Hi Amy,
If you find that you are really accurate and keep missing pending orders / TPs by 1 or 2 pips, consider using a buffer amount of pips to ensure you get entry / TP. I personally use a buffer of 5-10 pips.
E.g: if TP is at 0.9500, and I am shorting, I set TP at 0.9505 or 0.9510.
Same concept for pending orders.
Cheers
Thanks Darth - I just closed it out when I saw it was retracing some time after NY close - no technical reason really behind it 
I entered the short trade at 1.5292 (stop at 1.5366) and exited at 1.5123 - for 2.3R.
good advice, I will from now on, thanks.
[QUOTE=âmancamy;588511â]Just realised the source of the confusion - I posted the weekly chart in error - I really shouldnât post when it is super late in my time zone!! Even though thatâs what I am doing now, but feel duty bound to set the record straight, sorry BA.
we are both using NY close charts
Looking at it again, perhaps there are more cons than pros to this oneâŚ
DAILY CHART
PROS
we are at a very key resistance zone marked in yellow
long term downtrend
CONS
bullish near term momentum - also a higher low which you can see more clearly if you zoom out on the weekly - perhaps means we are headed for a trend reversal, 123 pattern?
looking closely at my daily chart - the pin bar doesnât in fact close within the range of the prior bar on the daily chart - where preferably it should
<img src=â301 Moved Permanentlyâ/>
price is definitely in an interesting area - perhaps we should wait to see if we get some more convincing PA to take a short, particularly, in view of the strong bullish momentum of late on this one�
If in doubt, stay outâŚ[/QUOTE]
Thanks Amy, sorry for the delay in replying, I was catching some zzzzzzzâs. I gave this a pass in the end as it looks iffy and I really need to start making some winning trades very soon so Iâm sticking to the rules.
Yes, the pin bar needs to close within the previous candle.
Great analysis Amy,
I am glad to see people passing this one up because it is a poor quality setup without much edge. I will mention a few more things to not like about this trade. One characteristic you want in a pinbar that it is close to or larger then the previous candle/candles. In this setup the previous candle is about 2.5 times larger. As other mentioned, it doesnât close within the previous candle, so its technically not a pinbar, but even if it did it is still way to small. Itâs like a Volkswagon beetle playing chicken with an SUV. You want to larger and more demanding candle to be your price action candle.
I have my resistance levels based on the weekly/monthly charts which are a little higher than the levels you have drawn. For me the top of the pinbar is just barely touching the resistance band. The best setups are when the price action candles are âup inâ the resistance band, but close either inside or just below.
The other issue I have with this is that it has made a higher low. A break of .9250 would have put us in a texbook downtrend, but with the higher low itâs hard to tell what type of pattern price will form. We may end up with a double top or an ascending triangle, one would be bullish and the other bearish.
Without a really clear picture in the long term price trend, we will need a large and well defined price action setup that is up in that key resistance level to give us a solid edge for shorting this pair.
Again I am really glad to see people passing on this trade as it truly wasnât high quality. I have said before that most traders are losing, not because they are bad at finding high quality setups, but because they are bad at filtering out poor setups. Passing up trades like these will ensure you donât give your profits back to the market.
As long as price hangs around this region we could still see a good setup.
Trading Hourly,
Hello guys, I havenât traded any time frame lower than H4. Just lpoking at the chart and getting used to it. This is hourly chart.
The GBPCHF just broke through the level of 1.4854. And came back to retest it giving a sizable BUEB.
Pros: In a daily S/R Level
With the daily and weekly trend.
Good size.
Cons:
Canât think of any.
If you were to play it how would you play it ? I havenât taken it as I donât think I am ready to go to 1h yet. Would love to get your view.
Hey dude, looks good. Did you mark your line off the daily?
Only con I can see it pull back is lil shallow but I myself donât trade under 4h either.
If i went for i would mark tp at the 1.500 area as it would act as serious resistance.
Darth
Hey darth,
Yes the level was marked in daily.
Here is the daily chart and my SR line. Due to my work. I donât get time to be in front of computer at NY close (9AM at the moement in Australia).
So, I am just trying to expand my options by getting used to the chart.
One of the things to be desired with this is a bigger pullback. Although you donât always get a that good pullback if there is big momentum behind the move. The level you marked is also a pretty solid support level which is why you see demand picking up with a shallow pullback. This is a nice 2BR on the hourly but I also think the daily setup was also tradable in itself. The downside of the daily is that if you donât use a modified SL, the RR is only around 1:1 if you take profit at the last swing high.
