The way I see it, it’s going to go up for sure.
So, you, what do you think Ken?
I see it is also sitting right at the low of friday and looks short off longer time fib.1.4560 was 50% But how will market re-act or not re-act to little G7 said and the stimuls being passed ?
So I will Wait and see first.
Ken Lee :)Ken, those random thoughts were well worth reading.
I couldn’t agree more to what you said about some people who always just try to get along on someone elses work. That is so true, we all know that from school.
I’m going to continue staring at charts and hopefully I’ll keep getting better at it.
Good trading to all
I have removed all the mess off Fridays chart it is still the GBP/USD 15 min.
I just want to point at a few observations. As Mp as stated a couple of times the S/R areas are being hit more times now. They always had some potential just more action now days… Which is great better trading opportunity for us all. But the fib levels are still being played…
1. This is just showing the ends of my fibs , This will help you to determine which fib level you are looking at , Because some platforms won't let you color every line a different color. This are both yellow which tels me they are 38.2% lines one is a short retrace the longer line the other is a long retrace from the top the shorter one.
This is showing that the fib line was a valid trade on it’s own…
Is showing the top of Friday… The price did spike to the S/R line at 1.4606 But the candles closed right on the 50% fib level. So both are right on this one…
Is showing a bounce off a S/R line and A Trend line is also present in this area. This is what we REALLY REALLY like to see more than one price action signal at around the same area. This indicates a higher degree of success as different styles of traders will be looking here… The people that trade the S/R only and the ones that trade Trend lines only… and it was with the trend and good for 80 pips…
Shows where the same candle that bounced at the S/R in 4 closed on the 38.2 fib level and then continued down… More confirmation if you hadn’t already taken that trade.
This circle shows that price bounced at the 50% then retested a S/R line before continuing down. Also a junction of a trend line so we have 3 indicators for a possible short … and god for 40, This was Friday afternoon not a great time to trade but with all those signals combined made for a good trade… also with the trend.
Then right below 6 you can see price bounced off the 61.8 and the trend line again…
THIS IS OF MOST IMPORTANCE…
Know matter what you are trading use all the tools available to you to get the best results… If you only trade S/R lines still use your Fib and Trend lines and Divergence. Trade with your swings on the smaller time frames for better entries…
BUT WE REALLY LIKE IT WHEN ALL THE TOOLS ARE SAYING JUMP !!!
This should give you plenty to use and trade welll.. Just don't forget look at the whole picture , use all your tools .. And don't be afraid to say I was wrong and get out quick , it is cheaper.. Don't lose your money because of your ego.
Good Trading To All Ken Lee :eek:
I wanted to show the trade options from friday once more and give you a
better success rate… This is the same chart showing all the possible trades from friday… GBP/USD 15 min , S/R lines in white Fibs marked with arrows.
If on the left side you only took longs… the blue arrow trades and on the right you only took the red arrow trades. There would have been no losers.
The circle with the X near the top on the right side shows us our lower high. Giving us a signal of the trend change for the short term… You would have gotten that signal a lot sooner on a 1 or 5 min chart…
This is actually the trades a new person should take as trading with the trend is alwasy prefered…
Good Trading To All.. Ken Lee :)
Up next we will get into where and how to set your stop.
i would urge you to really look over the last few post and go to your charts to see for yourself , as that information alone can change your trading ,
The main points are :
Multiple signals from your tools at that price are greater profitable trades with less risk…
Use all the tools even if you don’t use them to trade.
Trading with the trend is always more successfull
One other thing I keep forgetting to add… You always hear that signals from a larger time frame chart are greater. The reason this is so is simple, I trade a 15 min chart , Are that is what I make most of my choices off of. I then move to a faster time to get a better entry… and manage the trade.
Other people look at the 30 ,1 hr , 2 hr, 4 hr 8 hr and so on.... The signal on the 8 hr. Will also be on all the time frames below it.. So if you have a trend line bounce on the 8 hr you have it on all.. Making a whole bunch more people jumping in or out of the trade, Making it a stronger trade ,, Or a better more likelly to be profitable trade..
So that is another reason you should use your tools to get levels for your trading even if you don't trade that longer time frame you need to see the big picture , Because price is more likelly to turn at a area that showed up on a longer time frame than a shorter one.. And you won't be suprised if your chart has that line already on it.
So Draw some lines and use your fibs and check them out at the end of the day.. I think you will really start to understand the movemnets on the charts..
Have a Nice Sunday Afternoon Ken Lee :cool:Then, please, why don’t you trade yourseft on a 30mins or even a 1hour chart if the signal those give us are better?
Why do you choose to trade on the 15mins chart instead? 
Thanks.
Hey Ken,
Thanks for all your contributions to BabyPips, especially here in this thread. I’ve been lurking in the shadows since finding this thread this weekend trying to make sense of everything.
I just need you to run through some things for me.
You said when your trading off the 15M chart, you first open up the 4HR/2HR charts and draw your trendlines and then switch it back to the 15M to make your breakout and/or bounce trades accordingly. Is this correct? And in this scenario, do you strictly look at the 15M chart or do you go down to the lower time frames to get a better entry.
