Johnnny.
Good job.But i will tell you that newbie wont find this approach interesting because it is somewhat complex.I trade R Carter’s two strategies and they are similar to yours but the only difference is the level of complexity.Most people who have got profitable system already wont try this because of the level of its complexity but i can notice that your system can bring more pips as well.I will demo it and see what happens.
Greetings.
Headmaster.
I can confirm what Headmaster said - it’s not newbie friendly. I still haven’t completely wrapped my head around this one.
Best Regards,
Matt Jones 
.
Hi all,
Can someone pls give me a hand with this;Will it be right to say GBPCHF is now in the buy region? or do we still wait another day. How about the EURAUD do we wait or do we sell? the daily channels are all indicating a downward movement but it seems its gonna head north for a while. Will really appreciate your contributions JohnnyBS,RCarter and SanM
Happy trading.
EURAUD: Need 1 more day to see the outcome of this, it is still in a strong downtrend but now may not be the time to enter short again as it is due a small retrace. You should either wait for a retrace to the 1.5442 region or you could take short term 1hr sells as long as the Daily candle stays between the 20:2 and 20:1. Daily candle is indicating a short term retrace. Also, you need EURUSD to break 1.3450 and then EURAUD may tumble further.
GBPCHF: unsure of this one. I wouldn’t be buying the pound right now on Daily trades. There is support in the 1.66 region.
If you are interest,go long for USD/CHF. i have been long at 1.0760 and target at 1.0920.Presently it is 0.860.You can still get around 30 to 60 pips with that.
Good luck
Headmaster.
close to resistance too looks like to me
Haha.Thanx so much.I just noticed that.Closed it with 102pips.I need to avoid how not to leave pips on the table while locking in the one i have already got.
Greetings.
TalonD,
Yeah,you are right.I mistakenly overlooked it.
Thanx.
Hello Headmaster & Matt Jones and others with the same view,
Gentlemen this is not a method or system. This can’t be compared to R Carter’s system or any other system, nor is it something complex like quantum physics which requires a high level of intelligence. I simply gave you an example of the Daily time frame hitting a top resistance level and how it affects the lower time frames. It does take a little time on your part to go through all of it but the level of education required to do this is quite low.
If you don’t understand it and are trading without this knowledge then you are playing Russian roulette with the market. You will never reach your true potential as a currency trader as you will never “See” the market. Please believe me it is vital that you understand this key element of trading. I cannot over stress this point.
If you look at the Daily chart and look all the way back to 3-16-2007 and then by drawing simple trend lines for a two year period and only taking the major trades your eyes will see the power of the Daily. There are only 48 major moves to trade in this period but the possible profit is obscene. If you reinvested the profit after each trade you would make Bill Gates look like a pauper and the US would be looking at you for a loan instead of China.
Please understand I’m trying to take you to the next level of your quest to be a knowledgeable and profitable trader. The understanding of the timeframes is vital to your success and this one key point can make you a ton of money. Without this knowledge and understanding you’re attempting to wage war with a water pistol and the enemy has an AK-47. Believe me you will get blind sided one of these days and never see it coming.
I have discussed this with traders that have traded for twenty years and for some reason I could not make them understand this simple concept. If you don’t get it then I suggest you trade only the daily.
If you can understand this key point and also understand the support and resistance concept then your ability to trade intelligently will be light years above the rest. You will realize that the method you use for entry and exits is really a trivial thing and will not make or break the trade. Whether you use Robert’s, or a single indicator or just look at the chart and when it hits an S & R point you pull the trigger. It’s just that simple.