I opened long position on GBPAUD daily chart
Pros
2BR on KHL on retrace
Uptrend
Enter after cross 2BR high +Spread
COns
Not big retrace
What Pro advice here?
Also as you notice 2BR formed from big candles ,What safe SL to use ?half of the candle ?Low?
Thanks
Gold H8?
1-2-3 reversal pattern, bullish engulfing on the weekly, and 2 bar on rising trend line. I used an H1 Pin to enter 1 position and the H8 2 bar to enter the other.
Opinions?
Price action sure is king. I donât know why you would try to look at anything else. I want to trade the price so I look at price action!!
Hey guys
Just wondering what your thoughts on the 1hr EURNZD pin bar are? I was sooooo tempted to take this and looking at the result should have done! But I am trying to become more picky and take better trades, so I am hoping that my choosiness was correct as I felt this wasnât a 5 Star set up due to the traffic at the left and support (which was shattered) was very close below. What are your thoughts? Have I become too choosey? Have I misunderstood the traffic concept? Did anyone take this?
any thoughts on this? EURUSD H4, BEEB closing below BRN 1.3600 and we have just had a lower high lower low
Yes it is! I believe it is the best possible way to trade the market. There are other methods that do work, but I think price action gives the greatest returns with the highest consistency. Any successful method relies on patterns and behaviors that are repeated over and over. You can tie price action to supply and demand, and tie that to supply and demand being determined by human emotion and greed, and those human patterns of emotion are greed are highly predictable, that essentially makes price action setups predictable.
It does look like you have a text book 1-2-3 that has already been confirmed with a pullback retest of #3. At the time frame you are showing price is already in a text book bull trend. I canât see the picture very well, but it does look like you have nice trendline support and uptrend.
Hey B.A., These comments are all based on the chart you posted, I donât have my charts up right now. I think technically, anything can be called âtrafficâ. Every high and low of a candle can exert some tiny amount of resistance or support. If you have a bunch of candles piling up on each other you can start to form traffic. The problem is almost nobody explains traffic correctly. The other problem is that many traders see these beautiful price action setups off of teaching websites, and so most traders will get that idea of what tradable setups look like. Those picture perfect setups happen a few times a year, and by few I mean like 2 or 3. But the picture perfect trades sell memberships, not messier setups, so you get a bit of an incorrect idea of what price action trading entails. Itâs a fact everyone needs to face, trading isnât clean, itâs messy, you just have to do your best to filter the garbage and look at the key areas of your charts.
When I mention âtrafficâ, I am referring to any type of traffic that is great enough to affect your trade or greatly lower itâs chance of success. So in your chart, the group of candles right before the pin bar is not traffic in my opinion. What you are most likely seeing here is price reaching an important resistance level and then consolidating. Consolidation usually happens before a pinbar forms because when the market reaches a key S/R level, it takes a while for the orders to build up enough for the break out. As you go lower in time frame, you will notice consolidation a lot more. Consolidation is just a part of the reversal process. Some of the best setups are when price reaches a key level and then consolidates for 3-5 or more candles because it may be building up steam for an aggressive breakout. Some traders would pass up trades because they see the consolidation as noise, but in reality it is part of the reversal process. It looks like in this chart there was a buildup of price with a false break out. Then a partial retrace of the pinbar before price actually reversed, which to me is close to a text book pinbar reversal process. Many of the daily reversals that happen look like âquick and cleanâ end up having a lot of consolidation and mini false break candles on the intra day. I would agree with you that this isnât 5 star but it could be a 3-3.5.
What is traffic then? Traffic that you should care about is usually from ânoiseâ. That is price just bouncing around without much rhyme or reason. A little bit of this doesnât matter much, itâs when you have it happening for an extended period of time that it begins to matter. At that point the glob of candles that are just randomly poking around will start to exert resistance, and you will have a hard time drawing good clear horizontal lines from it because the candles will most likely be all over the place. Today I was cleaning up the list of currency pairs I trade and many of the exotics that I removed had lots of noise and traffic which makes it hard to play from one key level to another.
That was a lot to lay out at once! If you have any question from that let me know.
I think this one caught my eye except that there wasnât enough room for price to move before hitting the next major resistance.
yeah i was thinking that to and it wasnât really a very big swing into it. i do like the fact its re-testing the neckline of the double top though and i do think the dollar is going to be a lot stronger against the euro this year
