Forex Price Action

[dudest]

Very Interesting read. Seems as tho you guys have gotten the drift of trading PA. I have been studying Pa for over a year and I still cant make it work. Perhaps you guys “critique” my charts of trades that I took. Ill try and post my trades everyday. Thanks

Hallo dreamerz!, and welcome!

Looking forward to your chart and discussion

Cheers!

[Wookie1985]

Cable H4, massive BUEB from swing low and D1, W1, MN SR

[dudest]

@dreamerz

Usd/chf 1hr

Hallo again,

If you’re not having much success, switch to higher timeframes ( H4 --> D1 ), particularly D1 [ more realiable + fosters better trading mentality ]

Even when trading from H1, it is best to mark the S/R levels from D1, then look for Hx trades at those same levels.

.

[justise]

@Wookie1985

Cable H4, massive BUEB from swing low and D1, W1, MN SR

not a swing low on my end…and also bunch of choppy candles

[Wookie1985]

@justise

not a swing low on my end…and also bunch of choppy candles

what do you mean its not a swing low? the open of the bar is at a swing low no? and the bar has gone through the traffic already

[juancliment]

@justise

not a swing low on my end…and also bunch of choppy candles

I also think that the movement was produced by a news:
UK Retail Sales 2.8% m/m & 6.1% y/y vs 0.3% m/m & 3.2% y/y expected in Dec

[Average_Joe]

@Wookie1985

what do you mean its not a swing low? the open of the bar is at a swing low no? and the bar has gone through the traffic already

I think he meant the daily swing low on my red area.

[dudest]

Thanks for the comments. Here’s what I typically do.
I get SR Levels from daily TF, then once price hits these level I take a position. This fails more often than it works and I cant seem to figure out why. I would wait for hours for price to get to these levels only to have it break them or take my stop and then reverse.
Lemme show you another scenario

Aaah, touch trading

I do it at times (as a personal twist to what I’ve learned from this thread); with Johno’s method, the level (area) comes first, so one gets to build a good feel on which levels are more key than others.

That’s said, starting off with touch trading can burn you pretty first, the SLs can build up pretty quick.

I’d recommend learning to trade off PA signals first (profitably), then you can explore the touch-trading aspect more in-depth after that [ I bet you you will find it much easier coz now you’ll ‘see’ better ]

Cheers

[Wookie1985]

@juancliment

I also think that the movement was produced by a news:
UK Retail Sales 2.8% m/m & 6.1% y/y vs 0.3% m/m & 3.2% y/y expected in Dec

@Average_Joe

I think he meant the daily swing low on my red area.

yes it probably was news but news causes an awful lot of the PA signals that we trade. waiting for the signal after news isn’t the same as trading the news itself. also its off 1.6300, its 8 pips higher but historically that level is very strong

[dudest]

So I guess I should wait for those Patterns ie Engulfing, Pinbars, hammer etc on these levels?

That’s the idea!

Johnathon teaches 3 price action setups in this thread: Engulfing Bars, Pinbars, and 2-Bar Reversals

The idea is to wait for a PA signal at a key level to CONFIRM that price wants to change direction ( as opposed to touch-trading where you have fewer odds in your favour ).

The PA signal stacks the odds of a successful trade in your favour.

Cheers

[dudest]

Ah gotcha. Another question if its not too much trouble. Would you trade in the middle of a range that was say 150 pips top to bottom but there was a level of S/R in the middle. Assuming of course a reversal pattern formed at this level. Would you do that trade?

The rule of thumb is to trade ranges only from the extreme points ( top & bottom ); more odds in your favour that way

Cheers

[dudest]

Thanks for the advice bro. by these standards how often do you guys get trades. Weekly? Daily?

Post #5
[ # How many A+ setups (on average) can we expect per month? ]

NOTE: these are based on H4 and D1 trades only.

With an MT5 chart ( see Post #8 ), the number of trades per time increases ( due to additional timeframes ).

Cheers

[Wookie1985]

the 1.6300 level zoomed out on daily

[dudest]

@dreamerz

AUD/USD H4

Comment please

Pointers:

Strip the indicators off your chart, and work with a clean chart only

Read up on PAGE 1 of the thread, on the types of PA setups we trade ( EBs, Pinbars, 2BRs ).

Criteria for the setups + entry and SL are included.

Cheers

[dudest]

So none of these candles are regarded as strong reversal indicators? Price was at a monthly and weekly resistance.
Yes looking to go long

In a massive down-trend like AUDUSD, you are safer looking for SHORTS (you’ll have the momentum on your side)

[dudest]

No offense taken bro. Ive already started reading the first few page. I reckon itll take me a while to read and understand everything. after being at this for over a year i figured i have crossed the point of no return and im not gonna let my one year be in vain. Thanks

Good show mate!

The links on the first page will set you off good!

Cheers

[dudest]

HI
I’m selling gbp/chf Daily Timeframe .
a 2bar reversal on the top of the range , on RND .

Ideas ?

Hey abc,

Not the best of 2BRs to be honest, + sitting right on support

Cheers

[Panupat]

I’d recommend learning to trade off PA signals first (profitably), then you can explore the touch-trading aspect more in-depth after that [ I bet you you will find it much easier coz now you’ll ‘see’ better ]

I concur. After I learned Mr. Fox’s method and stick to it for 6-7 months, it had laid down a very solid foundations for me. Today, when I go read other method/threads, I have a much easier time understanding them compare to when I was starting out.

[dudest]

@juancliment

Hi all,
first, thanks to all the guys that have shared thoughts in this amazing thread, specially to the founder but also to everyone else here. I have learnt a lot reading you all through hundreds of pages.

I want to share a PA experience with you, and hopefully get your thoughts about it.

Yesterday I entered short in what I thought it was a good setup. not A++ but good enough for me to test some strategies. Here you have it:


AUDNZDH4

Everything was going OK, and suddenly this happened:

This is AUDNZD_M1

In one single minute, something/someone produced that, touching my StopLoss.

After that, price started going long until now.

The question is: Was this pin produced, for example, by a bank/institution?
If that was the case, in my opinion that would be a good sign that banks are betting at that moment to go long.
does this make sense to you?

best

Hallo juan!, and welcome to the thread

I have the same spike in my charts. It was near NY-close.

I don’t read mischief into it. My first thought when I say your chart ( + time ) is: low liquidity, which leads to spreads widening, and orders being filled where the next available pocket of supply/demand is. That’s why price can jump 10’s or 100’s of pips in seconds, ESP during low liquidity times ( like market closing/opening or NEWS announcements ).

In the big picture: that is not necessarily a sign that anyone (banks,etc) is betting the price long. And given that the AUDNZD has been in a down-trend, it would be a better play to look for shorts when price pulls back (instead of looking to go long against all that momentum)

Cheers!

[dudest]

@Wookie1985

Cable H4, massive BUEB from swing low and D1, W1, MN SR

Not for me; my S/R (for longs) is lower ( around 1.6250 ).

Are you taking it?

Cheers