Ask ANY trading related question!

Status
Not open for further replies.
perhaps you should make a structured comment on why you feel this wont work instead of a childish reply ?
 
normbeef said:
Whilst your method does have the effect of being hedged against any counter price action i can see that by executing twice to hedge your against your loss, and trying to catch the profit on the rebound could go badly wrong if the price continues to move against you !!
Click to expand...

being hedged is the same as being flat, or where the hedge is imbalanced, the smaller trade simply reduces the size of the other trade.

A more efficient way to do the exact same trade would be to go straight long, and then reverse with a smaller position at the same point you'd have closed your main trade before. Same net result, just cheaper to execute.
 
I do agree... to a certain extent... but the issue here is the limit profit orders (both ways) which gives the ability to catch the random moments on the downside that almost certainly occur during most time periods.. whether you are bias long or short...

what I am saying is in some circumstances (not always) that you can use the smaller hedge position to profit without closing the larger bias. this can happen before or after closing your larger trade its up to you when to execute.

simply going long or short and opening a smaller reverse trade cannot give you the price opportunity over the same period of time. execution at that point is just that... there is no opportunity !!

As I mentioned before I was ridiculed by the other member this works well against ranging movements...
 
Biodiesel of america are going public on Wednesday 12 March according to Avery Kingston!! Anyone else heard this news?
 
I´m trading EURO-USD, AUD-USD, USD-JPY. I set my entry order either above or below the current support or resistance levels and wait for a break through. I´ve been using the RSI for price acceleration, but it doesn´t hold very long. I can not find the williams% accelerator on my platform. What other indicator can I use to do the same? As for the volume indicator, I was told by a friend to go to FXY for the yen on my stock charts for volume.
 
ats specialists inc

Hi
I am new to this site .I am looking for information regarding selling ats specialists shares.Any help would be accepted.

scarwolf
 
Hi to all. I'm a freshman on this site and about to start training with FCT. Anyone to tell me a bit about them - will it be worth my time training with them
 
fainter said:
Hi to all. I'm a freshman on this site and about to start training with FCT. Anyone to tell me a bit about them - will it be worth my time training with them
Click to expand...

erm, well that would depend on what you want to acheive, and what FCT are going to teach you...?
 
Hello,

Could someone please explain to me the price relationship between Euro/Dollar (FX) and Euribor? I would have thought that the two would have moved with an inverse relationship. So if European interest rates were going to go down, Euribor would go up and therefore Eur/Usd would come down. At least that is what they told me here at my prop firm - watch for Euribor to go bid before you try and sell Euro/Dollar. Yesterday I watched these two for the first time though and noticed they seeme to move in tandem. Both fell together! Is this just a coincidence and I should keep watching?
 
Hello all,

I just signed up and being that I never traded before would like to ask if someone can please explain what is IH OR DAILY time frame as using it in forex. Before i go any further, I should at least know some basics. I read most traders refer to it often and I want to be able to understand it.

For instance: I wish to place a trade and look at 1 hour chart. What is the first thing I need to establish? Is it the trend? After determining support and resistance on a 1H chart, do I then place my trade either at S/R price on 1H chart or other t.f.?

If on 1H chart trend appears to be up..but 15, 5mi and daily t f is down, is it still the best to place a buy order based on 1H trend, or what should I do?
Also if s/r is very distant from a market quote, is it ok to place a trade somewhere half way or should I use s/r as a best guide?
Thank you in advance, but please present it in a simple way so I can understand it.

Marco
 
MP == FOREX TRADING 101 -- can i remember that far back ??

markopolo said:
Hello all,

I just signed up and being that I never traded before would like to ask if someone can please explain what is IH OR DAILY time frame as using it in forex. Before i go any further, I should at least know some basics. I read most traders refer to it often and I want to be able to understand it.

the H1 and H4 (and their derivatives) are used as both a TREND indicator and a TRADING chart. During INTRADAY trading, the H1 is used to establish the direction the market is moving as well as being capable of being TRADED on its own !

For instance: I wish to place a trade and look at 1 hour chart. What is the first thing I need to establish? Is it the trend? After determining support and resistance on a 1H chart, do I then place my trade either at S/R price on 1H chart or other t.f.?

