said most of the main players here had started from Higher time frame trading. Which is probablly the best way to start as you then already know the areas they are looking
at to enter and you have predetermined profit targets choosen. And the number one issue for me anyway your used to holding for those profit targets. So that in a nutshell
is the PPA trading based off longer term trading. But with a major difference from a lot of Higher time frame traders and this is where we have the problem of understanding.

I posted a nice PDF a week or so ok. It was written by a guy named Phil… He uses a higher time frame trading method and he is pretty successfull at it. The main point of
posting that PDF was two fold. Like us he uses higher time frame S/R and trendlines plus he has great insight as to stop placements. I think you will see our entries let us
get the edge over what he is using. But not knowing him personnally I can’t know his thought or time frames behind trades taken. Might place PO’s and trade absenty.

But now let us look at the differences of the masses to the ideas in EO’s thread. The entry areas are arrived at in the same way. Just study your higehr time frame charts.
Choosing the areas where price has either turned up or down the most times as the most likelly areas for it to turn at again. If you notice most of the charts posted here
by what I feel are the more successfull traders. ( Based on the fact that their areas tend to get hit the most) That they don’t fill there charts with lines . Normally 2 support
and 2 resistance then possiblly a trendline… If your into fibs as I like them some what. Place your fibs as well adn where your fib and a S/R or trendline cross even better.
Then you have the fib traders and the S/R guys onboard at that level. So that is a very basic idea as to where this areas come from. Again when those charts are posted
use them and transfer the information to your own.

Ok, So we all use the same ideas as the masses to pick areas what is the difference ? Simple we jump where most are afraid to go. But should they be? NO! Most traders

look for some type of trigger to enter a trade. We do to but more so on the lower time trades. With the Higher time trades a lot of times it is a leap of faith to get that great
entry. Most people will say you can’t do that, you must have some confirmation. Well we do. Price has turned here before and normally it has stalled and started to turn
and then we enter. If we wait for some candlestick patterns that require up to 3 candles to print, The trade maybe over in a ranging market. Also the placement of the stop
is the same so we are risking less by entering earlier. If we are wrong it cost us less and we can possiblly enter 2 to 4 trades risking the same amount if we had waited
for some signal. This is why it is hard to eplain to people why did you do it.

Also the process of taking some profit and covering , Basiclly producing a risk free trade after 20 to 40 pips and having locked in some profit also. Is another technique
used here that makes these entries extremelly successfull. Because a lot of people just let their trade run it’s course and lose what they may have gained. No. 1 rule
never let a winner turn into a loser… Now a example… We will look at the E/J trade from Thursday as a example.

4 Hr. E/J chart

The circled areas show the Support and Resistance area that was at 136.00 . To have taken this trade off this chart alone following the rules for the only pattern 

shown which was the flattop or traintracks. The rules state wait for a close and when price breaks the low of the previous candle take a short. That would have cost us 150
pips and the stop would still according to the rules have been past the top of the previous candle. I realize this is a extreme but those are really the rules lookem up.

1 Hr. Chart E/J
Area A is the 136.00 area from the previous day showing the Resistance. You will notice that within area circled B that price nevedr made it past the previous days high.
A trade could have been placed off this chart when the long red candle went below the spinning tops low. These is still considered a IB ( Inside Bar) in some trading strategies
because the body is within the the gren candles body… stop nearlly 60 pips…

Did you happen to notice circles 1 and 2 another chance with small risk.

15 Min. E/J
Here is the chart we mainlly trade off of. We look at the others and then try and gain better entries of the lower time frame charts. Circle A is again showing the previous days
price action at the 136.oo area. Within the circle B there actually is a few of trades… The first was the small red shooting star that you short the next candle went to the 10 ema . Which is where we would book profit and cover always at our EMA’s when trading towards them… Then there was a hammer that you could have gone long on, But this is also
where failure to keep your eyes on your higher time frame charts could get you in trouble. If you took the trade the best you should expect is the high of the previous day. So
is it worth it? I scalp Might have taken it and it could break out. But even if it breaks out it will retest. So why buy at the TOP ???

