Bob Volman Price Action Scalping

[matty_dunn]

More charts from Bob

Thanks Bob and BLS

 

[jclaytonf]

More charts from Bob

This is truly appreciated, BLS. I appreciate the timely effort each week.

 

[smarteng99]

i really want to learn this method of trading
can any one tell me where to start?
thnx all

 

[virtuesoft]

i really want to learn this method of trading
can any one tell me where to start?
thnx all

Buy the book. It's called 'Forex Price Action Scalping'. The author is Bob Volman. Read it. Take notes. Read it again. Open a demo account and trade. Once you get a good feel for the system and are getting some decent results start trading live, and gradually increase your size as your results and confidence improve.

 

[Yorkshire Terrier]

More charts from Bob

Thanks Bls & Bob

 

[Giorrgi]

I finally finished exams and got back to (paper) trading.

Here are some charts. I'd be thankful for any comments I can get.

 

[ptsnu]

Hey Giorrgi, I wanted to comment right above ur pictures but when I download them, they lose quality hence entries cannot be recognize, so I will comment here.
Pic 1. Ns spotted IRB, I am going have to change the wide of the border line of my bars, cause from my chart, that very same IRB looked much less spotable. Notice how close the bottom is to the 00 number, reminds me of Bob's chart 12.2, is ns when the bottom of the IRB is right close to the round # so price can advance to the next level with not much obstacles.That kind of barrier of dojis sometimes causes trouble but good side is that when its that once is broken PA usually seems to go straight to TP. About the pressure, its tru, I cannot say that b4 the IRB it was more inclined to bears nor bulls, I dont recognize any pattern inside the range, maybe someone else sees one?
With a ns IRB setup, right on the middle of the range and close to a round # on the bottom a trade seems proper.
Pic 2. I dont like the look of the bottom of the setup, I would prefer 2 bigger bars at the beggining of the IRB, then like in this picture 4 smaller dojis slowly crawling below the ema with a better squeeze than the one here. Probably the reason we dont see a good squeeze pre-breakout here is because there is no bar touching the bottom at the begining of the setup. Also, if u draw the border of the top range 1 pip or 2 below, to border the top of several bars from the left, u will notice that the top of the IRB, (precisely the bars I dont like inside the setup) would represent a tease or a falls break for the bulls, and as we know usually a tease break is followed by another try to test the top, isntead of going straight back to the bottom. (offcourse everything is easier to notice from hindsight, and specially easier when we talk about IRBs)
Pic 3 I c a W-pattern at the 1st half of the range, which favors bulls, but the fact that bears fought back and didnt let the bulls take control of north by testing the earlier top, and then produced a lower high (the top of IRB represents the lower top) I think gives more pressure to bears. The setup looks ok, noting pretty but still looks valid to me. I dont like the postion of 50 down there tho, I would prefer it closer to the bottom of the setup, maybe someone can input knowledge about this?
Pic 4. I took that RB myself. What do u mean it broke too fast on ur screen? I seemed normal on mine, volatility above average yes, but not an extreme.

 

[Giorrgi]

Hey ptsnu,

Thanks a lot for your input. I especially appreciate your comments about picture 2 (the failed IRB). I haven't looked at it from your perspective, great insight !

I have a question about tease breaks ! I know that false breaks are usually a sign that the prices will tend to go in the direction contrary to the direction of the false break. That is very clear. Tease breaks on the other hand are almost never analyzed like this by Volman. Usually a tease break happens, then we wait a little for a proper build up and trade it in the same direction. Therefore a tease break isn't a sign that prices will go in the other direction. However, there is one chart that I reread lately in the book where Volman says that a tease break was evidence of prices moving in the other direction (12.9, last chart in the IRB chapter). This disturbs me. If anyone could clear up the role of the tease break as a technical analysis tool that would be great.

The RB in picture 4 broke in about 1 second on my screen. Probably because my connection was lagging and loaded it all at the same time.

 

[ptsnu]

Yes, excactly, the fact that bulls on an upside RB breakout conquered the ema and went out straight creates the tease break, but at least thet stablished a minibase at the ema, which makes it difficult for the prices to go back to the bottom of the range, or at least scares some bears at the top on the tease break to try to short with all they got. My analysis is based on Bobs deep explanations, but u are right, maybe he didnt make this conlclusion on a situation like this but he did talk about tease breaks being less harmful for they sometimes tend to invite some fools to follow the first fools who created the tease break in the 1st place. And we have the smart scalper like us, who see the fools tease break like an opportunity to get on the good spot, while at the same time helping them.
The action of smart scalpers is what can put IRBs like pic2 in trouble.

Let me check the 12.9, what a coincidence, I was about to study 12.8 and 12.9

Hey ptsnu,

Thanks a lot for your input. I especially appreciate your comments about picture 2 (the failed IRB). I haven't looked at it from your perspective, great insight !

