Roni this z pattern isn’t a high quality one. How did it turned out? Notice the slope of the z
It is not in parallel.
Yeah, that was a poor quality set up Jasper, I broke even eventually.
Roni, that does not look like a valid pattern to me. Notice how the last candle closed well outside the channel.
Hector
Hector,
It is a slim line z pattern and does not include the ‘long green candle’ which you have pointed out… Please see my pattern again.
Many thanks
Yes, I see it now, sorry for the previous post.
I might have entered the trade if I had seen it earlier. Right now the price is too close to the SL.
Hector
It is too close to the SL indeed, I hope I dont get stopped out!
Roni, it does look like a good Z Pattern setup and it did result in a winning trade. But if you look at it a little closer, the risk is much larger than the potential reward, 47 pips vs. 25 pips. You need a very high success rate to make trades like that. I don’t feel comfortable making trades with R/R lower than 1:1.
What went wrong in this trade?!!
Kasravi, You need to write up a 1,2,3 execution criteria for us because my account is taking big hits. Theres too many contradicting methods of trading the Z pattern. I need Kasravi to shed light and in laymen terms lay it all out.
Mate, I appreciate your frustration, but the rules which Kasravi has laid out are clear and IMHO could not be simpler.
This is a totally mechanical strategy without ANY discretion required.
Wait for perfect Z patterns with good R and take the trade.
If you’re trading counter trend, just go for the standard target.
If you’re trading with the trend, shoot for the next VZ, but be sure to lock in some profits along the way.
I’ve been trading this for a while now on H1, H4, H6, H8 and H12.
Draw trendlines on the higher timeframes AFTER you get more comfortable with it. Then you can see breakouts and wait for a Z pattern in the direction of the breakout. Same goes for head & shoulders pattern. But maybe you should just master the patience & discipline required to pick out the PERFECT entries before you move on to this.
When I say PERFECT entries, I mean P-E-R-F-E-C-T!!!
If a Z pattern doesn’t form to the TENTH of the pip, it is invalidated.
If price breaks above the hi/lo it is invalidated.
If your account is taking big hits, go back to demo or reduce your lot size so that the losses are completely inconsequential.
Play the long game.
You won’t be a millionaire in 1 year or even 5.
But stick with it, go for perfect setups, maintain your discipline and patience, and you CAN get on the road to financial freedom.
2 trades a week is more than enough…
[sorry if this sounds like I’m preaching! I’m genuinely NOT! Just trying to help mate!!!]
another nice z pattern. on euraud h1
finger crossed :0
i traded this imperfect z pattern 
seems working out.
yes i find z pattern allows u to be patient and wait for perfect setup… i realise i have been trading lesser … than last time … as i wait patiently for perfect setup … (sometimes i do take imperfect one bbut keep the SL tight)
Update for aud usd h1
Tp-ED for aud usd while euraud h1 setup almost reaching classic tp point
trade update … euraud just missed classic tp by few pips … and it hit my profit lock … oh well … lol …
Many thanks for your message… What is your win ratio with this strategy may I ask?
Jasper, that was a good looking setup on EUR/AUD with good R/R. It may not reach TP so good thing you locked in your profit. It looks like you made about 50 pips profit?
The AUD/USD was not a valid Z pattern but you got away with good profit on that one as well.
Hector
Not for me. The profit potential is only about 18 pips (Short at 95.18, TP at 95.00). I’m not going to enter any trades with less than 30 pip profit potential. Also R/R is very poor if you have to put SL above the wick of the candle at 95.42.
Hector
I entered at 95.300, which is after the break of the confirmation candle when it shimmied back up again so R:R for me now is 2:1.
ROn