Comprehensive Trading System/Methodology

[bbmac]

Wow I was looking through the live charts and you make it seem so easy.

There are so many lines, fib tunnels, Sliver channels, BOls, that I am getting confused ... wondering if I can ever understand the system lolz

I have had a lot of experience trading it....but it might not be for you,...if you dont use the set-ups think about the methodology and it's components, ie identifying potential support/resistance, overall price action tio identify trend and individual price action to identify entry. Oscillator divergence when bands/channels are deviated/extremely deviated from average suggests momentum is failing when price is deviated from it's averages. Oscillator extremes suggest historically extreme o/b or o/s conditions as price is extremely deviated from it's averages.

Think of the set-ups as mere patterns.....Look to identify a pattern at pot supp/res/sbr/rbs that you have aslready pre-identified,....that is the key...learn the patterns, it will take time, start with one at a time if it helps.

Don't put fibs or anything else on the same charts as the set-ups, look at them on a diff chart and make a note of any of the pot supp/res/sbr/rbs factors like fibs that fall in a previous swing hi/lo zone...don't clutter the charts up.

G/L

 

[bbmac]

I was reading through your system again and found something i do not understand about the divergences of the OSMA.

Whenever there is a hidden divergence, there seems to also be a regular divergence forming, so which signal should I take?

Let me show it in this picture. Maybe I got something wrong.

Only 1 divergene can form at a time even if another forms higher or lower up/down a chart after the one you have acted upon.

Regular bearish divergence....indicates weakening momentum in an uptrend/range
Regular bullish divergence....indicates weakening momentum in a downtrend/range

 

[babymush]

Only 1 divergene can form at a time even if another forms higher or lower up/down a chart after the one you have acted upon.

Regular bearish divergence....indicates weakening momentum in an uptrend/range
Regular bullish divergence....indicates weakening momentum in a downtrend/range

Sorry could you kindly clarify with me on Picture 1e.

Should it not have been a Bullish Regular Divergence as shown in the picture?

 

[bbmac]

Sorry could you kindly clarify with me on Picture 1e.

Should it not have been a Bullish Regular Divergence as shown in the picture?

the screenshot does coincidentally have bullish reg div at the bottom for a potential reversal agaisnt the prevailing trend on that chart but the div highlighted is the hidden div in a re-entry type 2 set-up. You use re-entry set-ups with the hidden divergence only to re-enter a trend that exists on at least the next t/f up (per classic peak/valley price action analysis if trend) and you do so at a pre-identified potential sbr/rbs area

G/L

 

[babymush]

Only 1 divergene can form at a time even if another forms higher or lower up/down a chart after the one you have acted upon.

Regular bearish divergence....indicates weakening momentum in an uptrend/range
Regular bullish divergence....indicates weakening momentum in a downtrend/range

Which is why I was wondering as the

Price: Lower Low
Indicator: Higher Low

Happened first which shows a bullish trend before the hidden divergence occurs.

 

[bbmac]

Which is why I was wondering as the

Price: Lower Low
Indicator: Higher Low

Happened first which shows a bullish trend before the hidden divergence occurs.

It is a pullback in trend indicated by regular divergence, it would only be the start of a new uptrend if price started making HH and HL, as it was price made a LH conducive with a Re-entry into a downtrend.

It's all in the manual mate, read, read and read again..is my best advice

G/L

 

[bbmac]

These are the set-ups tgoday, per this trading system/methodology to time of writing...times shown are gmt+1 (key: pot = potential, sw = swing, seq = sequential.

