The Trader's Arms 2nd Floor

Beginner Questions
1327

Yep, I see what you mean Sanj.

My consideration of the question was that if there is a recognized support/resistance level, then obviously the big players would recognize it as well. It is far from out of character of these big players to shoot price 20/25 pips above/below these levels just to take out those stops resting at these levels. If you had a choice of using 2 lots with a 25 pip stop and you got taken out, price could easily turn fro that level and go in you original favoured direction.

if though you traded 1 lot with a 50 pip stop and got taken out, you’d surely need to think since price has gone 50 pips beyond your entry you were wrong in the first place.

But i think compounding has more of a dramatic effect obviously on your profit than your loss. Obviously aiming for 100 pips with 2 lots is better for you than aiming for 100 pips with 1 lot as I don’t see why you’d aim for half the target simply because your using double the lot size.

All that said I suppose it all depends on how close your entry was to the support/resistance zone in the first place. Placing your entry 25 pips before recognized resistance might just blow you out of the water either way.

1328

I use the term “swap” when support turns into resistance or vice versa, while most of the time this can signal a change of bias other times means that we could enter a consolidation phase. For instance in the GU 1H chart if we break 1.5200 the likely target would be april’s lows but if you see the chart as a whole… it will look like we are in a consolidation phase. If you use other timeframe maybe the story would be different. So usually you trade the time frame where you do your analysis.

To help me set my Bias in the 1 H chart, I use the 100, 200 and 400 SMA (I also keep an eye on peaks and troughs - Dow Theory). For example when the 100 sma crosses the 200 sma from above… I start looking for supply zones to sell. I do not trade the MA crossover, they are just my compass :slight_smile:

1329

the bottoms edge of swings is just something I’ve noticed seems to happen a lot. I don’t know why. Start watching for it and you’ll see it happen. The range indi is something I’ve been looking for and finally found one. I made some small modifications to it and there are still some changes I would like to make in it. Right now it only shows the average range for the daily time frame. I would like it to show the average range for whatever time frame I put it on, like average hourly range for example.

zip file attached has the ex4 and the mq4

modifieddailyrange.zip (11.7 KB)

1330

Its a weekend post guys… did this side of the pond catch this tonight? Wales (for the US… looking at a map of the UK its to the left side ‘humpy bit’ lol) can be relied upon for great Rugby players… well I would say that wouldn’t I. Fine actors… Richard Burton, Anthony Hopkins (Hannibal Lecter), etc. But most of all, great singers… excluding Tom Jones obviously. The Welsh quire have been background music for countless Hollywood Blockbuters… The Hunt for Red October, The Rock and many more.

Here’s why… two brothers, 19 and 22 who currently work as sandwidge makers appeared tonight in the early rounds of ‘Britains Got Talent’… a show I would normally not watch, especially as last year a dog won… I kid you not! That said… turn your volume up and be prepared to be blown away! The Johnson brothers singing ‘The Impossible Dream’ - Week 2 Auditions| Britain’s Got Talent 2013 - YouTube If these guys don’t win this year… I’m giving up on humanity!

1331

ahh they’re ok… I liked this one.

Susan Boyle - Britains Got Talent 2009 Episode 1 - Saturday 11th April | HD High Quality - YouTube

1332

hello the home of golf, long name lol, but visiting some threads here and wanted to say really like the video on you first post. really make me want to improve my trading and get to be a profesional trader. is that kind of like your goal too?

anyway had one more question… i notice this is “2nd floor”… what is on 1st floor??? lol

1333

Hog will be tucked up in bed getting his beauty sleep, so I’ll feild this one. The Traders Arms is a Pub (Bar). First floor is where the beer is, second floor… traders! :20:

1334

alright then, i’ll be seeing you guys on the first floor then!! lol :44: (this forum needs an icon for beer mug!)

1335

Ok, so the boys were good, but this is BGT we’re talking about here RC, and as you quite rightly pointed out, a dog won it last year.

Personally my money is going on the guy who appears in next week’s auditions, “Arl Zippitt” the Hungarian mute ventriloquist who appears with a punch drunk boxer puppet called “Mumbles”.

1336

Totally refuse to watch this TD. Absolute nutcase. That’s why her management team barely let her do any interviews nowadays. If she was not such a total rocket she would be worth a bazillion quid right now.