I’ve sincerely enjoyed this thread and all the valuable information and lessons contained in it. At this point in time im trying to go through all the information and put it all together where it all makes sense to me.
I currently have a $2000 account, could you make any recommendations on what time frames would be best suited for me, as well as money management principles.
Thanks, and happy trading.
Yes this should answer both questions , No matter what time frame charts you are trading it is in your best interest to know where the important areas are on the higher time frames as the real money in Forex trade longer time frames .
So if you didn’t know that on the 4 hr there was a major fib level , or support line. It can cause your trade to fail. But if you know it is there you can then decide on possiblly a different trade…
Melisky ; I use the better signals off the longer time frames to have a clear veiw of any possible things that might change my trading plan, if I see a important level that came off a longer time chart , Might not get in or maybe wait to see what happens there. I trade the 15 min because It is my personality to do so. I like trading and to me it is like playing a game where I plan on coming out a head…
Don;t get me wrong my trading is a work in progress which I believe everyones is , we are always looking for better things. Plus we have to adjust to the market changes…
Bwise, I don’t give reconmondations regarding other peoples money, I will say that if I had 2000 I would first demo till I was sure I was making more profitable trades than not, for a month at least then I would start with 1/2 the money… So as to have more if needed. It is easy to add money but foolish to just but it all in without proving how your going to trade first. You may well have done that already. But it is easy to build your account with the right strategy, and just as easy to lose it all… Be conservative in the beggining, there is plenty written about money management… You will know when to add more to increase your trade size . But you might find you don’t have to do that…
Remember trading is a career choice not a summer job, take the time to know your strategy inside and out before risking real money. Very few businesses have that type of luxury to see if they will make money before risking any..
Almost forgot yes I do use the 5 and 1 min for entry. I look for levels I have marked on my 15 min… When it approaches and starts to slow I look at the other charts to see the slowing and turning clearer… But as I have stated before I am a scalper… So if it turns back I get out… But do try and have a reasonable stop.
Good Trading To All Ken Lee :rolleyes:Thanks Ken, for your response to my previous question.
I noticed from your screen shots that you also use the GFT platform.
I’ve noticed that sometimes when I draw my trendlines off the longer time frame charts (4HR, 2HR, 1HR, etc.) and swith the chart down to a 15 minute chart that sometimes the trendlines are totally off. They are usually way below the swing highs or lows. Have you also experienced this problem? And if so, what do you do to combat it?
Thanks, your dedicated student BWise
Yes They do all I have been able to do is to notice touch points and try and readjust them when I scale back down , It is very agravating ,
Ken Lee :(Alright, as long as its not only me. I guess we’ll just have to work through it.
Thanks
Bwise: I’ve noticed the exact same phenomenon in Metatrader 4.
Do As I Say, Not As I Do !!
First a disclaimer I don't like to talk about non-profitable trades, But in the interest of helping myself and teaching some of you. I am going to explain One I took this morning and what went wrong,,
I did not do well yesterday, and end up down in my account. The last 5 trades yesterday were profitable and I was just about to break even for the day, after the Asian open trades..
I got up this morning before 2;00 Am for the Frankfurt open… Price broke the trend line but the next candle the green doji with the long down pointing wick , made me feel it was struggling to go down.
The next candle took off south. I had the S/R line drawn at 1.4162
off the 15 min chart making it a minor line.The next line 1.4134 with the X’s on it I did not have drawn I added it later it is off the 2 hour chart making it a more important or major line.
So price goes threw the line I have drawn . On the top 1 min chart ,In circle A, We see where price started to stall at the Green arrow , But the red pin bar candle opened below the close of the first red candle and the next candle never went above that close. Not a sign for any kind of turn around yet I went long..,
Circle B Shows the correct trade. The price goes right threw the first S/R line at 1.4162 . Then at the major line 1.4134 it starts to stall again.. This time though the (Turning Green Candle) Opens Above the close of the red candle and never goes below it's lowest point. Once it started up you could have entered , but the safest would be to enter on the next green candle. This is a counter trend trade at this time because price had come down and as you see it didn't go back up very far. I just placed a fib on it and it stopped at 50% and right on that first minor S/R line at 1.4162 and turned down this is the safest trade as it is with the immediate trend . It is marked area 1 The red arrow shows the entry position and you can see a series of doji's then a red candle, there were at least 2 trades at that line this morning and more if you took the counter trend trades as it bounced between those S/R lines for 2 hrs.
Anyway as I didn't have the second S/R line on my chart ( Not prepared and I had Non Profitable trades yesterday, and I put to much per pip on it ( to Make up Loses, Revenge trading) I closed That trade when it Bounced up a bit from the bottom. Because it had gone against me over 25 pips.. I closed at -18 , Didn't want a repeat of yesterday.. So what do I learn..
This was not the charts fault , Charts are never wrong our view of what we see is…
Be prepared, Do our pre trading work, better to miss a trade than to make a non-profitable one.
Don’t try to make up loses on 1 trade , Revenge Trading , If I had put my standard trade amount on I wouldn’t have felt rushed to do something and might have seen the new line and given the trade time to develop.
