Predicting future FX support and resistance levels using mathematics

gka

Established member
929 15
GBPUSD predictions 23rd February

I attach the VRM predictions for GBPUSD for tonight and tomorrow finishing 5 pm 23rd February in New York.

The predictions are now in chart format and CSV format for input into charting systems. Predictions are in the column format of date, high, low, close, trend channel top, bottom and middle and 24 dual columns for the VRM levels. The last entry gives today's predictions and this week's predictions. The CSV file also gives past results for the VRM for back testing trading strategies. As the current day and week have not finished, the high, low and close entries are set to zero for these dates. The FX chart corresponds to the last daily and weekly CSV file entries.

Documents describing the Volatility Response Model (VRM) and the chart format can be found on the first post of this thread.

Predictions for VRM levels of EURGBP and EURUSD and 10 other FX pairs can be found at

https://www.complexhamiltoniansystems.com/fxcharts/

My current trading strategy is on page #20 post #157 of this thread.
 

Attachments

gka

Established member
929 15
GBPUSD results for 23rd February

Last night I attached the predicted support and resistance levels of GBPUSD of the Volatility Response Model (VRM) for today.

EURGBP and EURUSD VRM levels were on the website

https://www.complexhamiltoniansystems.com/fxcharts/

Here are the results for GBPUSD. Two attachments.

First attachment. Weekly VRM levels in the top 30 minute chart, daily VRM levels in the bottom 30 minute chart. Times are GMT-4 . EMA channel (4,7) included.

Low for the day was about daily sentiment level 1.3920
High for the day was at daily level 1.4005

Second attachment showing the 5 minute chart from 5 am until market close with VRM levels. Times are GMT-4 . EMA channel (4,7) included.

At 7:05 am (GMT-4) GBPUSD spiked down dramatically then bounced off daily sentiment level S1 at 1.3938. Was this price action due to last Friday in the month bank corrections? I cannot find any news to explain this event. After that the GBPUSD spent the rest of the day supported by the short term trend channel middle at 1.3964.
 

Attachments

Last edited:

anon301501

Junior member
40 1
Last night I attached the predicted support and resistance levels of GBPUSD of the Volatility Response Model (VRM) for today.

EURGBP and EURUSD VRM levels were on the website

https://www.complexhamiltoniansystems.com/fxcharts/

Here are the results for GBPUSD. Two attachments.

First attachment. Weekly VRM levels in the top 30 minute chart, daily VRM levels in the bottom 30 minute chart. Times are GMT-4 . EMA channel (4,7) included.

Low for the day was about daily sentiment level 1.3920
High for the day was at daily level 1.4005

Second attachment showing the 5 minute chart from 5 am until market close with VRM levels. Times are GMT-4 . EMA channel (4,7) included.

At 7:05 am (GMT-4) GBPUSD spiked down dramatically then bounced off daily sentiment level S1 at 1.3938. Was this price action due to last Friday in the month bank corrections? I cannot find any news to explain this event. After that the GBPUSD spent the rest of the day supported by the short term trend channel middle at 1.3964.
If you can't explain that spike I feel like you don't really know what's going on...
 

gka

Established member
929 15
If you can't explain that spike I feel like you don't really know what's going on...
Do you know what was going on? If so please enlighten me.
 

gka

Established member
929 15
Looked at your chart link and saw the spike at 11:00 GMT with a question mark.

That was my question on this thread.

"At 7:05 am (GMT-4) GBPUSD spiked down dramatically then bounced off daily sentiment level S1 at 1.3938. Was this price action due to last Friday in the month bank corrections? I cannot find any news to explain this event."

What is your knowledge about the spike?

The point about the VRM is that it does not know when tsunamis will hit Japan or how and when banks fix their books at the end of the month. But it does predict levels about which the market moves in response to news and sentiment. Hence Friday's daily sentiment level S1 at 1.3938. was a good level to look out for.
 

anon301501

Junior member
40 1
Looked at your chart link and saw the spike at 11:00 GMT with a question mark.

That was my question on this thread.

