What settings for the EMA are used if I’m using the FXCM platform?
The same as in post #1
But in the FXCM platform you can’t have an EMA 1 setting, so I was wondering what the best adjustment would be.
Well, in that case, either open a demo with O. and follow the rules but place your order with FXCM or see how small a period for an EMA you can place and see if it closely conforms to M.'s charts. It would seem that demoing O. would be the best bet. d.
Hi Muarizio,
Thanks for taking timeout from your busy schedule to explain the above to us, though must admit it will take some time to digest same.
Today I am seeing the 1hr TL (Cyan) on 1H TF being broken, and thereafter it will test 3H TF TL (Blue) Once this is broken the Daily TF TL (yellow) would be tested and once this is broken then we should be in for a short trade. The question is should we wait for all the 3 trend lines to be broken before entering or enter short after the first trendline is broken. I will be timing my entry on the 5M TF. Therefore, would you consider that today’s trade should short.
Cheers
Yes, thats a good entry, perhaps a little late, but you’re deffo getting the idea.
The point of drawing and spotting a trendline break on the higher TF’s (Eg 1HR) is that, even if the move were to eventually run out of steam on the TF you spotted it on (1Hr) having entered that trade on a lower TF (say the 5M in high volitility or the 1M on low V.) is that the trade should still be profitable even if a timeshare fails to materialise.
So if the 1hr is showing a possible drop as the price action closes or is going to close below that trendline, just the momentum of the 1hr chart will normally pull your 1/5M entry into a profitable trade.
SO…
So, 80 pips up on this trade if you had entered on the step shown in last post.
Have an interesting development on our hands now. This trade is nicely profitable. Although PA seems to have hit at some support at the 141.04 level, we have seen a break of the Intra-day 3hr trendline, this has the potential for a massive downwards move, but as it is on the 3hr TF we may have to wait a while for it to develop.
What would i do here?
I would lower my stop to the middle B/band line on the 3hr, bank half my position (making me 40 pips) and let the rest run in case price takes a nosedive.
This trade is effectively over now, pips have been banked, we have made money that we can’t lose now because we have adjusted our stop.
Pressure is off, sit back an watch what happens.
So here we have a trade which we would’ve entered on the 15m. This would have been our earliest possible entry.
It is interesting to note the TIME of each possible entry and the effect that has on our profit.
Had we entered on the 15M we would have entered @ 136.41 @ 04.15am
Had we entered on the 1HR we would have entered @ 136.39 @ 05.00am
Had we entered on the 3HR we would have entered @ 136.12 @ 07.00am.
The difference between the first entry and the third is almost 30 pips.
Now if you’re trading $15 per pip, that’s a difference of $450.00!
You’re entering the same trade, but you’re entering it early, maximising your profits.
So GBP/USD is flat today?
No trades to be made in a flat market?
Of course it is, as long as the market moves, we can make money from it.
If a market is moving sideways our trendlines will be at the top and the bottom of the range enclosing it, a) to watch for channel bounces, b) to watch for breakouts.
You may have to go to a much smaller TF, and that has the disadvantage of having more fakeouts, but the system is still the same, you just need to confidence to do it.
Here we’ve a current trade…
After hitting the top range/channel line, the 5M chart bounced back down and opened underneath our trendline, so we had to go back to a lower TF for the entry…in this extreme case down to the 10 SECOND chart! LOL.
But the rules are the rules…let’s see what happens . . . . .
I’ll have to spend some time with your latest TL, S&R posts as I had 3 small losses this a.m., E/$ & $/JPY. The 08:00 (local time) news didn’t budge my spreads at all but the 09:00 seemed to roil the market more - don’t know why. I know tht one of the cardinal rules is never move a SL but I have been adjusting my SL to keep it around the opposite BB if the pip distance is too great. Probably a no no. Hope you others had M. good fortune. d.
Hi Maurizio,
Thanks for your encouragement. My Trade went wrong as I placed the SL too close. I was aware of the Bn 142.00 but somehow missed the Daily long Term trendline which could also have acted as a resistance and as such a SL above that line would have ensured that I dont get busted.
Well every trade is a learning exp.
Cheers
When looking for the trade setups for the EUR/USD or GBP/USD, what trading hours do you use?
Personally, I only trade the NY morning session. I start whenever I am up, usually between 04:30 to 06:00 CST/U.S. which technically is the late London session but the NY traders are already at their desks. I quit around 11:00 local time. I am retired so I retired neckties and alarm clocks. d
Ok Dobro, now that i know when you trade i will hang around in the chatroom tomorrow afternoon, see if you want to go through anything 
Thanks, I appreciate that but I 1st want to reread the posts about TL and even Time Share. It was TS where I got in trouble, I will look at my charts tomorrow morning & see what I did or didn’t do. We can hook up sometime later when I have a better grasp and I do appreciate the offer. Thanks again for all of your work regarding this strategy. d.
Hi Maurizio and anyone else ,
Ive been looking at this thread for a few months now (on and off) and i think its good as at first seems quiet simple, sometimesi think ive got the hang of it and other times like today i havent got a clue. my main concern is should i go long or short ?
One of your examples a few post back gave an example with a trend line on the 15m chart geting broken ( up trend breaking to the downside) so you went short on the 5 min chart, so this is an up on the 15 min shouldnt we only be going long on a smaller t/f ? Or should we look to the trend 2 or 3 time frames up or only the daily
ultimatly we have to go in the opposite direction somwhere or we wouldnt get a step. any way i have completley confused myself now and need a little lie down.
in the meantime i will attach my demo trade for any comments this is down trend on most t/f but in a range on the daily so perhaps i should only go short but 3 hour downward are all over sold and it seems there is a support being hit
Hi two more pics
currently just under B/E
One last post re previous post
I entered on the five minute and cci and stocks were just breaking out but i took pic a few mins later
one more question to Maurizio in a previous post you said it you miss a step on a time frame you go down one to catch the entry ? if you miss it wouldnt you go up to the next T/F
thanks in advance
rich