Then we have a proper IB ( Inside Bar) . The Rules state we can take this at the break of the low of the candle and our stop is 15 to 20 above the previous candle. This is the
best your could do. Your stop is very low risk you stand to gain the most profits. The first candle closed below the 10 ema next one never went back up so you could have
left your full position on it next candle closed below the 21 ema . So still going down the next closed through the 35/50 ma’s so here with about 50 pips profit you could lockin
profit and move your stop to BE or +2 Now a free trade with built in profit. It the went down another 250 pips.

Now another aspect of this thread which doesn't get as much air time. Is the adding to and taking away $$  from your trade. Also know as managing the trade. We can see the 

First small retrace where price came back and touched the 10 ema , next candle continues south. This is your chance to add back some profit you had taken off earlier also
you would then move your stop down. Thus again we have locked in more profit , it continues south hardlly any retrace. It then reaches 134.55 which from my higher time frame charts I have picked as a Support area. So I/We should again take off some profit as price could turn back up here. As we had also broken the previous days low , We could
move our stop to an area slightlly above it. Then we retest that low of the break of the previous day and our 10 EMA cross. Giving us another chance to add back those
profitd we had taken off. At each Support area which I have marked on my chart ( By the way those were put there over the previous weekend) We could take profit. Once they
are broken and retested we can add back also our stop should be adjusted to prevent the loss of any of those gains.

Then we finally get to the bottom and how do we know it is the bottom. We get this great big pin then we get a retest of the Support and once we start higher lows… it is done. Once you hit the bottom varies how each player ends there trade some will just take allmost everything off and give it some room to breath to see if it will continue down… If it
does they add back on at the retest of it’s break. This how i believe the movers and shakers of this thread are making those fantastic pips.


Thanks for letting me rant. Know matter what you think I do this as much for myself as anyone else it is how I keep my eye on the prize.. I am not a winning trader as of yet.

I am like the quarterback that knows all the plays but can’t hold on to the ball ( YET )… This isn’t aimed at any person it just seems to be the hardest part of this thread for people
to grasp… The pdf and charts I had made up explain almost all the entries we use to get into trades although at times the trades are taken purelly off the fact that we hit a strong
S/R area or Trendline. Like Friday EO took a short off the top of the GBP. There wasn’t a signal but with his R/R in sight his stop was past the next area he and Infinty were looking
at so his risk wasn’t as crazy as it seems. Once you have been in the room a while and see how many of this trades workout. You will see it is not as crazy as it seems. The risk
is actually extremelly low for the gains that are achieved. So now when someone says I got in at a S/R or Trendline open this page you should save and then go to your charts.
You will start to see the PPA ( Previous Price Action) as it unfolds.

One thing else. You must learn to watch the higher time frame charts.. We all start out focusing on the end of the line looking for a signal to enter but never giving any thought

to where we actually are. It is like this trade we had signal to go long but looking at the 1 Hr and 4Hr we were at the top. So why not look for a short. damn sure safer. You need
to think of the charts as a map but since you can’t see ahead you have to think I am drive back to where I have come from possiblly taking the same turns and stopping here
for a while etc… That is the true nature of price action trading… It is a scorpion ,screw the head watchout for the tail that is what will get ya…

I have not devoted anytime to the lower term trades . EO’s Charts and explanations in the pdf along with the whole series of Jpg’s I made show the entries we use and the shorter term trades we take as well… If you want pm me a e-mail and I have them all in order and can send them to you… Again Thanks and trade well…

Good Morning: Everyone , Hope your all relaxing getting ready for the next battle… Raining Here in sunny Key West. Hope it quits Might wonder down to the battle of the bars at Schooner Wharf Bar . To watch the bartenders battle it out for bragging rights… actually might be more fun in the rain…

I was having a bike ride this am and had some randomness flowing threw my empty head and thought I would post some of the thoughts.