"At 7:05 am (GMT-4) GBPUSD spiked down dramatically then bounced off daily sentiment level S1 at 1.3938. Was this price action due to last Friday in the month bank corrections? I cannot find any news to explain this event."

What is your knowledge about the spike?

The point about the VRM is that it does not know when tsunamis will hit Japan or how and when banks fix their books at the end of the month. But it does predict levels about which the market moves in response to news and sentiment. Hence Friday's daily sentiment level S1 at 1.3938. was a good level to look out for.
https://www.mql5.com/en/charts/8359646/gbpusd-h1-forex-ltd
 

anon301501

Junior member
40 1
You should understand...Your playing a game...Slower then everyone who is directly connected to the market... Your playing with less money and don't face liquidity issues (most likely) If you did you'd start to understand what is happening. They need liquidity... What better liquidity then taking peoples stops... or putting them underwater when they don't trade with a stop... Now think you have multiple players that come together and fight against each other, make deals AND using algos to their specifications just to induce you to buy or sell a market.
 

gka

Established member
929 15
Was your candlestick analysis in your link above done in hindsight? Or could you see the candlestick where everyone is unloading their short positions in real time?

The 5 minute chart I uploaded Friday has a falling EMA(4,7) channel from 6:25 (GMT-4) . So according to my current trading strategy this is a sell position. The market was already trending down through the VRM levels after a bounce off VRM level 1.3986.

I attach Friday's 5 minute chart again with arrow to show the time I am talking about.
 

Attachments

Last edited:

anon301501

Junior member
40 1
Was your candlestick analysis in your link above done in hindsight? Or could you see the candlestick where everyone is unloading their short positions in real time?

The 5 minute chart I uploaded Friday has a falling EMA(4,7) channel from 6:25 (GMT-4) . So according to my current trading strategy this is a sell position. The market was already trending down through the VRM levels after a bounce off VRM level 1.3986.

I attach Friday's 5 minute chart again with arrow to show the time I am talking about.
Look where I took the long and got out of my position because I knew they were only moving the market to induce buyers. I'm Proven correct because that spike Takes out all the people who were buying So they could Get out of the short positions they were previously in. Then they Got long to take out all the people who chased the spike short... That's why Fridays are basically the worst days to trade for most traders cause they simply can not see why the market is doing what it is doing...
 

gka

Established member
929 15
Look where I took the long and got out of my position because I knew they were only moving the market to induce buyers. I'm Proven correct because that spike Takes out all the people who were buying So they could Get out of the short positions they were previously in. Then they Got long to take out all the people who chased the spike short... That's why Fridays are basically the worst days to trade for most traders cause they simply can not see why the market is doing what it is doing...
Thank you for your insight.

My current trading strategy using VRM levels and a 5 minute EMA(4,7) channel would have worked well Friday against the plotting of the market makers.
 
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anon301501

Junior member
40 1
Thank you for your insight.

My current trading strategy using VRM levels and a 5 minute EMA(4,7) channel would have worked well Friday against the plotting of the market makers.
Thats why I find your VRM kinda interesting. I feel like if you could code VRM that targeted Expected areas of liquidity you'd see a drastic increase in profitability...
 

gka

Established member
929 15
GBPUSD predictions 26th February

I attach the VRM predictions for GBPUSD for tonight and tomorrow finishing 5 pm 26th February in New York.

The predictions are now in chart format and CSV format for input into charting systems. Predictions are in the column format of date, high, low, close, trend channel top, bottom and middle and 24 dual columns for the VRM levels. The last entry gives today's predictions and this week's predictions. The CSV file also gives past results for the VRM for back testing trading strategies. As the current day and week have not finished, the high, low and close entries are set to zero for these dates. The FX chart corresponds to the last daily and weekly CSV file entries.

Documents describing the Volatility Response Model (VRM) and the chart format can be found on the first post of this thread.

Predictions for VRM levels of EURGBP and EURUSD and 10 other FX pairs can be found at

https://www.complexhamiltoniansystems.com/fxcharts/

My current trading strategy is on page #20 post #157 of this thread.
 

Attachments

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