As it is they wheel her out of the mental ward every now and again, kind of like the way they did with Hannibal Lector, strapped to a trolley and gagged, (gagged is the important bit), let her sing, then strap her back in and wheel her away before she has a chance to talk.

Still, saw a newspaper piece on her recently saying she was worth a few million, but her brother, or sister, had control of it as Suzie couldn’t be trusted with it. She gets a weekly allowance off it.

Which is a shame I guess, but off her head nevertheless.

1337

Hello aquapip,

Trading for a living is a goal of mine, but not for the reason of gathering “vast wealth”. I’m not a money motivated person, never have been really, which probably explains why I have none LOL !!

If I can get to the point where trading gives me enough money to live decently and spend more time with my family, I’ll happily take that. I have a couple of other things going on right now, not money related just things my wife and I have spoke about for a long time, that trading for a living would also help me achieve.

Sorry for being so cryptic but “Yes”, to answer your question, trading for a living eventually is my goal.

If you get a chance aquapip, stick some of your charts and ideas on this thread and discuss them with some of the guys. Don’t worry about what you do or don’t know, there is no criticism on this thread, but there are 3or 4 guys on here that are more than willing to help with their opinions when asked a question.

As for the long name, just call me HoG. (That really should’ve been a “Bond, James Bond.” moment, but James HoG just don’t cut it the same way does it?)

1338

If I was to rely on sleep for my good looks RC I’d need to be cryogenically frozen for a century or two then need to take forty winks when I woke up.

No, I prefer to use a combination of Dodo spit mixed with berries taken from ONLY from the highest branch of the Bonzai tree and rubbed into my butt cheeks to keep me looking the way I do. And I’m constantly amazed by the results, on any given day, I always look like me.

1339

Anyway, peeing down with rainy here on the Scottish Riviera this morning and I need to go fix someone’s roof. Can’t wait !!!

So when I’m back and defrosted I’ll start to chuck the plans and starting points for the week on here. Bet y’all can’t wait now !!!

1340

alright HoG, i guess i could have shortned that myself, didnt think of it though. but yea i know what you mean about more time and having profesional trading as the starting line to other projects etc.

for sure i could post some charts here, well if i have time. i actually started my journal yesterday in the journal section of the forum. just learned howto get the chart posted, pretty excited about that. probably wouldnt be big deal to post twice, just copy and paste right? need all the help i can get no doubt lol

thanx, this seems like a good thread. quite friendly people (well all over forum actually)!

1341

There are a lot of good people here and all over the forum,sure you get the odd idiot but you get them in all walks of life.

This thread kind of goes quiet in the middle somewhat, a lot of that down to me and my inactivity trading wise, but in the last week or two we seem to be getting more trading focused again so I’m enjoying it again.

I use tinypics.com to upload my charts, any vids I have done have had to be uploaded through YouTube. May even do a vid later if time allows, but I may be struggling a little to be honest.

1342

yea HoG, lifes got lots of idiots hahaha but you just ignore it and get on with the important stuff. sometime life just gets too busy (and too fun :wink: ) and i know what you mean… traing not seem very important anymore. so what kinds techniques you use to get focus again? its one of my biggest weakness as new trader… :frowning:

to upload the chart, i just use “insert image” feature just on the post here, and upload from there. i think babypip just host it, it was easier than i thought. but i’ll chck tinypic.com too could be better. have a good week trading HoG!

1343

Let me just crack through this bit as quick as possible aquapip and then I’ll answer your question in the following post. I’m running a wee bit late tonight.

Here id the targets for this week. Underlined in blue is the starting balance for this week, underlined in red is the 3% gain target:

I think I posted a screenshot of my balance at the end of last week so no need to do it again.

So, as for analysis:

FXCM Daily dollar index chart. From this I’m looking for the dollar to break up through resistance this week.

Now the swissy daily

Large bullish engulfing followed by a couple of candles with long down wicks. Has me thinking since this pair tends to move opposite of the euro dollar and with the dollar index, again it’s a sign of dollar strength for the week ahead.

So, if I’ve decided that dollar strength is the order of the week, how to play it???