I know with the thread and all the empasizes I have given to the short term trading with all the post at the begining of the thread. That maybe some more time given to the MAJOR Part of ANY successfull trading strategy wouldn’t hurt. That being where is price on the higher time charts…

If you painfully read my previous posts ( still sorry for the way that came out). You can tell the benfits for using the smaller time frames for better entries with less risk resulting in a potential for higher profits.

Let us say you entered at a resistance area and it goes against you having risked a small amount because your stop was a lot smaller than if you had waited for confirmation on a higher time frame. As we saw in the previous post… On the 15 min stop was around 20, 1hr. 60 , 4 hr over 150. You may not agree and say I would never have a stop that large I am just going by the rules for the pattern that was present.

So going off a 15 min entry you could POSSIBLLY try 7 trades for the price of 1. Also your risk is less.

But how and why do we take the trades earlier than most… A leap of faith it isn’t . It is in the KNOWING. Ever here the saying Knowledge is power in trading it is everything.

Because if you look at almost any S/R line off a 1 hr or 4 hr chart. It is pretty obvious that price at the least did turned back for a bit. Think about what happens when price approaches those areas. 2 things happen…

  1. You have the group that has been in the trade looking to take profit at this area because as we KNOW. This would be our profit target also if we are in the trade in that direction. We maybe in the trade.

  2. We have the otherside of every trade the ones waiting to go the opposite direction because this is their entry area they have been waiting to be hit.

So KNOWING this information. What should be our thought process.

First we should know how strong a area this is. How you say? We look at our higher time frame charts . The more times it has turned (In either direction the stronger it is ) Also we should KNOW how far up the food chain it goes… glance at all your charts as high as you want … But dailly is very important…

The higher you you go the more traders you are including in your analysis. Because every time frame has it’s group. The higher you see this as a major area the better and the lower your risk is.

This is the reasoning behind some of the trades that you see people just what you think as jumping in. They have already identified these areas and have them plotted ( marked on their charts).

Also don’t forget that we also look for trendlines and whatever other analysis you favor such as fib levels… For every major trading idea this just adds another group to confirm and strengthen the trade. Again lowering your risk.

If you take a look at your dailly GBP chart you see if you had entered back in March and now be up over 3000 pips. But if you never looked at your dailly chart you would not have known that was the bottom. The weekly confirms that it was…

So we now KNOW having done a bit of looking around that we have a weak, strong or the strongest level based of what we have seen with our PPA (Previous Price Action ). I keep highlighting KNOW because we are not guessing we have historical data to look at . There is nothing hidden and as EO said the other day there isn’t any hidden agenda to seperate our few dollar from us. It does not serve the brokers to have us fail they make money when we trade period.

We can do most of our anaysis during none trading hours when we are less stressed over the weekend. Pick your areas. Then if you have a problem actually looking at higher time frame charts as you trade. Transfer them to the time frame chart you do take your trades off…

You can color code them as to their importance Green could mean it is possible it may keep going. Yellow Caution be ready to stop , Red it is going to hit a wall.

So we know we have a RED strongest area. We even had a alarm set to alert us to this area. We get a alert by instant message or our bell goes off. We Get to our computer and see it is at our area we have predetermined. We take the trade the opposite direction no signal. We do wait and try and get in as far into the wick as we can. You say what wick ? The wick is the wicks off our PPA (Previous Price Action) When we see it start to turn this is our signal to enter with the lowest risk possible . We can now place our stop just the other side of the area and have less risk.

We also KNOW from our pretrade work the price is at the least going to bounce here . There is going to be some profits taken and some positions enetered. This is what makes EO’s style of trading great. Since we didn’t wait for all the patterns to develop or a indicator to change directions or whatever. We are in the trade as high as we can be.

