Making Money Trading

[Reas]

TD,

I think what jitasb ment (and what i would like to know too) was:
Do you draw your s/r lines on the daily chart, and then switch that chart to hourly?
Or do you draw the lines on the daily, and also (seperatly) on the hourly.

 

[trader_dante]

TD,

I think what jitasb ment (and what i would like to know too) was:
Do you draw your s/r lines on the daily chart, and then switch that chart to hourly?
Or do you draw the lines on the daily, and also (seperatly) on the hourly.

Aha! Apologies!

YES, I draw my S/R lines on the daily and then when I switch that chart to hourly, the lines show up.

Then I look for any other ADDITIONAL areas of KEY S/R on the hourly.

 

[jitasb]

Aha! Apologies!

YES, I draw my S/R lines on the daily and then when I switch that chart to hourly, the lines show up.

Then I look for any other ADDITIONAL areas of KEY S/R on the hourly.

Yes thanks Reas and TD....that was what I meant.

 

[forexbee]

Fxbee, can you indicate the exact bar you mean?

Hi TD,

Pls see the chart attached, sometimes i feel like i see many inside bars in chart....though it could be wrong...not sure whether every IB qualifies for that...

(I have circled it)

Fxbee

 

[trader_dante]

Hi TD,

Pls see the chart attached, sometimes i feel like i see many inside bars in chart....though it could be wrong...not sure whether every IB qualifies for that...

(I have circled it)

Fxbee

Hey Fxbee, yes that IS an inside bar. But I don't see anything that would make me want to trade that.

 

[forexbee]

Hi TD,

I think better, i will learn to trade pins first, then will see the IB trading opportunities... Also couldnt control asking this query....How do you take IB trade....( i hope we are yet to come to that lesson, if so , then fine with me)

I can feel how the long timecharts gives confidence when taking up a thread after long patience waiting... I felt that when i saw your bund trade....(from your chart i see its futures is it?) and after initial stage of setting you increase your stake from £4 to £5, though the trade didnt give you opening as it should have come ..

With my trendline workout on 4Hrs chart i couldnt get proper entry or i might have missed the entry during my office hours, but not bothered for it as i could wait for better trade setup...

By the way pinbar identification and its requirements are same that its open & close should contain in high & low of left eye in both downtrend pin formation or uptrend formation...correct? I checked yday from this thread that one of the pinbar marked doesnt fit the open & close of left eye high & low...i wanted to check up with you, still searching for that chart...

Fxbee

 

[lurkerlurker]

Hi Lurker (and everyone else)

Sorry to be acting a bit iron fisted but I am keen to keep this thread on track. I get a lot of PMs from the newer traders that I am trying to help and I know some of them are having some difficulty with what I have shown already without throwing in numerous indicators and different strategies.

I don't want to contradict the great work that Fibonelli does. He is a very thorough technician and is doing interesting work but I need to make this point clear to the new traders: YOU DON'T NEED A SINGLE INDICATOR TO MAKE MONEY IN THE MARKET.

You can beat the market with simple price action and simple support/resistance and NOTHING ELSE on your charts.

I can tell you this with all honesty because I am doing it.

You don't need to make this more complicated than it is.

The only time you ever want to even THINK about looking at an indicator is if you see a pin bar at an extreme swing high/low with NO visible support or resistance. When I find one I will sometimes have a look at JUST the RSI to see if there is any divergence. I put it on, check it and then turn it off. This is the only time an indicator ever makes its way onto my charts.

If you are new to this, adding indicator after indicator will only paralyse your decision making process and distract you from the single most important thing which is WHAT THE PRICE IS TELLING YOU.

Sorry to be offtopic. I don't use indicators. I was just wondering what all those funny square dots that fibonelli highlighted in his chart. I also wanted to see what some instruments would look like with that indicator configuration. I do appreciate that it is not the place to discuss this though.

 

[trader_dante]

By the way pinbar identification and its requirements are same that its open & close should contain in high & low of left eye in both downtrend pin formation or uptrend formation...correct? I checked yday from this thread that one of the pinbar marked doesnt fit the open & close of left eye high & low...i wanted to check up with you, still searching for that chart...

Fxbee

Fxbee,

Yes, the open and close should be contained within the range of the left eye.

From time to time I will take a trade when it is NOT if it has a good deal of supporting factors. But this is the exception and not the rule.

Remember trading price action is largely discretionary and now I am experienced with it, I will sometimes try new ways of playing bars to see if I can improve on what I am doing. I discard what doesn't work and build on what does. This is what a trader should always be doing.

For now, I would advise you look to play bars that conform to the initial description above.

 

[lurkerlurker]

GBP / JPY Hourly Pin

If this triggers before 18:05 I am going long at 232.20 with a stop at 231.00 and a target of 325.20.

 

[DanFrank]

Hello Everyone,

I've been following this thread since joining the forum and I'm soaking the info up like a sponge. Thanks TD.

