A ‘Fakey’ as one PA teacher shrewdly marketed it as, so that newer traders would think he invented the concept is essentially a Hikkake pattern.
Just remember with the Yen pairs they tend to have shallower pullbacks than other pairs. And when they trend they trend quite strongly. So if traders are sitting back waiting for pullbacks to around the 50-61,8% zone they will probably be waiting a long time.
Both those Pins look pretty good to me. Now we have no way for sure of knowing how these trades will play out but in keeping with historical Yen moves they do look reasonably tempting.
The Hikkake basically involves a false break which ‘fakes’ out the market one way before turning around and moving in its intended direction. So rather than one candle there is a sort of 1-2-3 pattern involved.
Allow me to explain…When we look at the 12 hour chart of the EURCAD, the pinbar was a valid one to long. In fact, a powerful one but the fact that the next price did not break the highs of the pinbar on the next day, tells us that the bear was still in power. Hence, we don’t take the trade.
As I mentioned before the break; I was taking a quick week or two holiday over the Christmas/New Year period to freshen up and spend some time with my family. This is the first time in quite a few years I have not traded through the Christmas/NY period. Normally what I will do is trade through this time and instead take the July/August period off. What I find is that Christmas & the New year is great to trade, but August can be really slow and a good time to take a holiday.
This is my first weekend back by before I look to come back to trading normally tomorrow. A rule I personally have for myself that I mentioned earlier today to my members that I also want to share in here today because it is appropriate at this time of year is about coming back into the markets. A lot of people would have taken time away from there charts and had holidays which is a great thing. Sometimes taking a break from our charts and taking a refresher is one of the best things we can do, just to mentally refresh, however when we are in the markets everyday and looking at the same charts everyday we gain a sense for what is happening and a market feel. This takes a while to build up, but is quickly lost.
To come back straight from a break and start playing trades is not wise. Obviously our best trades are played when we are in the zone and we have a great feel for the market. To regain this feel it is about chart time and once again marking levels and watching price action. In other words getting back into the markets and giving ourselves a little bit of time to feel our way back rather than trying to come back and force trades in the first hour back.
Safe trading and lets have a cracking year in 2014!!!
i dont want to derail the thread, but i have to make a comment regarding FSO and people who had doubts joining…i have to say holy sh*t the membership is worth the 287USD…i am still reading through the course and its amazing how well written and detailed it is (its like this thread but 10 times more orgnized and detailed)…and the video sections have lots of long videos (15-20 mins)…i didnt get to the articles yet
also the members forum is SO MUCH MORE active than i thought…the intraday thread have more than 2k posts
all of this knowledge did not sink in yet and i need more time to process it all…amazing work
P.S for john: i hate you for not making the course downloadable
On daily it is clear trend, but I guess I forget to treat every TF differently… And I agree on a traffic point. But then my second question about big PA signal and RR?
Ok I get you. Was looking at a 2 dimentional view. The IB is strictly not IB in the example in the link. I will give this pattern a miss as I don’t understand the psychology of the pattern. I would rather look for an morning/evening start pattern.
The 1.3650 zone had held as support recently, then got broken.
According to this thread, when support is broken, we look for it to hold as resistance, and then wait for PA to confirm bearish direction.
That’s why I’m looking for shorts on intra-day TFs. But if, for example, today was to form a BUEB/2BR on D1 at the same zone, I would go long.
GOLD:
Since the weekly BUEB is counter-trend, if a valid short PA would form on D1, I would consider taking it (particularly if the BUEB trade is at breakeven; I wouldn’t cut it, would still let it run)
I’d also have liked the USDJPY D1 pin to form lower ( the body, at least ), but as Bryce said, it’s still a valid rejection [ esp given shallow pullbacks in a strong trend ]
