I shorted a nice SR level today guys on the AUD/JPY.
We had a nice dynamic move down, followed by a nice retracement with a Short entry…See how she goes, stop loss 40 pips, profit target 130 pips…
nice trade wanted to ask you about the trade do u compare previous wave regardless of its size? like the waves av highlighted?also look at usd/jpy what do u make of it looks like its retracing but the previous down move was toooo small shd there be a size of the waves to compare?
When you look at the previous peak also look at the corresponding price move, its really the price that dictates the size of the peak in the indicator, where you have highlighted the first little peak, I wouldnt count that one, I would count the previous down peak as this is really the previous down move…So I would compare the current peak to that one.
I took same trade yesterday but too soon. Had SL screwed on too tight and it busted. The last entry in my trading log is about whether I called the market right, even if it hit SL. On this one I still can’t tell.
Hi 2os
It’s important to allow the tradingit.com indicator to retrace right back to zero first before using a SR level
If you get the entry wrong with an early approach, its not always bad, because if you re-take the trade your overall profit target will be larger from a new entry point of view…This system is normally 80-90% accurate in picking the direction with these dynamic/impulsive moves, knowing this means that if you get your entry wrong off a SR level, it just means that an additional entry is required off another higher or lower SR level…When you risk so little compared to the reward stop outs mean nothing, the profit opportunities with these set ups are the best out there from a technical point of view…
Thanks SR Player - excellent point made above. Read your previous one too about letting the indicator zero out before entry. I work with MT4 and did not look yet for an equivalent indicator; will work on it next. Here is a set up on the EUR/JPY forming now. Both 4H and 1H charts shown. I’m watching it now.
For the ones who want to join, I created a specific email for it.
<[email protected]>
I am looking for market in european session, but I will not always be available. I tend to trade more in NY session, after arrive home. But the goal is to create a group where we can share live doubts, trades, etc. As much people join the better! I do not need to be present. But the best is to have (almost mandatory!) our group leader SR Player.
We wait for you all!
Yes! As I was highlighting, I entered too soon and the SL was activated… this is a continuous learning! If I waited, probably had made a lot more pips …!
Hi,
I am seeing a potential trade on that pair (long). See below graph on 4H.
We should wait for the retracement to complete; wave indicator is crossing “0” value now. Let’s see how the price moves.
Wait for your comments SR Player.
Another potential trade (LONG) … USD / CAD is entering in support zone … Again, let’s wait for the wave indicator cross 0 line.
Apreciate your comment, SR.
Hi 2os
Yes the EUR/JPY looks like a great set up, she should move a couple hundred pips
Great point Psalda…we always are learning, even after 10 years I learn everyday
Hi Psalda
Thanks for trying to attempt a group environment for everyone to attend, the problem lies in the different sessions, see I actually rarely trade the U.S session whereas you tend to trade from that session onwards, this is what makes it hard…
If I can be honest as possible it is going to be difficult to try and work around that session for me…Hope you understand.
The next best thing I can suggest is that there is a group that I am part of in the free Live Trading Room at tradingit.com if you would like to participate in there, everyone is welcomed, I do most of my personal trading during the Asian but mostly after Frankfurt/London open, if this suits we can go through my trades in there and I tend to help others in the group anyway. The lady trader in there lets you share any information and is a great help, and most importantly she is an amazing trader.
Hope this helps
Yes a couple opportunities there with significant SR levels, another good one is slightly lower at 1.59593 off daily
Psalda I dont like that one because it already has tested that previous zone, please see attached chart, I like to only take the very first re-test, nothing after that…
Hi SR Player,
An interesting system you’ve got. Please see GBPUSD Daily chart below on my first attempt to identify the support/resistance for going long. Can you please comment whether I’ve draw it correctly? And which S/R level: S1 or S2 is appropriate in this case?
In one of your earlier posts, you mentioned “the size of the zone is created by averaging the difference between the wicks and the bodied candles”. Can you please elaborate on this by using an example?
Thank you for your time and for sharing your knowledge with newbies like me.
OMFX
Hi OMFX
Both zones that you have implemented are strong areas of Support, and yes you have drawn them correctly…So to answer your question in terms of the set up on the GBP/USD both levels are appropriate. As traders no one on this planet knows what is going to happen if price retraces back to these zones, the only thing we have control over is to implement a strategy around what could occur, this is all we know. If for example you select either S1 or S2 to go long you must apply a good risk management like any trade as this will protect your longivity as a trader if one of the zones stops you out. In this case I would trade S1 first and if it failed I would then elect to trade S2 as I said both zones have been drawn as I would personally drawn them, so well done for getting that part of the strategy correct.
Most traders either go through the process of changing the parameters of their trade when they stop out, I feel the opposite, if I risk 50 pips for a stop loss and use 150 pips as a profit target, I know that I am gaining more every time I trade versus what I potentially am willing to risk. So in other words if I lose 50 on the potential Long/Buy at S1 then I will take another trade at S2 with the same amount of risk but this time my profit target should be greater around 200 pips as I still feel confident with the way I have defined the direction of price. I still expect tyhe market to go up based on my first trade at S1 so therefore by getting the entry wrong at S1 means that there is a greater possibility at S2 to maximize my profit if I get it right.
I have attached a snap shot below to help you understand the size of the zones that I use, basically the lower end of the zone if using it as resistance in other words for a Sell, would be drawn at the wick bottom and the upper zone at the bodies of the candle. If I am going Long and looking for a high to use as Support, the lower zone will be at the bodies of candles and the upper part of the zone will be placed at the high price of the wick.
OMFX this system is based on 2 important elements, firstly identifying an Impulsive/Dynamic move to define the direction we are trading in and secondly to find a significant SR level to govern our Entry/Exit.
If you go through post #247 on page 25 of this thread it explains in more detail about the first part of the process and how it all comes together.
Hope this helps
can u look for a peak in 30min timeframe then look for levels in 4h ? i see like u and psalda are able to do that with ease am kinda of checking the 4h timeframes only like again the eur/jpy peak isnt soo obvious in 4h but in 30min its soo clear
SR the example on the eur/usd 30min peak is soo clear or does it mean that ur sl and tp will be diff from the 4h timeframe?just that is it safe to trad in 30min with this strategy?one is able to spot setups fast
Yes you can as long as the SR levels are off higher timeframes such as H4, Daily and weekly…The dynamic moves can go off 30m but like any system the higher the timeframe you use for the dynamic moves aswell the more chance of it being successful and the greater the move also in length…
Its all about combining both parts of the strategy…
How are you going with it njokie?