Trigger = 1min, intermediate = 5min, trend = 30min

0905am Rev Extr, no 5min main chart set-up confirm, 1/5min small charts confirm with 5min fib channel breech (ascending) @ pot supp = not identified...saw +30+
1004am Rev C, no 5min main chart set-up confirm, 1/5min small charts confirm @ pot res = prev 1hr sw lo zone...saw =20+
1022am Re-ent 2 (imperfect re osma seq div) [into 5/weak 30min uptrend, 5/30min macd hists above axis) @ pot rbs = prev 5min sw hi area x 2 tests...saw +30+
1041am Rev C, no 5min main chart set-up confirm, 1/5min small charts confirm @ pot res = prev 1hr sw lo zone....saw +20
1105am Rev Aii, 5min Rev A, 1/5min small charts confirm @ pot res = light offers 5820/25, prev 1hr sw lo zone...saw +20
1118am Re-ent 2 (into 5/30min uptrend, 5/30macd hists above axis) @ pot rbs = not identified....saw +30+
1257pm Rev Extr, no supporting 5min main chart set-up, 1/5min small charts confirm @ pot rbs/supp = prev 1hr sw hi/lo zone,...saw +30+
** 1430pm U.s data, NFP etc...**
1444pm Rev Extr (whole reev candle closes outside 20bol), 5min rev A seq, 1/5min small charts confirm @ pot res = not identified...saw +15
1455pm Rev B, 5min Rev A seq, ...2nd test of 1444pm resistance saw +30+
** 1500pm U.s data Wholesale Inv **
1503pm Re-ent 2 (into 5/30min uptrend.5/30min macd hists above axis @ pot rbs/supp = prev5min congestion area....saw +10+ at time of writing.

NB: the 1455pm set-up didn't quite reach an equal or HH to that established at the 1444pm set-up H per the rules for establishing oscillator divergence but I took the slightly lower hi (within 1-2pips) as a further sign of resistance

G/L

 

[iDEFY]

Hi BBmac,

I've just downloaded your system and will review it thoroughly. On a quick scan of the introductions, it seems you describe what I've been trying to do in my trading as well. Although I'm relatively green to FX, I'll be more than happy to give you feedback from a "newbie" perspective. There's alot to cover, but I shall do my best over the coming days/weeks.

Best regards,

Vlad

 

[bbmac]

Hi BBmac,

I've just downloaded your system and will review it thoroughly. On a quick scan of the introductions, it seems you describe what I've been trying to do in my trading as well. Although I'm relatively green to FX, I'll be more than happy to give you feedback from a "newbie" perspective. There's alot to cover, but I shall do my best over the coming days/weeks.

Best regards,

Vlad

Hi,...will look forward to it, G/L

 

[bbmac]

Set-ups using 1min as trigger time frame for mon 10/11/08:
0940am Rev Extr (shows as a Rev A seq on mig...missing data earlier,) no 5min main chart confirm, 1/5min small charts confirm @ pot res = prev 1hr sw lo zone,...saw +30+
0944am Re-ent 4 (into 5min uptrend, 5min macd hist above axis, 30min maced hist pointing up) @ pot rbs = prev 5min sw hi zone...saw +30+
** 1030am Uk data, PPI..**
1033am Re-ent 1 [into 5min uptrend, 5min macd hist above axis, 30min pointing up] @ pot rbs = prev 5min sw hi zone x 2 tests...saw +20+
1042am Rev A ii seq....5min Rev B, 1/5min small charts confirm @ pot res = prev 1hr sw lo zone, offers 5800 (mni and thomp/reuters),...saw +30+
1114am Re-ent 4...rejected..a. there was no 5min downtrend to re-enter at that time, even though 5min macd hist was below axis.
b. no obvious potential sbr...saw b/e at best.
1149am Rev Extr ii, no supporting 5min main chart set-up, 1/5min small charts confirm @ pot res = prev 1hr sw lo zone,...saw +10+
1159am Re-ent 4 (into 5min uptrend, 5min macd hist above axis, 30min pointing up) @ pot rbs = prev 5min sw hi zone....saw +30+
1243am Rev A seq, 5min Rev B supporting set-up, 1/5min small charts confirm @ pot res = prev 1hr sw lo zone, 1hr desc res t/line (1st test) Dly R1...has seen +30+ at time of writing
1334pm Rev Aii seq, 5min Re-ent 2 (coming @ a L but @ a Hl on trend t/f) @ pot rbs/supp = bids now 9mni) 5670 region...saw +20+
1450pm Rev Extr ii, no 5min main chart supporting set-upo, 1/5min small charts confirm @ pot res = prev 1hr sw lo zone, 1hr desc res t/line -2nd test...saw +30+
1511pm Rev Extr, no 5min main chart supporting set-up, 1/5min small charts confirm pot supp = prev 1hr sw lo zone...saw +20+
1527pm Re-ent 1 (into 5min downtrend, 5/30macd hists below axis) @ pot sbr = 38.2% of i/day move down...saw +30+

G/L

 

[bbmac]

U.s veteran's Day Bank Hol today, so finishing early...set-ups in in the early london/European session were:

