Hahaha whatever works for you I guess! does it work for you? The thing is nothing is “right” or “wrong” in Forex trading. For me I just don’t see what the point of doing that would be. I just don’t really see the need. But as I said if it works for you.
When I see a daily signal I and I like it I will set my orders and targets etc and then let the market do it’s things. Simple as that. The market will move up and down and either make me a winner or loser. What happens on the 5 min or 1 min doesn’t change what is going to happen on the daily chart.
This thread is the way I do it and if people are taking part in here then they are agreeing to do things the same way. That does not mean that mine is the only way that things can be done! There are many ways to skin a cat.
These may seam like silly questions but I will ask them anyway.
Why are you worried what’s happening on GBPUSD when the pin is GPBCAD? I know they are correlated about 78% or so but they are different pairs and have two different countries in their pairs. They also have different charts and have been doing different things the last few days. I guess I am asking why does it matter if the GBPUSD goes up as long as the GBPCAD goes down?
The other question I have is if you are trading Price Action why the concern with the news? As I said in previous post there is no right or wrong way so please don’t take this as I am saying not to do something, I am simply asking. Do you trade with the news and price together? Or do you wait for announcements to pass before looking for trades?
I did like to trade on price action however i’d like to see other things also. I’d like to see what is the strongest currency and what is the weakest currency, and right now the strongest one still cable and the weakest one is aussie, cad is the second strongest so i would hesitate to trade it, imo thats all.
Hi Johnathon
Just to answer your question whether the M5 works for me. Right now I am still trying to see whether there is any correlation that the price action on M5 has on an ideal trade setup on H4 and daily using your method.
Hi Johnathon, not sure what happened to my post of last week (i did post it through my iphone but can’t find it anywhere…) so i assume it got lost in space somewere. My question was : do you trade inside bars at all and if yes, do you only trade them the same as BEEB or BUEB at important levels only (mainly S/R)
the other thing : would you or anyone else in this thread have a list of correlated pairs, would be a great help>
many thanks for your help and reply (i know you are mega busy so in your own time)
i am new to this thread and LOVING IT !
Generally, my SLs are below the setup low ( e.g, for a BUEB, my SL would be below the BUEB low )
HOWEVER, since the margins involved in weekly are high (due to the pip ranges), i pick another relevant SL.
E.g for the EURJPY weekly BUEB, below the BUEB low would be hundreds of pips ( over 300 ), so I’d rather use the S/R line (on my chart) as the SL ( ~ 145pips ).
Remember this key point: stick to the timeframe in which the setup has appeared; do not go to lower timeframes to look for <anything>. Manage the setup (SLs, TPs, S/Rs) in the timeframe you are taking the setup in.
Hi guys, been following the thread for a while and gleaned some gems of wisdom. Just a quick question though. When taking a %'age of profit as the move goes in your favour on MT4 is it as simple as leaving a pending order in the market for whatever amount you want to offset or is there a specific function for this. Sorry if it’s a bit of a daft question but just want to make sure I’m not missing something.
Okay so sorry for the late response. Have been flat out. I have had your post sitting on computer all day so I would not forget. I did not see your post the other day by the way other wise I would have replied.
I trade Inside bars rarely. When I say rarely the last IB I traded was about 6 months ago. I remember it because they are that rare it was on the EURAUD 1HR chart.
The reason I don’t is because they are just so iffy and there are far better and more convincing signals.
Now I do use them in my trading. I use them for trade management and also to read the market etc but as for signals and trigger bars not so much.
As for your correlation question. Basically I have answered this about 40 times in here but I will answer it again for you. I don’t think you need a graph or a correlation chart, you just need to think about it. I don’t use any graphs or charts. I basically just never have 2 trades with risk 2 the one zone at any one time. For example I will never have 2 USD or 2 JPY trades on at one time. People will talk about the inverse correlation on the EURUSD and USDCHD but that does not worry me as I would not be caught in them both as they both have the USD in them.
Think of it this way if you have 2 full trades or 2 full trades worth of risk to any one zone or country at any one time you are risking double what you should. All that has to happen is that one country or zone has to make one announcement and you lose both trades instead of 1.
Forex is all about managing risk.
If you can keep it simple you will do okay. Let the other out think themselves.
i’m still on page 41 of this thread but thought i’d put a chart up for eurgbp daily that looks like a potential trade. the resistance that the 2 bar formed on is a retest of a level last hit in august 2010, not sure if that is significant. waiting for price to rotate back to the upper red line to go short
@Trades per month: the rational ones = ~ 12 per month
==
PS:
=> With regards to worthwhile-ness, here’s how I see it (feel free to correct me if I’m wrong)
-> (This may vary from broker to broker but) generally, the pip cost for 1 ounce of Gold (minimum trade size) is $0.01 per pip.
-> If you sold below the pinbar low (at say 1640.00) and it got to 1635.00, that’s 500pips movement
-> For a spread of, say, 10pips, that comes to 490pips => 490 x $0.01 = $4.9 [ for a minimum trade size margin of ~ $7 ] (micro a/c) => 70%
–> 1 micro lot (.01) of Gold = 0.01USD per pip => $4.9
–> 1 mini lot (.1) Gold = 0.1USD per pip => $49
–> 1 standard lot (1) Gold = 1USD per pip => $490
Importance: it is value-adding to evaluate trades made and pick out patterns of thinking/behaviour (good & bad) and use the info picked up to adjust trading style/behaviour for better trading performance
Just on the EURGBP short trade you are looking to take. This level is the same level I have marked and also the level I will be watching like a hawk to get short with all the momentum. Pull-backs with the trend to logical areas are my speciality. So yes I agree let the counter-trend pass and get with the trend.