I have a question about tease breaks ! I know that false breaks are usually a sign that the prices will tend to go in the direction contrary to the direction of the false break. That is very clear. Tease breaks on the other hand are almost never analyzed like this by Volman. Usually a tease break happens, then we wait a little for a proper build up and trade it in the same direction. Therefore a tease break isn't a sign that prices will go in the other direction. However, there is one chart that I reread lately in the book where Volman says that a tease break was evidence of prices moving in the other direction (12.9, last chart in the IRB chapter). This disturbs me. If anyone could clear up the role of the tease break as a technical analysis tool that would be great.

The RB in picture 4 broke in about 1 second on my screen. Probably because my connection was lagging and loaded it all at the same time.

 

[ptsnu]

I checked 12.9, he confirmed what I tho. After the T, prices had trouble going to the top of the range, reason for this is the fools that took the T break trade were backedup by other bears, and the smart scalpers were on the sidelines waiting for the proper spot to trade, that spot never came. And remember, when the obvious (break to the south after proper RB after T) doesnt arrive, then that means is time for the odd to happen, (the odd in this case is the going to the top, with IRB to exploit that oddity).
Talking about sinxtaxis, I beleive the 2nd time he mentioned (T) he wanted to write tease break but he typed false break.

Hey ptsnu,

However, there is one chart that I reread lately in the book where Volman says that a tease break was evidence of prices moving in the other direction (12.9, last chart in the IRB chapter). This disturbs me. If anyone could clear up the role of the tease break as a technical analysis tool that would be great.

 

[ptsnu]

Good morning guys,
setups I have seen so far today. I would appreaciate any input.
Cheers,

 

[ptsnu]

Bull power this morning or what? I feel like a torero

 

[virtuesoft]

Good morning guys,
setups I have seen so far today. I would appreaciate any input.
Cheers,

I took the trade that you labelled as a SB. However, I traded it as an ARB. I went long when the price pulled back and formed those dojis at the previous breakout level.

The price moved up and got to within half a pip of my target. It then headed down and I exited when the 20 EMA broke for a profit of just 1.5 pips. The exact same thing happened to my trade from yesterday. It's frustrating to see the price get so close to the target and then have to close it around break even.

 

[virtuesoft]

I had more luck with my other trade from this morning. It was a DD setup in EURJPY. This one had no problems reaching the target.

 

[ptsnu]

I took the trade that you labelled as a SB. However, I traded it as an ARB. I went long when the price pulled back and formed those dojis at the previous breakout level.

The price moved up and got to within half a pip of my target. It then headed down and I exited when the 20 EMA broke for a profit of just 1.5 pips. The exact same thing happened to my trade from yesterday. It's frustrating to see the price get so close to the target and then have to close it around break even.

Interesting ARB.
I agree with u, I had enough of targets going til 9.8 pips profit to then reavearse and having to scratch.
What is ur TP, 10, 10.5 or 11?

 

[ptsnu]

I had more luck with my other trade from this morning. It was a DD setup in EURJPY. This one had no problems reaching the target.

Cool setup, did u consider the minicluster at the left of DD that followed the diagonal pullback? got to love pullbacks with that percentage of retracement.
How many pips are u paying in total comision plus spread for EJ?

 

[ptsnu]

Took an IRB,
I had to change the colour of the bull bars, missed an entry to RB earlier because lil white doji wasnt clear, very annoying.
Prorealtime needs an option to save pics with better quality, faster than taking screenshots and cropping.

 

[virtuesoft]

Interesting ARB.
I agree with u, I had enough of targets going til 9.8 pips profit to then reavearse and having to scratch.
What is ur TP, 10, 10.5 or 11?

My TP is 10.

Cool setup, did u consider the minicluster at the left of DD that followed the diagonal pullback? got to love pullbacks with that percentage of retracement.
How many pips are u paying in total comision plus spread for EJ?

I didn't mind that prior high because the price seemed to bounce right off it. It was also some way back and the trend looked very strong.

The spread on EURJPY is typically between 0.7 and 1.1 pips. I also pay $15 USD per million so I'm effectively paying an extra 0.3 pips per round turn. It's quite a bit more expensive than EURUSD but it does move well. It has strong moves and quite often exceeds my target by more than a few pips. I'm starting to think that I should use a 12 pip target for EURJPY.

 

[ptsnu]

My TP is 10.



I didn't mind that prior high because the price seemed to bounce right off it. It was also some way back and the trend looked very strong.

Makes a lot of sense, and it could even be of aid because the break of DD seems to align aswell with the low of that minicluster, so a break of DD is breaking 2 minilevels at once.

 

[ptsnu]

My TP is 10.




The spread on EURJPY is typically between 0.7 and 1.1 pips. I also pay $15 USD per million so I'm effectively paying an extra 0.3 pips per round turn. It's quite a bit more expensive than EURUSD but it does move well. It has strong moves and quite often exceeds my target by more than a few pips. I'm starting to think that I should use a 12 pip target for EURJPY.

Very interesting. Seems similar than the situation with GBPUSD where u pay a bit more but it also moves a bit more.
I have heard many traders watching EJ lately. Il take a look at it just for curiosity when EurUs is dead, like 2 weeks ago, wish every day was like today.