AUD/NZD still looking promising for longs ,keep an eye on it next few days whatever your method of trading,
EURAUD Short from yesterdayâs H4 BEEB TP1 (First red line in the pic) was just hit now looking for TP2
Hi Guys,
I have started the PA journey recently and have been reading this thread for a week now. I particularly like the easy method and the language it has been explained by Johnathon and all the senior members. From what I understand PA works on any type of market be it Forex Stocks or Commodities, based on my understanding of PA so far I have recently tried this trade (Not in Forex) which is going against me, I will be grateful if someone can help me find out any mistake with this trade, I have attached the charts. I did follow all the scenarios of a good trade as explained by Johnathon(or did I miss something?).
PA Signal BUEB
Does is occur on a S/R area yes
Does it occur on a swing low/high yes on swing low
Is it with the trend yes
Below are the charts. I only take trades of the daily or 4H charts
Thanks and keep helping us.
Hi EternalNewB,
Can you explain how is this trade a winner? I assume your purple line is your support turned resistance, so Iâm looking to sell here⌠Or are u looking at it as a BUEB?
Sorry noob here. Trying to learning as I was watching that pair at around the same time too.
Will try to do my best
First start with a zoomed out of the daily chart, the overall trend is up and check the how price respects the highlighted areas so here purple is the S/R
Now letâs go back to H4, As you can see the BUEB happened at the Daily resistance level => it is a good potential setup (Red rectangle).
Since the trade is against recent momentum ( which was down) I prefer to keep the TP at the next logical level. So I try to identify an H4 S/r level (in green below / purple in my other screenshot). Notice how price respected it on H4 (highlighted areas)
And the candle directly after the BUEB price hit the TP and went back to our entry level (break of the BUEB)
after that price broke much higher but âŚ
Agreed Buster. I wasnât in that trade but for those who are as long as they had their stop behind the low of the PB they should still have a fighting chance with this trade.
Hey investorkeen,
Your analysis is spot on and the area youâre playing the signal at is great, but it is very important that you are using NY Close charts to trade with. The reason for that is the NY close is seen internationally as the unofficial close of the Forex market and so we want to be inline with how the market forms so we can have the most accurate information on our charts. Without NY Close charts, we may often be sucked into trades that do not accurately align with the order flow that is actually happening. For more info, check out THIS ARTICLE.
Safe Trading,
Joey
Thanks a lot Joey
Thanks EternalNewB!
I have learnt a few things from you.
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I have never really zoom out so far to look at the trend, I have always focused on the trend in the screen of my computer screen. Will learn to do that from now onwards. One question in my mind is, I remember reading somewhere from Johnathanâs article, that I donât have to zoom out too far. So when is a good time to zoom out and when is not?
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I have learnt from you (or more like reminded by you) that BUEB can be more than 2 candles, it really does shows the strong bullish momentum by the last candle in your red rectangle, since it engulf 3 bars in total. I have always look for 2 bar, should really be more focus on reading the price action story.
I have made a loss in this trade (demo), and I actually see only the near term trend, which is bearish. The red line is the S/R line I drew.
I went down to H4 and saw a pin bar false break, so I thought to myself that I will short this pair.
I used the previous swing low as my TP (which is the low of the previous bar, just before the pin bar. Its also the last bar of your BUEB), and I was stopped out.
I was reflecting after the trade, was I wrong in anyway? I thought that my TP was probably wrong since the resistance should be higher at the blue line shown below instead.
Was I wrong in anyway throughout my thought process? Really appreciate your guidance, EternalNewB.
Sorry for such long email. 
Well this is a great after analysis of your trade well done
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You are right we just focus on the âcurrentâ trend on the time frame we are trading but even then it is more of a ranging than downtrend. the current [B]momentum[/B] was down but price is ranging
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Your pin bar was valid and at a nice area, I wouldnât have traded it because of the strong BUEB right before that, as you said, engulfed 3 previous bars
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even though you took the pin bar you should have got out of it at a profit, as you said your FTA is the blue line and not the low of the previous bar. why ?? easy! look at the overall structure of you down momentum. it starts really strong and then it slows down as it touches support (smaller and smaller candles) then price tries to break support and is rejected (wick)
I have always look for 2 bar, should really be more focus on reading the price action story.
one of the most important lessons you can learn 
Cheers
I love that chart very colorful , and now the XAU is getting ready to go south.
Would be nice to see a false break up there at the 61.8 fib zone.
Learnt a few more things here.
You are right, since there is a strong BUEB, I should trade the pin bar (thats all price action story is about isnât it). I gave myself another reason that the pin bar should not be traded, which is the RR ratio is not good.
This is another new insights to how I can view the S/R.
Thanks again, EternalNewB.
Anytime
thread on rockâŚ
PA wise you are most likely right, however the trend is heavily against any buy and I wouldnât buy before a trend reversal confirmation (not saying it canât work)
Today is a national holiday in the USA, Thanksgiving, so our markets are closed. Now i will be with family enjoying the day and eating allot and the next day i will be hitting the gym to burn off some calories . Have a great week and week-nd see you next week.:42: