Hi gkuang2,
Welcome to this thread.
If the candle that you are looking at is on the daily chart you have to wait till it is closed before you can say it is a spinning top. Weekly candles are used in this method for Bias Then look for price to retrace to support or resistance and then go to 1H time frame to look for entry. Bias is short
TC
Thanks TC, yea i was tired and misread it and I just realized that the candle was developing. I know that NIkita uses weekly TF to determine bias as you mentioned above. Can the D TF still be used for bias or no? So after I find the Bias, I am looking for support and resistance/ reversal candle for an entry? Is that correct?
What do you guys think of this EUR/JPY pair?
is this a buy for tomorrow if its a long candle (confirmation) for today?
Hi gkuang2,
Please see the chart below.
Weekly
Daily
1HR
15M
Bias is short weekly and daily , we don’t know how the daily candle will close today. But what we know today is to go short around resistance area on lower TF.
See the red horizontal line can be a potential resistance to go short today, around that area.
But if you think about the long term trade we can see the 136-135.50 is good place to go long but it is all depends on the daily and weekly TF how they closed.
See the bottom horizontal line which can be a potential support for long position.
Thanks for the reply Sharebazar, so i think i got the bias down. What I am still confused about is how you came up with your support and resistance level?
Hi gkuang2,
See the marked points that give the support / resistance. The double line gives an area of support / resistance. Not all wicks of the candles are clearly visible in this picture so check your own charts to get a clear picture.
TC
Hello all
I haven’t been here for a while…
Hope everyone is doing ok after the CHF movement yesterday.
thanks for the explanation TC, i got it now. I saw the resistance/ support levels on the weekly and did not know they were the same ones on the other charts as well so I got really confused. Thanks!
Hi TC, one more question. In the reply Sharebazar wrote he also mentioned the 137.007 and 136.730 support/resistance levels. Do you know how he got those numbers? Thanks!
Hi gkuang2,
Check the daily TF how many times price touches around those areas.
You can draw a horizontal line in a chart wherever you want but to become a potential Support / Resistance we need to see how the price respecting the horizontal line or around that area. Always good to draw it in higher TF.
Simple. Each timeframe has it’s lowest and highest points in price. In candlestick charts it is the ends of tales of lowest and highest candlestick. S&R became stronger when price touches the point several times but can’t get through it. Despite of its simplicity very sophisticated systems could be developed based on this principle. For example I use powerful combination of stop and limit orders on EUR/USD at Hotforex, but note that it works only with high-liquid pairs and very low slippage.
Hi Sharebazar,
Pls enlighten me on my understanding on this trading method. To sum it up, I will put it in point form. I realized that this method of trading breaks down into 3 most important points:
I realized that be it trading the weekly bias or daily bias is no difference in the sense that the theory is still the same, (although trading daily bias- frequency to take a trade will be more) So 1st, we need to determine on the bias, which is the direction that we want to go. Ex: Last week buy, this week buy. Yesterday buy, today buy.
Then we need a proper money management to execute- of cos I am still learning on this aspect.
Pls let me know if I am rite in understanding Nikitas way of trading, thank you…
Hi Gssg,
You are spot on. Very nicely explained.
If we follow these three things in our trading we can reduce lots of bad decisions.
According to this method we just need to stick with this method simple rules, no need to make it complicated.
These 3 points are the main ones and their are few more small points which Nikita already explained in the beginning of the thread.
Money management is very important in any business, so learn it properly.
Hi Sharebazar,
I also spotted this entry, but my entry was a bit earlier, on the H1 chart after a bearish pin bar at 0800. I find this indecision candle was a good sell as prices are forming LH as well.
However I was stopped out. Haiz…
Did u enter a sell also?
Great job sharebazar now you can ride it up.
Hi Sharebazar,
I was curious about your entry. Can you explain a bit about your reason for entering? I see that your sell was after the strong spike up. And why do u open 2 position?
Many thanks.
