How to define the market using the 200 50 and 20 sma
types of entries to use once market is defined i.e sqs sql blc bls and type of trade either the mpt or id market is slow the weight for the close i.e. Candle close below ma cb
i want to move on to price projections and combining , fibonacci in the next sections:
Please let me know if you have any questions and that your keeping up, i need you to be current with what we have covered will be going deep into a full time traders way of thinking and how we apply that to the targets and projections…i would apppreciate some chart posts if you have tried to trade what i am showing you…
BLC Bull Long Confirmed (The marks on the chart are for the price/candle at the Moving average to buy)
BSC Bear Short Confirmed (The marks on the chart for the price/candle at the moving average to sell)
Price confirmed enter trade
you can enter on a candle close below the moving average or you can enter on momentum as it passes through the moving being fast momentum.
Hi your correct about the Elephant bars well done. Yes Elephant bars we wait for them to form and buy just before the close. However this trading I have covered in the charts is other then Elephant bars. Remember the Entries we have covered from the toolbox are as follows:
Squeeze short and long entries, Bullish Confirmed Entry at 20 MA, Bearish Confirmed Entry at the 20 MA. How to determine if your in a bull zone market condition to enter a BCE.
Elephant Bars we did not cover so far in this thread. And have nothing to do with the entries I have outlined above. Elephant bars form and then when that happans we pay no attention to the moving averages we just buy them or sell them any place they form on the chart.
Thats the only time we disregard what type of market we are in and pay no attention to the moving avarages. You can buy them any place they form on the chart, Moving averages go out the window when a Elephant steps into the bath tub. Regardless of anything! Elephants make the market move no moving average will stop that as resistance. So we buy them and sell them, at any area of the chart, with no regards to what type of market we are in. I made you a chart.
Elephant bars we buy and sell any place they form paying no respect to moving averages. We place the SL just below the Candle we bought. SL under the 20 period is not for Elephant bars. SL below or above the 20 MA is for Squeez entries, Bull confirmed entries and Bear Confirmed Entries.
BLC Bull Long Confirmed (The marks on the chart are for the price/candle at the Moving average to buy)
BSC Bear Short Confirmed (The marks on the chart for the price/candle at the moving average to sell)
Price confirmed enter trade
you can enter on a candle close below the moving average or you can enter on momentum as it passes through the moving being fast momentum.
Ok thanks, I understand the squeeze trades, i dont understand how you enter on the BLC or BSC? how r u measuring momentum?
I think i will understand more when i see live trades Thanks alot for all your help
BLC or BSC entering. The areas to enter are marked on the chart. Basically when price passes above the moving average 20 for BLC, and below for BSC. A candle close means the candle closed under the 20SMA for a BSC Entry when the candle open was above the 20 period or alternatively Sell the open of the candle if it opened on the 20 or below the 20 to short SELL or Sell the open of the next candle if it opens below the close of the last candle and the last candle is already below the 20. Visa Versa for long entries.
What we mean by momentum entries is that the Candle passes through the 20 Period in a fashion that seems imposible to stop. Not 1 pip down then 1pip up, more like 4 pips down 1 pip up 2 pips down 1 pip up 6 pips down and so on thats momentum. Basically price moving fast positively in a determined fashion in one direction. If it turns out to be an elephant then just switch play. Concentrate on nailing Squeez and BC entries first, do not worry about elephants for now, there a small part of the play. Concentrate on trading the MA;s. Elephants are not the backbone of trading just an infrequent event.
Elephants and Tails can form anywhere on the chart we buy or sell into them within the last seconds of the candles life. We enter late as we do not want to get tricked as the cadle may reverse to a tail in which case we would switch trade a buy becomes a sell or visa versa. If a tail is a Great distance from the 20 then its also known as a Kamakazi Candle this is the one that has the most power on the inpending move that will follow.
christinaa LEARN THIS FORGET ALL THE OTHER STUFF, LEARN THIS THEN LEARN THE REST. IF YOU CAN MASTER SQ YOU CAN BE A FULL TIME TRADER JUST TRADING SQ AND NOTHING ELSE.
taking profits and entering and stop loss is on thread #99 . You take half profit on the 200 B4 bounce yes. You enter on the 20 Period RIGHT? so your already up 40 pips before you hit the 200. SoYOU CAN TAKE HALF PROFIT AT THE 200 OR TAKE ALL. BUT IF YOU TAKE HALF THEN YOU HAVE A POTENTIAL OF 1000 PIPS MORE.
TRADING IS ABOUT REDUCING RISK. THATS A NO BRAINER IF YOU ALREADY IN PROFIT AND HALF OF YOUR PROFIT IS FILLED.
YOU CAN JUST MOVE UP YOUR STOP SET AN ADDITIONAL PIP TARGET AND FORGET ABOUT IT AS YOU ALREADY WON. SQ ENTRIES MAKE ME AROUND 700 PIPS A WEEK AFTER 40 PIPS LOSS. THAT CHART YOU POSTED HAS 50 PIPS ON IT IN 4 HOURS ON ONE TRADE. WHEN YOUR CONFIDENT THAT SMALL TRADE ON 1 LOT IS 500 USD. SEE THE POTENTIAL.
Normal use of fibs is not even worth using, it got one candle hit in 24 hours. NOW YOU COULD SAY THERES A NEW FIB POINT ON THE CHART BUT LETS ASSUME THE 2 FIB POINTS I HAVE USED IS THE MOST CURRENT PRICE. MY METHOD FORECASTS RETRACEMENTS AND EXTENTIONS FOR THE NEXT 24 HOURS. WITH NO NEED FOR A SWING HIGH OR SWING LOW. AS THE METHOD I AM SHOW PROJECTS THAT BEFORE THE SWING TAKES PLACE
I have 28 pairs open, scanning for a squeeze trade…and the only one I could find is this CADCHF, but aside from practice it’s not really an ideal one being so close to the 200 pipwise. I entered long just above the 20 MA (yellow) after it crossed, and the stop just below. Price move a whole 10 pips to the 200 MA (blue) where my EA closed 1/2 and moved stop to BE…so now I’m waiting for either my stop to get taken out, or for price to continue to move up. I probably won’t be up long enough to move my stops strategically if price steps it up.
Well done, you stayed within the rules and you made money even though it was a looser…And like you say as your limited for time you took the entry when the SQ was a bit tight. But if I was really hunting a trade and nothing was avalable I would. Have done the same thing as you did! , you are spot on the money.
Think about this: Imagine you started your own business. Your First customers are few and infrequent. You have two customers and they only give you 20 pips each a day so when you close your books on Tuesday your only up 80pips. Wednesday you open for trading expecting much of the same. You see a Squeeze and you enter and think oh well here is another 20 pip trade! but that one explodes and your customer gives you 150 pips. Thursday and friday close and you add another 80 pips between the last 2 days of the week. You think to yourself what a slow week, So you open your books to sum up. To your surprise that slow week earned you 310 pips. $ 3100 i.e. more then 12, 400 a month. On a slow week hehe…frequency of trades not relevant, perfect entries relevent.
Here’s another with lots of pip potential…(maybe too much/risky zone?)…short on GBPAUD. I see that even tho it’s making higher lows, it’s not making higher highs. I almost missed your comment on pending vs market orders, which favored pending without getting into details, so I decided that I would place a pending order close & below the 20ma (green) and wait for price to return…and then hopefully plunge down again…bam…lol…jk. So far it did go back up to the 20 ma and triggered the PO…now waiting. Stop is place just above the 20ma but at the high of the prior candle for about 15 pips.