So instead of working some of my lose off I added to it…
This can all be summed up with the Statement In the title of this thread… Trade Inspiration not Desperation…
If you have a major lose or even one where you felt cheated,, Don't trade again right away get away from it emotionally take a break go for a walk.. Then come back analysis what happened, make note of it and forget it.. It's all part of the learning process and we will always have some non-profitable trades.. I did the right thing I went back to bed then got up this morning went and rode my bicycle around the island. Then started to look for some trades..
It is also Highly possible I didn’t make any mistakes at all !!! I might not have seen what was on the charts… My mind could have blocked what was really there to save this bad trade from being my fault… after other loses yesterday .Oh No, Guys Gone Bonkers , Run For the Delete Key !!! Why are is there such a high failure rate it isn’t that hard,
It is the same as when you first started trading you saw a chart but didn’t see any detail you knew nothing of what made what, Until it becomes a natural instinct your mind can and does block things. I would suggest everyone type this into Google and then read it is very profound and you will see things that have happened in your life to qualify it…Trading in the Zone Mark Douglas.pdf OK enough of that…
Trade 2 was a profitable trade I missed because I went back to bed… We see price went threw our S/R line and a 00 number ( I trade all 00 Numbers) Then in the lower 1 min chart Circle C We see the first green candle at the green arrow comes threw 1.4300 but just barely the next candle red opens above the close but doesn’t cross the greens highest point. If you took this one you could have gotten about 17 pips. I have taken multiply trades at these areas before as they bounce around… But you have to be cautious. The yellow arrow points to the preferred entry. the Red candle opens below the close of the green candle doesn’t go near the highest point then we go have gone short there ,are when the next red candle started down (safer bit of confirmation). And it is still going down. ( Although there was a bounce on the S/R line 1.4231 for about 50 pips…)
Good Trading To All Ken Lee :D
Well, Ken.
Seriously, I don’t see any problem.
The thing is, we can’t have a PERFECT system right? So, the idea is to win more often than we lose, you know that, of course… Losing is [U][B]inevitable[/B][/U].
Today & yerterday you lost some money.
I’am sure you did well for more trades and made more money that you lose anyways.
At the end, you’re going to have a positive week.
Like you always do…
Re: Random Thoughts and other weird things.
A very philosophical post Ken but I think you are being a bit harsh.
There are a lot of folks around who have a desire to succeed and that demands research and then putting into practice what they have learnt.
It doesn’t necessarily mean, when they ask specific questions, ‘that they are faking or
riding someone else’s coat-tails’.
When you are a beginner you look towards your seniors for knowledge and then using it, expanding on it or rejecting it.
Which puts me in a spot because I was going to ask you if your entry strategy on a 1 min chart (as per your previous post) would work as well when closing a position.
Only with the benefit of hindsight would a beginner know there would be two opposite trends following each other on a 15 min chart.
If there is one thing I have learnt, from you, is to trade with the trend from a 2 hour or a 4 hour chart, not from a 15 min chart.
Boy; I didn’t mean to insult anyone, With that post, But unfortunatelly I have freinds that want to trade nad they don’t want to learn they want a sure fire do this do that aproach … it isn’t so, You have to be able to read the charts to trade successfully long term… Even EA guys have to make minor adjuxtments to there software as things cHange,
You my friend aren’t in that group… Why ?? because you are asking guestions and you are reading this thread your learning… asking questions on learning site should be considered learning…
yes I actually posted a chart that uses the 1 min as a exit strategy… you can also use the 1 min and 5 min as signal for a temporary trend change on the 15 min… That way you don.t have to wait for the swing on the 15 which could take all day…
I attached a1min from today gbp/usd. it isn’t a great example the one I had had about 5 lines on it… The principal is that you start from your swing point and you add trendlines in the direction of the move attaching to the points that are formed in this case higher lows. There can be many lines depending on the rate of climb… The exit is when 1 of the lines is broken just like a breakout trade… i will try and repost abetter chart when I see one…
G:)ood Trading To All Ken Lee
Some want to make the money but don’t want the scares from the hard work and beatings. 100% tools or 100% desire… pick one ( I pick desire), great post. Will stick around and see how if flows. Sorry for asking as I haven’t read thru any of the thread (but will cuz of this 
) this scalping?
I presonally prefer scalping at the moment, Not that I would mind trading on a longer time frame. But right now that is what I am doing… All the information provided here is nothing new, It is available anywhere even Baby Pips School. I am just trying to put it in a workable thought pattern, To show how the seperate parts become what you see and can use on he charts, I might be a bit slow, but it took me a while to put it all tigether , How things intereact with each other and how we can use the combined information to make the proper desicision.
I am not showing a certain trading strategy ,other than the fact that everything I show can be used on anu time chart, Just change the time and look, But with higher time charts comes bigger everything , bigger profits and bigger loses and bigger waits for trades,But if you don’t like looking at charts use 2 or 4 hrs and just make desicsions once or twice a day . place your orders and let it unfold…
Good Trading To All Ken Lee :cool: