I’m very new into trading and I learned a lot with this thread until now, but I’m having issues finding the setups and entry signals using this knowledge.
It appears to me that the market can go onto those fases (accumulation, distribuition, mark up, mark down…), but, for example, not necessarily price heads higher in a accumulation fase, right? I mean, the MarketMaker wants to buy from the sell orders of the rest of traders, at accumulation, if I understood correctly.
So, I guess you could summarize this analysis by saying that the MarketMaker will always buy at a low price and sell at a high price, he always has the edge of the market?
To use an example, could you please give out a detailed analysis of the last week posted below, saying At what day at time did a phase start? (For example: accumulation started here and ended there, distribuition happened here and so on).
Also, you mentioned you needed to post new charts. I don’t know if you knew this but you can easily take screens from your charts, going on metatrader, right clicking your chart and clicking “Save as picture…”
The biggest question I have is: why does the market maker need to convince enough people to go long for the mark up? Isn’t he buying all the short orders and accumulation and then he makes the mark up, trapping all the shorts? I thought he tried to convince enough people to short not go long…
He must continue the buying climax from the previous accumulation and push the buying pressure higher in order to markup the price. The accompliss carrys the sells and continues the selling of the prices for him to cover the short positions. The reason this works is because the accompliss has much higher buying and selling power than the public, when the public buying it leaves enough money on the table for a markdown into distribution.
Last week the market maker started his accumulation on a Friday then into Sunday and push a 90 pip distribution phase into the market at various prices. The market maker always buys low then sells high, yes. The way the market maker makes money from the investing public off the markup is the commission he gets off of the spread. You should be able to make money at atleast 95% of the time using the information i’ve layed down.
On to range, you must calculate the pivot points underneath the low of the high volume downbar after the Monday downtrend in order to know how far the price will go heading into your stops. Placing a 50 pip stoploss protects you from being hit incase your wrong which is why you should always trade and scalp in mini lots, but going back into range. Once you have the pivot underneath the low downbar you go long and continue scalping five tick price changes into thursday then you cover/sell.
I hope this answers some of your questions and really helps you to make consistant money.
I’ve accidentally came across your thread and found very informative. Sorry, but I have doubt that is your system truly a holy grail? Is this a practical way of trading?
For me, your analysis is the root cause behind any market move but I doubt we can beat the Market with that knowledge. Because its at the hands of their discretion which Price Levels they think suitable for turn around. Because Money is the power and they have a lot of that at their discretion. Market Makers are like Big Car Companies. To launch a new car they have to put lots of theories, market demand analysis, advertisement and most importantly an Affordable Price. We as a customer would be happy to buy one that suits our personality and capital. We don’t think of the theories while driving the car. Yes knowing the theories is good. Even illiterates can become good drivers.
Yes, your knowledge is of immense help to see through the charts what the big players are doing. knowing the cause behind any move one would not be surprised. Your knowledge is quite helpful for what to expect but not anticipate. I relate “expect” with “risk” and “anticipate” with “future”.
For me to trade successfully the most important thing is - Discipline- Positive Expectancy-…But one cannot attain these traits without going through the required knowledge of TA, FA, VSA, the Market Dynamics… and years of pain taking losses. I think the most successful Traders comes one simple trading approach and they trade happily and successfully with that.
I am trying to work through your idea, could you expound upon each phase of the market makers cycle?
Maybe dissect a sell campaign cycle and walk through each phase of the cycle, how to identify the phase and your strategies for pulling your profits during that stage. You could do a post for a buy campaign cycle afterwards? I find your theory interesting and I would like to explore it to a greater extent. Any furthering of the discussion would be appreciated. Do not be put off by others trying to debunk your methods, the idea of an open forum is simply pushing forward to a greater understanding as a collective, but we are only human, and sometimes we don’t understand, and what we don’t understand can be scary…
I would PM you, but am unable at this time. Thanks for sharing what you have so far, gets the cogs of the mind turning.
So accumulation is basically on the time spread from friday to tuesday, focusing on monday and tuesday. Then the mark up is on Wednesday to Thursday, focusing more on Thursday, and after the mark up (when the herd is long), the market maker will sell into distribuition and the acompliss will fill those sell orders with buy orders (so the MMaker switched roles with the acompliss: he was buying, she was selling, now opposite). Have I understood correctly?
Does this always work tho? We know the E has been on a bullish trend for many months now, and in a bearish market, how does this work? (or, I could ask, how does this work on the USD/CHF or USD/CAD?)
I think we ALL would ask of you to post more chart examples, like 10 of them haha, just so we can sink the idea. Thank you once again
Last
P.S: Anybody is entitled to their opinion, yes, and we should even welcome any criticism. If your idea is really good, even bad criticism can’t hurt it, because you’ll have arguments against theirs. Different opinions just make your idea stronger if it was strong in the first place.
It’s very easy to talk after all has happened. Of course there is accumulation… marks and distribution, but you will never know what the market makers are accumulating… distributing and holding.
If you really think this is helpful… guide us on a few weeks before stuff happens… so this means on monday tell us what the market is doing and what are you waiting for… and when you buy or sell let us know with a quick post… give us some good trades… and then we can consider this information usefull…
With all respect… so far this post is nothing new… sorry… there is nothing better than high probability entries with good risk reward ratio. So just wait for the price to reach a hot spot and bet for long or short., coz you dont know what the market is holding… if youre right… you will fall in the correct side of distribution… If wrong… you loose little money. With good risk reward you will be ok if you make 1 out of 3 trades. Dont trade if you are late… dont trade if the risk is higher than the potential profit. Stick to the basic guys… there is no holy grail… if you find one… market will destroy it after two days… your broker has your history… The more you risk… the more you depend on luck… this means get rich or die trying…
I prefer to put statistics on my side… slow steady money… dont blow your account… survive… be patient…
Sometimes accumulation happens on Sundays going into wensday, the reason you can tell that it went into accumulation on friday is because of the upbar formation after the distribution phase on the prior friday. Yes, i agree that criticism is bound to happen, but if some traders are not convinced about the method then they should review the thread and paper trader the method using all the principals that i’ve layed down and they will see that the trades speak for themselves.
