Yes, I too hope that it will be clarified soon as to where we exactly should begin to draw the CBL Lines.
For instance, I have seen quite a few trades in which the S/R lines are slightly overshot, and then rebound in the opposite direction, and wanted to know if such trades were safe to take (ie. once the S/R line has been breached).
Cheers and good job to everyone on keeping the thread on topic, especially unrepipant, Xelnar and MasterTang.
xXTrizzleXx
Since Tymen’s been away, I been catching up with his candlestick threads and if you have been over them too, he takes care of the big stop losses very nicely.
Unrepipant,
here what I think
Look at the daily chart you can see that currency pair demonstrating uptrend,
It to towards to the top-right corner of the chart, you can also confirm the uptrend by noting that the pair has been building higher highs and higher lows as it moves up on your daily chart.
Until the price reach the level of 0.9328 you should draw CBL for the long entry (no short entry in uptrend!)
Hey Renla,
I think on the fundamentals your right…not the best to trade against the overall trend however Tymans last instructions were to watch as price reaches a S/R resistance line, practice your CBL, put in your stops and TP and if you see an opportunity go for it. My take is it’s all just practice at this point so that when the lesson continues we will be ready and primed for the refinements. Hooray for DEMO accounts:D:D
hi sorry i dont know how to post charts, but can somebody tell me where the CBL would have been drawn on GBP/USD today…h4?..
i have practised them and i think ive got the hang of it…but this one looks very tricky…
can somebody post the chart on here and show the correct CBL please?
thanks…
It will make perfect sense on the 1H chart;)
Try that, and see if it helps you.
Gezza,
Here is how I would draw CBL’s for long and short. 4h home chart on the left. 1h timing chart on the right.
Hey, Yipee I reached junior member, 50 posts!
Does that mean I can send and receive private messages?
When I look at my profile, it still doesn’t have an option to send me a private email message.
Yep, you can be a PMin’ foo’ now.
Log out, and log back in, and all will be answered:)
thanks master tang and unrepipant…
if i use the H1 chart, master tang, then id be drawing my CBL after the up move reached its peak on 1/04/2010…do you agree?..(this is the peak on h4 also)
my short entry would have got taken on 2/04/2010 but then i would have hit my stop loss on 5th of april…yes?..
I assume that is one of the threads in one of the forums on Babypips. What is it called?
Thanks
The Joy of Candlestick Trading. There are 2 of them…
Amosfella …thank you!
You are very welcome…
The trade is NOT filled on 4H chart, but it definitely will be triggered on 1H chart. How do we handle it?
Thanks,
Simon
I must be missing something. What makes you say that the trade would be triggered on the H1? The CBL was not crossed by any H4 wicks - a necessary condition if an H1 candle penetrated it. No?
Congrats to all for keeping this thread running brilliantly - please see attached study on cable for comment. Levels and entries noted for last couple of weeks. Dark blue from daily chart, light blue from the 240. The ringed zones are points where the 3 bar count back triggered on the 60minute chart.
A quick analysis gives rough results below - spreads not accounted for and actual targets need further study.
a. 146risk / 375 gain (still running)
b. 26risk / 60 gain
c. 58risk / 30 gain
d. 51risk / 229 gain (still running)
e. 51 risk / 90 gain
f. 120 risk / 57 gain (still running)
g. 64 risk / 83 gain
h. 118 risk / 51 gain (still running)
i. 99 risk / 68 gain (still running)
j. ??
Then from Tymens earlier posts on trend - based on new highs / lows - using the 240 to filter trades:
first section of shorts from start of test:
b. 26risk / 60 gain
next section of longs from 30/03/10
d. 51risk / 229 gain (still running)
e. 51 risk / 90 gain
next section of shorts from 06.04.10
g. 64 risk / 83 gain
All filtered trades reached atleast 1:1 (seems like a pretty good start even if Tymen doesnt have anything else to add)
Can you please state the direction? short or long?
For 26/60, 51risk/90gain things, do you apply any rules to exit (e.g, TP1, TP2)? or just based on the maximum excursion?
Cheers,
Simon