Times shown = gmt+1
0806am Rev Extr, no 5min main chart supporting set-up, 1/5min small charts confirm @ pot supp = not identified,...saw +20+
0824am Re-ent 1 (into 5/30min downtrend, 5/30min macd hsists below axis) @ pot sbr = prev 5min sw lo zone...saw +30+
0859am Rev Extr...5min developing Rev Extr, 1/5min small charts confirm with 5min breech of fib chanels (desc) @ pot supp = prev 1hr sw lo, Dly FSZ1...saw +30+
1021am Rev C, no 5min main chart supporting set-up, 1/5min small charts confirm @ pot supp = y/days lo...saw +20+
** 1030am Uk data DCLG Hse POrices and Trade Bal **
1036am Rev C, 5min Re-ent 1 (into 30min+ downtrend, 30min+ macd hist below axis...caution 5min set-up comes after a HL!)..@ pot sbr/res = 23.6% 5833-5564, prev 1hr minor sw lo zone...saw +30+
1136am Rev Extr (imperfect re no breech of min 61.8 supp channel) 5min Rev aii, 1/5min small charts confirm, 5min fib channel breech (desc) @ pot supp = bids 5550/35...saw +20.
1154am Rev Extr (Rev A in osma and cci) 5min Rev Extr, 30min Rev Aii seq, 1/5/15min small charts confirm with 5min fib channel breech (desc) @ pot supp= 5500 bids area, Dly FSZ2.....saw +20+ at time of writing.

G/L

 

[bbmac]

A day of selling £ aided by Boe Qtrly inflation report and Boe gvnr king comments at press conference...see-ing the yearly low made in October breeched to the downside 5199 being the intraday and new yrly low as I write this.

The screenshot is the Mthly time frame ascending support trend line coing through at these levels.

Set-ups so far today re Trading System/Methodology here;

Times = gmt+1
0838am Rev B, 5min Rev A, 30min Re-ent 2, 1/5min small charts confirm ' pot sbr/res = dly pivot, 23.6% 5883-5344, 38.2% 5701-5344...saw +30+
1005am Rev Extr, 5min developing Rev Extr, 1/5min small charts confirm with 5min fib channel breech (desc) @ pot supp = prev 4hr sw lo zone, bids (thomp/reut)....saw+30+
1027am Re-ent 2 (into 5/30min+ downtrend, 5/30min+ macd hists below axis) @ pot sbr = not identified on 5min intermediate chart, but 1hr prev sw lo zone?...saw +10+
** 1030am Uk data Employment stuff **
** 1130am Uk data Boe Qtrly Inflation report **
1137am Rev Extr, 5min Rev C, 1/5/15min small charts confirm with 5min fib channel breech (desc) @ pot supp = yrly lo's (prev 4hr/dly swing lo zone,) bids, ...saw +30+
1142am Re-ent 3 (into 5/30min + downtrend, 5/30min+ macd hists below axis) @ pot sbr = not identified...saw +30+
1204pm Rev C..no idebtifiable potential support...rejected.
1217pm 1min Rev B, 5min Rev extr, 30min Rev Aii seq, 1/5/15min small charts confirm with 5min fib channel breech (desc) @ pot supp =...there is a Mthly chart ascending suppp t/line in the vicinity /round no?

G/L

 

[bbmac]

Set-ups for th13/11/08 to 1320pm;
Notice how all time frames to the 1hr chart had supporting set-ups at the 0843am set-up, indicating a good target might be possible, as played out with a 186pip move total as I write this.

Times = gmt+1
0843am Rev B, 5min Rev Extr, 15min Rev Aii seq, 30min Rev C, 1hr Rev B, 1/5/15min small charts confirm with 5min fib channel breech-ascending! @ pot supp = Dly FSZ1, round no support? (minor prev sw hi zone on mthly from oct 2001)...saw +30+
0852am Re-ent 1 (into 5/30downtrend, 5/30macd hists below axis) @ pot sbr = not ident ...saw +20+
0937am Rev Aii, 5min Re-ent 4 (into 5/30min downtrend , 30min macd hists below axis) @ pot sbr = prev 1hr sw lo zone,..saw +20
0940am Re-ent 1 (into 5min uptrend only, 5min macd hist above axis) @ pot rbs = prev 5min sw hi zone...saw +30+
1119am Rev Aii seq, 5min Re-ent 4, 1min small charts confirm @ pot rbs = around 50% of move up from i/day lo...saw +20+
1228pm Rev Extr ii , no 5min main chart supportiung set-up, 1/5min small charts confirm @ pot res = asian hi, prev 1hr minor sw hi zone,..saw +30+ (effectivelty a 1min reversal in a 5min range / consolidation)

G/L

 

[bbmac]

For anyone who has downloaded the documents explaining this Trading System/Methodology on post 1 of this thread, there follows a re-written version that outlines theTrading system/Methodology but that is less wordy and hopefully easier to follow.