The problem that traders have is that they are searching for the holy grail of indicators instead of learning how to trade. I’m a detail nut and love trying out different indicators but I already know that I could trade with the Bollinger Bands and hit close to the top and bottom every time. Playing with indicators and posting on threads like this is just passing time until the trades play out. My computer will then beep and a voice comes on says “Wake up you idiot the PA is hitting Resistance”
If you go back and read my prior post and go through the time frames in the example and you still don’t “get it”,
I suggest you create your own example and maybe then you will get that Ahhha moment. If that still doesn’t get it for you then read a book, go on the internet, ask questions, meditate, join a group therapy club on expanding the mind or whatever it takes but don’t give up until you can say “I now understand and I have indeed experienced the Ahha moment”. You then can confidently say “I see the light O G_d of the markets and I’ll never be the same again”.
You will then and only then can you trade with confidence and know the direction of the “TRUE TRADER” and be one with the market. All traders will bow to your wisdom and knowledge and you will become a legend in your own mind.
Your name will be spoken and stories repeated for centuries by the elder traders to all the young newbies.
The most important thing and I know this is as close to your heart as it was mine, is you will then be able to truly tell your boss what you think of him by singing Johnny Paycheck’s song “Take This Job and Shove It”.
Trade well and prosper,
Johnny
Quantum mechanics use jumper cables…
LOL Geek humor! Our jokes aren’t like your jokes!
Hello All,
Looks like a lot of pent up sellers on this pair for a $1210 drop at open.:eek: This is why staying in over the weekend is not a wise decision. I watched a $9000 drop two years ago and I was in but holding a short. Whew!!! I don’t push my luck now because anything can happen. Let’s hope this makes a nice bounce.
Trade well and prosper,
Johnny
I stayed in over the weekend and made 20 pips
Hello and Good Morning All,
Is this a perfect storm or what? GBPUSD and the EURUSD and any others tied to these falling currencies are heading to the basement. $1.33 for the pound and $1.22 for the Euro is right around the corner. Greece is toast as Germany is not budging on the loans. In the wake of all this Spain is going down the tube with Portugal and Ireland right behind them. What a f–ked up mess. Some are saying parity for the Euro vs the Dollar and one British economist is saying the pound could go to $1.04.:eek: Don’t be buying any Disney World stock as this will kill their profits.
Wish R. Carter and SanMiguel would posts more of their charts and trades. Since I trade the Bols with a different twist I think it would be inappropriate for me to post my trades. Besides I’m still trying to learn exactly what their thinking when they pull the trigger. Quit counting your money. The dealings not over yet.
Trade well and prosper,
Johnny
I’ll try and post some more but I only really trade the Daily now and setups take time on that.
But it’s pretty much only:
Johnny B
Perhaps you could start a new thread with your methods and musings? I enjoy reading your enlightening posts but feel they may have diverted attention away from the main thrust of why this thread was started initially.
I would like to read more of your trading methods and rationale even if some of what you write goes over my newbie head :o
Hello red ear,
Until I get rid of my business I can’t start a thread due to not posting when I’m away from home or too busy. As far as some of my writings being over your head I can fully understand if you’re a newbie but where are your questions? There are a lot of smart people on this thread that can answer your questions or at least direct you where to learn.
Let’s face it dude the Bollinger Bands with a MA cross isn’t that difficult to understand and once written its old news. There’s a lot more to the story of making a profitable trade then just the Bols and the MA cross. The more interesting part of learning is the why a trade is made and what rationale a trader goes through before pulling the trigger.
Just writing about the price crossing a Bollinger and then two candles later the one MA crossed the other MA and we made a buy long just doesn’t give you the whole story of what the trader is thinking before making the actual trade and where is he looking for the trade to end up so he can make a profit. If it was that easy to make pips then everybody and their brother would be doing it and this thread would be history.
The main thrust of any thread is to exchange ideas around a central point and in this case the central point is the Bollingers with MAs. Since all indicators are based on historical data and most are using multiple moving averages as the basis of there formulas then using indicators with the Bollingers is really no different then watching two MAs cross.
The slight twist I see being used here is the look of the candlestick such as a long wick and changing color which usually tells you the PA has hit its high point and is reversing. This isn’t always the case and I don’t use this as a buy or sell indicator just because the PA crosses a Bols-20-2. I want a bigger confirmation of a true reversal and not just a bump in the road.