We have less risk going into it. But it gets better in a very short time your risk actually goes away. Lets look back to the previous posts…

On the 15 min entry we have already booked some profit and moved our stop to BE or +2. Making this a profitable trade PERIOD. Before we could have even entered on the 1 Hr. chart. Same off the 1 hr before you would have entered on the 4 hr. You would have been as EO says Covered.

Also you hear said “I reversed here” same reasoning they were in the trade. KNEW it was a red major area and took the opposite position. look at your charts see the wicks on the higher time frames at every S/R area . This is your chance to get into risk free trades. if you can’t jump on faith in your analysis then start looking for the 15 min triggers so well discussed earlier. But it is key to start getting into the right trades as early as possible to get covered and protect your cash. Especially during the summer doldrums.

Boy what a speech sorry guys… Ken

If you don’t have a alarm on your platform you can get this one free at FXALERT.COM. Once you set it up they will send you a text message when your preset price is hit .

I wonder if something has changed on this site… I am posting the same as I have in the past but not working out the same…

It is better though… Now you can read the text… and open the charts in a seperate window… If you need to inlarge charts use your Hold down your Ctrl key and the + key and it will expand the chart. There is also a maginfiy tab bottom righ of the window on some systems… Again sorry for the mess…

Take care Ken

Now to see if I can remove the other thread… Hmmmm :rolleyes:

Hi Ken
i don’t think it is a problem with the site, it is the information you posted that is a problem to read.
I would like to read it but at the moment I don’t feel like because it is Sunday and it is a bit difficult the way it is posted, Sorry. :slight_smile:
If you check I thin a few people started looking at it, so just leave it there till it is "digested"

Thanks Oscar I had posted on a thread here yesterday … I have had a few threads here in the past… I always put my text on jpgs so I can save them myself in a folder.

In the past you would click on them and they would fill the screen now they still open small and when you zoom in on them they get blurry…

So I went back and copy and pasted the whole thing again. It is now big enough to read but it messed up the layout of the text.

But it is all good… Thanks for your post… Ken:)

Hi Ken,
I read your thread, admittedly fast because somehow “I can’t put my finger on it why” I don’t like the yen. (I was many times in Japan and had no problems there :)) yet I stay away from it when it comes to trading. Isn’t that stupid since it makes nice big moves and I have no preference if it goes short or long.
Since your example is done on the yen, I just “run” over it.
I look at it in my charts but somehow I don’t trade it.
About time-frame: higher time-frame is just a consolidation of all the smaller charts in front of it, yet it is just as vulnerable as the smaller time-frames. Higher time less detail, yet it still incorporates all the "noise’ “big moves”… of all the trades that where done.
What are we analyzing? The past. Can that REALLY predict the future? I don’t think so.
What we do is just educated guessing. :slight_smile: Will that give an edge? Probably, hmmmmmmmmmmmmmmmmm, maybe, hmmmmmmmmmmm ok, back to probably.:slight_smile: But never a sure thing, like many things in life.
Key-West, nice place, stayed there 1 day, had in mind to stay there for 2 days, somehow ended up very late at night looking for a hotel, could not find one open, and before I knew it I was in Miami.:slight_smile:

Afternoon Oskar;

I had typed about a page response and it went to cyper hell I quess. Anyway , The posts was written using the Eur/Jpy because on the thread where we trade this stuff. A question had been asked regarding that particular trade and it had a lot of the different things that made it a good one to show the different ideas about…

Most of the thread memebers trade only the Gbp/Usd but a few take trades on the Eur/Jpy and others but they all use the same specifactions. The comment of can we trade off the past is kinda of funny. I have know idea how you personnally trade but there is a majosity that trade mainlly S/R areas. That being said those are nothing but history. The best we can hope for is that price reacts at those levels about the same or similar this time.

This is really the only edge we can hope to achieve as fundamentals espiecailly now are at the best scarey. Even with major trading companies with unlimited resources. It still comes down to one person saying push the button here. They will also take Previous Price Action into consideration.