I'd just like to gauge how often I'm likely to find setups represent themselves per month on average. i.e pinbars identified on daily TF with S/R levels that align, leading to a confident setup to watch on the hourly the following day. I'm aware it will depend on how many markets I scan so could be shown as a ratio.

e.g. 8 setups per month:30 Stocks etc Scanned Daily. (8:30)

I hope this makes sense.

Regards
Dan

 

[lurkerlurker]

If this triggers before 18:05 I am going long at 232.20 with a stop at 231.00 and a target of 325.20.

Well I'm in, and I'm holding this over the weekend if I'm not stopped out first.

 

[lurkerlurker]

That was a typo - my target is 235.20 not 325.20. Not editing as it was a live call.

 

[trader_dante]

That was a typo - my target is 235.20 not 325.20. Not editing as it was a live call.

I wish you guys would demo these pins before you commit real money.

 

[Crap Buddist]

If this triggers before 18:05 I am going long at 232.20 with a stop at 231.00 and a target of 325.20.

My setups flopped to long circa 231.78 as I type good luck with it. Should of held my 237.89 short off the open huh.. ?

What a move......

good luck chief....

 

[lurkerlurker]

I wish you guys would demo these pins before you commit real money.

I've backtested and I'm happy.

 

[lurkerlurker]

My setups flopped to long circa 231.78 as I type good luck with it. Should of held my 237.89 short off the open huh.. ?

What a move......

good luck chief....

Ouch. I really hate getting out of a trade too soon. I'll be holding this over the weekend or until I'm stopped out. It seems quite undecided, and I'm guessing there is no liquidity or volume left in this pair. It is rare enough for any cross to retrace such a move on the same day. I can be patient enough with this.

 

[trader_dante]

I'd just like to gauge how often I'm likely to find setups represent themselves per month on average. i.e pinbars identified on daily TF with S/R levels that align, leading to a confident setup to watch on the hourly the following day. I'm aware it will depend on how many markets I scan so could be shown as a ratio.

e.g. 8 setups per month:30 Stocks etc Scanned Daily. (8:30)

I hope this makes sense.

Regards
Dan

Hi Dan, this is a very difficult question to answer.

It depends on what setups you are going to play - whether they are pin bars, inside bars or other types of price action setups that we will eventually get on to and how many supporting factors you want when taking them. Are you happy enough playing it off S/R levels alone or would you like it to line up with Fib confluence?

I skip over a lot of trades that are very profitable because I like everything to feel and look just right when I enter the market and if it doesn't, I pass on it. I also MISS a lot of excellent opportunities which happens when you are not doing this full time.

Best reply I can give is go back through your charts and familiarise yourself with setups and how frequently they occur.

One other important thing regarding this part of your post:

pinbars identified on daily TF with S/R levels that align, leading to a confident setup to watch on the hourly the following day.

If I see a pin on the daily TF, I take it on the daily TF. I don't then go down to the hourly to watch it. I base my entry and exit on the timeframe that the pin appears.

My hourly trades are based on markets that I have chosen to watch for several reasons. Mostly it is just because I am familiar with them because I have traded them a lot in the past e.g. Crude Oil, Gbp/Usd, Gold, FTSE etc and other times it is because I see some price action or pattern occurring that I want to look at on the lower timeframes.

 

[Crap Buddist]

Ouch. I really hate getting out of a trade too soon. I'll be holding this over the weekend or until I'm stopped out. It seems quite undecided, and I'm guessing there is no liquidity or volume left in this pair. It is rare enough for any cross to retrace such a move on the same day. I can be patient enough with this.

hmmm yeah mixed feelings for me mate, I closed the trade because, because I was knackered, like I say my setups just flopped long and I can hold for 8/12 hours odd until it rolls..... never mind, but what a **** up.......

now Ive been thinking about these yen, last few days, yen strengthening against dollars, but GBPJPY I sensed was being held up by cables strength, I thought as soon as cable starts easing then GBPJPY gonna take a heavy trip south...... **** .

ok rant over, should kick up a couple hundred points, least. right, off to sink beer....

 

[lurkerlurker]

hmmm yeah mixed feelings for me mate, I closed the trade because, because I was knackered, like I say my setups just flopped long and I can hold for 8/12 hours odd until it rolls..... never mind, but what a **** up.......

now Ive been thinking about these yen, last few days, yen strengthening against dollars, but GBPJPY I sensed was being held up by cables strength, I thought as soon as cable starts easing then GBPJPY gonna take a heavy trip south...... **** .

ok rant over, should kick up a couple hundred points, least. right, off to sink beer....

Hmm. 2 hours of trading left. Looks like I'm either stopped out now or in 48 hours! It isn't all that unlikely that this will weaken further before it improves, and my stop is a little close. I'm not moving it though - it is placed there for a reason, and if it gets hit I'm wrong.

I don't like these indecision bars.

 

[DanFrank]

Cheers TD.

I've obviously got mixed up and lost my way with what you've been saying somewhere through the thread. I thought you set up on the daily having identified a pinbar and determined relevant S/R levels then zoned in on the hourly to watch/wait for your entry to be triggered.

Dan