On the exiting of a trade I wait for the PA cross of a major line of support or resistance. That S & R line changes as the PA moves across the chart as I have multiple Bols on my chart as well as other lines of S & R’s such as Linear Regression Channels. Knowing which line is the top dog is the key as bols lines cross over each other. The Bols-20 is not always the top dog.
The key to knowing when to pull the trigger is the key to making money at this game. It all gets down to volume and volume is both up volume and down volume. If I’m watching the PA hit an UpperBols-20-2 at 11:50 AM and the volume changes from up to down its time to exit the trade. I don’t wait for any MA cross or indicator as the PA will move south fast. If the PA suddenly changes direction again which it usually doesn’t, I just get back in a long trade.
News and the subsequent volume is the only thing that’s going to make this thing change direction. MA’s need time to cross and time is money and I hate losing money. The money lost waiting on a MA cross can easily be used to cover another trade if I’m wrong. I believe in taking profits off the table whenever the chance presents itself as long as the PA has hit a planned S & R. I’m not always in the market as times of low volatility and weekends are just not worth the risk and managing risk is the key to coming out a winner. If I want to trade just to trade I jump to the M1 or M5 and scalp the market for a few hours.
All my trades are directed towards the Daily TF and I have researched its direction. I know where I’m going much like a destination on a map. Do you get in your car and go a hundred miles north without a destination in mind? In the forex that will kill your bank account fast but many traders do just that and wonder why they lose. I lost enough as a newbie trader and I didn’t like it much so I wasn’t a newbie for very long.
When I lost I analyzed the trade to determine why it was a losing trade. I did this at the advice of a professional trader and it was the single most important piece of advice I ever received. I strongly suggest all traders do this and start a trade ledger.
Although my trades are directed towards the Daily TF I never actually trade on the Daily TF. All my actual trades are on the M1 TF. I spend very little time on the Daily and 95% on the M15 where all the Time Frame’s data is placed. I can see all time frames on one M15 chart and then move to the M1 to make the trade. If the PA gets close to a major S & R on any chart I can see it immediately as well as a sound and pop-up window alert.
Now tell me what is it you don’t understand?
Happy trading,
Johnny
Hi San, will really love to see your charts. it sounds like something i can easily relate with and comprehend without having to hit my head on the wall. Just post the chart like Carter does. Will really appreciate it, thanks
Ade
Here is an example of a Daily trade I took based on:
Now of course the Euro is weak, I have only been selling it for that reason.
You could have for example taken the entry on the 1hr chart (also shown) to time it a bit better but because it is a Daily trade you hold onto it.
Not all swing trades turn out like this, there are a lot of fluctuations and price swings, which mean you can very well get stopped out so you need to keep a close eye on the trade as it develops spotting any potential SR areas. I am lucky in this one that it has broken the 1.4100 area meaning I can likely hold on for longer.
SanMiguel,
Thanks for the post. I didn’t see any luck involved in that trade. Like they said in “Dances with Wolves” GOOD TRADE. What was the exact point of the trade and the method used to find the trade point? This is also what the newbies need.
Trade well and prosper,
Johnny
I entered at 1.4370, this is on the closing of the 1 hr candle and a little after the trendline bounce but before the pin bar is fully formed. I was comfortable with that based on the signals described above. If you wanted to be a little safer you could have entered as soon as the Daily pin bar was formed that might have meant about 1.4340 with stop about 100pips away.
I haven’t put RCarter’s 2:1 daily boll onto this chart but I’m sure if you do you will find a “step across” / flatlining of the 2:1 boll when the pin bar is formed signalling a possible daily trade entry.
Edit: 2:1 boll attached (purple lines). I think RC sometimes enters as the flatline occurs. I prefer to wait until the Daily candle is formed as it gives me a better idea but it means the entry is sometimes late.