We tend to take the trades on that idea normally a lot closer to the turning point. Which gives us a advantage of a smaller stop and greater profits… Is it riskier. I do not think so we might get stopped out more but as mentioned the stops are small. If we don’t have a strong S/R are as seen from the higher time frame charts we use candles and Ma’s to enter scalping trades. The MA’s aren’t used like most Ma trading but are used as Floating S/R lines. Then traded as bounces or breakouts they also serve as Profit Targets on short term trades.

Anyway enough for now… Take care and trade well… Ken
ps. Yes Key West is a nice place to live although it has changed a lot in the 16 years I have been here…

Hi Ken,
We have here almost a PM session. :slight_smile: Nobody pipes in, it’s all psssssssssssssssssssss. :slight_smile:
I trade mostly S/R Phil Sunday Breakout is one, Winratio is the other and NickB MasterCandle, accidentally works great right now with all the ranging since yesterday. I have BB on the chart but the entry is S/R.
USDJPY had a great Master Candle (MC short) today, no I did not took it, was in GBPUSD.
My SL is always 50 and TP 30 but I am willing to compromise if the TP does not seem to hold. Like this morning, I got 3 pips in EU and abandoned ship.:).
Take care Oskar

Here are a couple of trades I took again off the Eur/Jpy. I tend to trade it in the afternoon as it has a bit more movement … These ideas work on any pair any time frame. The principal is dead simmple . You are looking for the same trade that was available before. if your nervous about taking them straight away. there are any number of entry ideas you could use to get in …

                                         Trade Well  Ken

3 pips is great a positive trade is all we are looking for.:smiley: I was readigna thread the other day guy was up 70 pips twice on a trade and tooka loss on it… everyone in there was like that is ok you have to set your stops and targets and let them play out. I was like ya’ll are crazy… that was really a 140 pip possiblity… :eek:

I had taken shorts on both pairs but failed to leave anything on them … DARN IT !!! So instead of possiblly trying to scalp some pippage and jumping in the wrong way basiclly trading agianst myself. I thought I would post some charts.

The first is the Cable second E/J. This is showing some MA trades that were available last night. These come up a lot during consolidation at times you may only have 1 ma to come off and have to pick a S/R or Trendline for the opposite side. But the main thing to remember is we use the MA’s as floating S/R lines. The jey is to try and get your best entry as we can see on the Cable the price was pullinr throught the ma but was failing to make new lows so using Previous Price Action. Taking the minor risk using tight stops. We could get in early or wait for it to cross back above the 200 SMA.

The E/J was oh so much better. Right between the 62 EMA 1 Hr. and the 200 SMA 15 Min. almost spot on.5 trade for ovr 30 pips each lasting 30 mins … What more can you want… Just remember wait for the retest of the MA’s take the trade. The 62 EMA 1 Hr. is easy as according to the rules we take that one on the touch anyway…

So Good Luck and Trade Smart. Ken

I looked around for some chart posting instructions last night didn’t find them. Very annoying as I have posted many charts on Baby Pips and they never acted this way, Normally click on them and the open full size… On the other site I am place post they still work that way…Any ideas ??

Thanks Ken :eek:

Did we notice to return to the 200 sma on the E/J … Had 3 options to buy The touch off the 200 SMA… The Higher the MA number the better is it’s turning or stoping power. It did touch the 35 SMA and closed above the 50 EMA . All of those were a entry opportunity and none would have failed.

Profit taking or Covering at the 137.26 area where we had shorted yesterday. PPA in play again…

Now Go Make Some Money …:smiley:

tymen posted how to post charts in the message. you have to upload it to Image shack, here is the thread:

Thanks I will save this… But never had to do that before… Probablly stop posting anyway not much interest seems… Posting on 2 threads not sure I want the extra step… Thanks again and take care Ken:)