It is in 3 parts.

G/L

 

[Dentalfloss]

cable
there was no reason to go long in the last few days.price never broke the 45 degree down trend line.just by trading short,from the pullbacks to gain good entrieshttp://www.trade2win.com/boards/attachments/forex-strategies-systems/43218d1226605886-comprehensive-trading-system-methodology-spot-fx-gbp_usd-.png

 

[Dentalfloss]

here is a chart .hourly data points
each box size is 35 pips..3 box reversal.ie 105 pips needed to reverse columns.just putting this chart up so you can identify where bbmac entered and exited.
p/f shows it.well.the trend has been down since sept 25.with only 2 real major bounces.so shorts were the orders to be traded

 

[bbmac]

cable
there was no reason to go long in the last few days.price never broke the 45 degree down trend line.just by trading short,from the pullbacks to gain good

Hi, thanks for the charts/comments. Certainly we have been in fairly un-mapped territory in respect of potential support in gbpusd...so reversals can be difficult,..that said for the more experienced, not so much. generally though, Reversal set-ups can be as important as Re-entries (to trend) set-ups, the latter only valid obviously, when there is a trend.

By the way I got an email today from someone who has obviously been following this thread and their response to the information and techniques contained here was to inform me of the amusing acronym for Trigger, Intermediate, Trend. Lol!

 

[bbmac]

Rangy early London/European session so far in general re gbpusd as it consolidates off the asian session highs t 4930area ,as I write this.

Set-ups per trading system/methodology, as under (times = gmt+1)

0902am Rev Aii, no 5min main chart supporting set-up, 1min small chart confirm @ pot supp = prev v.minor 1hr sw lo zone, dly pivot...saw +15+
0934am Rev Extr, no 5min main chart supporting set-up, 1/5min small chart confirm @ pot res = prev 1hr sw hi/lo zone, prev 5min sw hi zone...saw =30+
0946am Re-ent 4 (into 5min uptrend, 5min macd hist above axis) @ pot rbs = prev 5min sw hi zone...saw +20
1135am Rev Extr, no 5min main chart supporting set-up, 1min small chart confirms @ pot sbr = prev 5min sw lo zone,...saw +30+

The screenshots attached are the potential 5min rbs/sbr zones respectively, for the 0946am and 1135am set-ups respectively.

Btw: 'Perfect storm' at yesterday's 4560 area lows in gbpusd with clear supporting set-ups extending to 1hr chart, ie 1min trigger Rev Extr, 5min Rev C, 15min Rev Extr, 30min Rev Aii seq, 1hr Rev C.

G/L

 

[Dentalfloss]

cable
i thought i would put this chart on as it explains why friday was a tight range for cable
we had a big move down on nov 10.followed by some recoil.this now happens to be temporarily bullish.it will need confirmation if there is a break above the last highest x.so approx the 1.5020 region.the chart is hourly data.box size is 60 pips.3 box reversal.ie 180 pips needed to reverse columns.notice how the latest down moves reverse at higher levels.this is making the chart a bit more bullish.ie the latest down columns reverse at higher levels of support.there is an upside vertical count of 1.5420
so in order for their to be good break,then 1.4500 or 1.5020 areas must be taken out.so i think for monday it is definitely the 1 minute trigger on the intermediate t/f.the 30 min is range bound
bbmac.i just wanted to put a chart or two in which would help any veiwers to why you took the trades.this is a great thread and i dont want to spoil it

 

[Dentalfloss]

a lower timeframe/box size chart.you can see the trendless chop for the last 2 days.no real signals whether it is bearish or bullish
bbmac.how do we know where the sbr/rbs zone on such a noisy/trendless chart.?i realise we are waiting for a retrace back into the zone/above 1.5000
chart is 30 pip box size.3 box reversal.data is 5 min