About the other cross pairs, i’m not all too firmiliar with them. I mainly specialize on the euro. About the trends of the market, accumulation is hidden in both up and down bars weather the market is bullish or bearish it will always play out the same way, the market makers have to keep up a schedule and liquidate their orders in a certain amount of time in a certain period. The setups that i’ve layed down gives you setup for the markup phase and to scalp alittle bit of the accumulation phase. There’s much more to the method than just what i’ve posted thus far, i am debating weither i should continue to release this knowledge, seeing as so few people would listen and others remain so very ignorant.
Anyways, i digress.
You have understood much of what i’ve layed down thus far and should do just fine in the market, but there are two things you have to watch out for. Overleveraging when scalping and watch out for big range when going long. Sometimes the market makers can fake you out with big range going short but is wanting to continue the downtrend. There’s a reason for this which i might mention abit later depending on how people continue to use the current knowledge i’ve layed down.
There is also a way you can “break” the spread. What do i mean by this?
There’s a way to turn a losing trade into a winning one even when the price doesn’t move, yes this happens all of the time and noone even realizes it. Even veteran traders fail to see this loophole in the markets these days. The principals i lay down arenot new and are known by a select few on wallstreet and various traders around the world from the old days back in the late 90’s. Not much has changed except for the fact that wallstreet is going much richer and the ignorant crowd is getting much larger, hence more losing traders and more money being endlessly pumped into wallstreet’s pockets. Only the prudent survive this game of trading and the rest continuously lose money even as i speak nomatter how much truth you give them.
They will still continue to foolishly lose all of their money even when the truth is revealed to them they will still continue stubbornly to use systems and techniques that lose them money. It’s human nature i guess, greed is all i can say, but there’s tons more to this method than what i’ve layed down so far.
I’m simply waiting on results. aka. winning traders to appear to the table.
I will be post more charts soon.
Thanks once again for your comments and questions.
The market maker has to liquidate a certain amount of inventory before a certain time period in that trading session or he will be caught up in his books. When accumulating short orders he will be opening up a new list of inventory before releasing it to the investing public. Then has to markup up how much he’s going to sell then give it back to the public in 90 pip chunks of distribution. It’ just that simple.
The market makers also have various chart formation patterns in which they use to hide their buying and selling. Remember what i have taught, draw the dividing lines on monday and friday to seperate the sessions from the upcoming week then draw pivots at the low of extremely high volume down bars to test the range of the downward momentum then calculate the analyst prediction then go long before the markup period occurs and you will be in profit, it’s that simple.
Notice on this week’s chart judging from the 30 minute and 15 minute that there is a roundish formation over the chart, like a circle. Just as i have said, zigzaging (accumulation) then into a round circle like pattern (markup - markdown - distribution) All patterns play out exactly the same way constantly, weather you’re a TA trader, VSA, FA or behind the chart trader, the market maker has to hide his buying and selling and if you can identify when he’s accumulating and what he is accumulating then you can get with him and make money.
For those of you who enter this thread and are sad to find no real info, I would check out petefader he posts on here as well as FF. His methodology is based on VSA, wyckoff, and williams. The originator of this thread is referring to the basic tenants of this trading theology.
A quick google search ( I cannot posts links for you) of Master the markets, which is currently published under tradeguider systems can be found on .pdf for free. Ignore the tradeguider fluff and focus on the key concepts and it is an invaluable resource.
Another search for Richard Wyckoff will produce some more free .pdf results for his course. Keep in mind much of his content was originated in the 1930’s, and as some of the information is no longer valid, the key concepts can still be found invaluable.
I would start with a solid understanding of these resources before you move on to petefader. He has a wealth of knowledge, but unfortunately for newbies he can sling a lot of unfamiliar verbiage. Running through the first two resources will help with your comprehension of fader’s methods.
Since Von seems to be away from his computer, I will try to work through wyckoff and williams content and build a basic set of rules based on their methods. Give me a few hours to produce this.
Even though I will generate a quick reference sheet, a solid understanding of the concepts should be formed before trying to trade this method, or disappointment will be yours… (that is the voice of experience).
Okay, after thinking about this in greater detail (and attempting to put my interpretation to paper) I believe another .pdf or cheat sheet will only confuse more than help. It took me a lot of time to truly understand these concepts and be able to apply them with success. I think a “cheat sheet” will only cheat the ones who are trying to get the quick result.
I sat down at another project and a new idea to convey all these ideas in a single product hit me. I’m going to work on it this evening, give me a little time and I think everyone following this will be stoked.
[QUOTE=“Nill;580359”]Okay, after thinking about this in greater detail (and attempting to put my interpretation to paper) I believe another .pdf or cheat sheet will only confuse more than help. It took me a lot of time to truly understand these concepts and be able to apply them with success. I think a “cheat sheet” will only cheat the ones who are trying to get the quick result. What do you think about a youtube channel with a breakdown of the basics? I am not a big techno geek, but I am sure I could slap something together…[/QUOTE]
Go ahead Nilll. Do the YouTube channel. I am following Petefader YouTube channel as well, but another point of view of the concepts wouldn’t hurt.
[QUOTE=“Nill;580399”]I’ve been working a bit. I’m just using my white board to get an idea. Finished product will be a PDF capture you’ll be able to read…[/QUOTE]