Can only add 4 images to a post so I’ll continue on the next post

1344

hey cool idea HoG to post your targets and results like that. is it excel program right?? perhaps i should try doing like that… get my goals in focus. really good idea, like it a lot

1345

First the EU:

I’m never really sure what those long wick candles are supposed to mean when they appear like this. Have the bulls tried to push price up but the bears have pushed it back down so the bears are in control? OR are the bulls in control because the bears tried to push it back down but price still closed above the candle open?/

I can never work that out, but the EU picture seems a bit muddled to me anyway, even the weekly gives me nothing to go on so I’ll be giving it a miss for now.

GU

I think the GU is for a sell this week. I like the last daily candle with the long wick above and closing bearish. Only thing is price is quite close to the up trend line so I’d maybe be looking for price to break through that and come back up to test the underside.

The Bobmaninc;

Weekly bobmaninc. Have to love the big down candle from last week. Sometimes I think though that after a big candle in one direction (you don’t know you’re beautiful oh oh…ahem…sorry) you can get a bounce candle for the next one. But I still think the bobmaninc is on the way down, playing the range from 1-0600 to 1-01110.

Daily Bobmaninc

I actually like the bobmaninc the best for going short as things stand right now. I think price may get back up to the daily pivot point around 1-0300, possibly even the R1 zone at 1-0330, before heading south again.

I’m actually going to leave a sell order in place over night at 1-03300, not that I think it will get there over night, but you never know. I’m going to place 2 lots with a 20 pip stop at 1-03500. This actually translates to slightly higher than my 2% (2.63%) and I’m putting my target at 1-02700.

1346

I actually do it like this now for very selfish reasons aquapip. In the past I have been guilty of trading quite recklessly, which has given me good gains, but inevitably a massive blow when the big big loser turns up.

Fortunately for me though, I have SimonTemplar, R Carter, Yunny and Bobmaninc who will tell me straight when I am getting reckless, so like I say, it helps keep me in check doing it this way. It also has the added bonus of getting a bit ofanalysis out there for discussion.

To answer your earlier question, about how I motivate myself now for trading, to be very honest with you aquapip, I’m trying my hardest NOT to motivate myself at all. My view on trading seems to have changed quite dramatically over the last few months. Motivation seemed to have me focusing on “the big picture”. What will I do when I’m a successful trader with all the money I’m sure to earn.

Trouble I found is that when you focus on something that is way off in the distance, you tend to fall over things that are right in front of you, you neglect the little details.

Like I said in a recent post, it’s like winning a golf tournament. You only win it if you play 72 consecutive holes well, you can’t win it standing on the tee of the first hole. If you play all the holes well, then winning the tournament is simply a by product of that process.

same with trading I reckon, do the little things well, do them as you should, don’t miss any out and don’t rush them. Do all of these little things well and the big thing will come along as a by product.

just about the same time as we started the second floor, SimonTemplar and I found a guy called Eric Thomas on youtube. he’s an American motivational speaker. But his message, for me anyway, ISN’T the sports, “let’s get out there and kill 'em.” sort of message. It’s about never giving up, it’s about just turning up, day after day and doing it.

Here is a video that we have posted here before:

[video=youtube_share;H5Cc5isg-nQ]http://youtu.be/H5Cc5isg-nQ[/video]

Listen to the story he tells from 4.23. You ARE going to lose trades, you ARE going to lose money on those trade. But that DOESN’T mean you can’t do this, that DOESN’T mean you are a failure at this, it just means on this occasion you were wrong, and you might be wrong the time after that too. But just show up baby !!! And keep showing up.

I once watched an interview with Mike Tyson, and the interviewer asked him, 2Mike, I heard you go out jogging at 4 in the morning, why do you go out jogging at that time of the morning?"

Mike Tyson told the guy, “I do that because I know my opponent AIN’T doing it.” He never as much as smiled, smirked or nothing, he just believed in it.

My problem is education aquapip, I’ve always struggled to keep the attention long enough to read what I should be reading, watch the videos I should be watching or listen when I’m supposed to listen, I just have a totally Sh*t attention span, always have.

But now I’m just trying my hardest to show up. I’m trying my hardest to read things. 2 pages into a book and I suddenly realize I’m thinking about something else, or I’m watching tv when I should be reading. So I’m just trying to do what I should be doing. It’s boring, it’s VERY boring, but it’s part of the little things, it’s one of the steps. And you don’t get to the final destination if you don’t take all the steps.

So show up, get your charts on here and talk about it. I’m just as happy putting my stuff on here and being wrong as I am when I’m right, because either way I learn something.

Sorry for rambling on, you’ll get used to it though.

HoG