The H1 chart will show you the TREND of the currency you are interested in which for those using the lower timeframes is of real importance, because the lower timeframes can be going in any which direction, but the H1 remains tall in the saddle and leading the settlers west ! What comes next depends on your individual choice in trading --- you can trade the H1, which many do, or use the trend direction information you have to trade the lower timeframes --- at this point, its up to you !

If on 1H chart trend appears to be up..but 15, 5mi and daily t f is down, is it still the best to place a buy order based on 1H trend, or what should I do?

While it would be rare to see the daily down while the H1 is up, there "could" be times it happens but I would be very carefull in going LONG as youre getting a reversal signal !
That said, if the shorter timeframes (one, 5 and 15) are down while the H1 is maintaining a good solid uptrend, one can either WAIT for the 15 to bottom at support (30 isnt bad either) which now allows you to buy into the uptrend shown by the H1 at the lowest possible price, OR you can play the shorter timeframes as a SHORT, switching over to a long when the price hits support. If the support price on the H1 and the 15 minute are the same, you should have a very very nice ride back UP. (most of forex trading is finding TWO or more things that agree, like a major (50} moving average and the 50% fib retracement and/or the weekly pivot point or a mess of other things, which you will learn because you are already smart enough to have been asking the right questions !)

Also if s/r is very distant from a market quote, is it ok to place a trade somewhere half way or should I use s/r as a best guide?

I find that s+r is the all important ruler of forex, so once you determine the trend on the H1 you should wait for agreement on the lower timeframes or you will suffer "drawdowns" (your price continues DOWN till it reaches support) on the lower timeframes.
This, in and of itself is not a horrible thing, but just note you will be watching your trade in negative territory for a while, so you should be prepared for it !

The absolute best danged trade comes when ALL timeframes agree in direction --- then you will be sure of a heck of a good ride, and this usually happens after EACH ONE OF THE TIMEFRAMES has reached its support and slowly EACH ONE turns back up --- then you got yourself a run !
Some of the better EA's use techniques such as waiting for the H1 to retrace to a support level that agrees with the 15 min chart, and then once they both start back up again, one enters the trade long (also works short, but then youre dealing with both hitting resistance, of course)

What seperates experienced traders from the newbs is the ability to allow a currency to drop (while they are long) and understand that they simply entered too early --- the "understanding" part comes from knowing that the price will reverse back to the upside, and end up in profit, because thats what forex does --- but that does take a tad bit of experience, cause its scurrrrrrry watching your money get smaller and smaller.

Theres a tad bit more to it than that, but whats here is really the basis of how you trade and with just that, youre already ahead of most newbs !

Thank you in advance, but please present it in a simple way so I can understand it.

Marco
Click to expand...

enjoy and trade well

mp
 
Last edited:
Dow Indicator

Has anyone ever used Dow Indicator and can make some comments about success or otherwise with the signals it generates? Thank you.
 
t2wfrank said:
Has anyone ever used Dow Indicator and can make some comments about success or otherwise with the signals it generates? Thank you.
Click to expand...
=================================================================

the DOW is very closely tied to the movement of forex pairs intraday during the US mkt and is of considerable value.

what one must remember about stocks (which it represents) and forex (which it affects) is that EXCEPT during extremely high momentum times which are "usually" the FIRST day of a trend reversal (goes from long to short, let us say) the DOW (and forex) REVERSES direction at specific times of the day.

Normally with stocks, IF THE DOW CROSSES UP OVER ITS PAST DAY CLOSE you will continue moving up till 11:30 - NOON, EST, at which time it will drop and start back up again at "approximately" 2PM, EST and make its second run up to a higher high where it will close.

Forex follows that very well, closing at 5PM, EST, at which time IT REVERSES DIRECTION, sells off until the Japanese mkt and reverses trend at MIDNITE, EST as it preps for the interaction of the ASIAN and EURO markets.

Some pairs work in the same direction as the DOW, while others work opposite to it, but the reversal times for any direction are always the same ---- watch it on your charts and it will help you tremendously as remaining in the market long when the market reverses at NOON will lead to large drawdowns, although your trend direction may well be correct, and after midnight your trade will come in. You can prevent that, if you wish, by making sure you use a shorter timeframe and closing your trades before NOON or 5PM, EST.

Remember though, if youre trading the H1 or longer timeframes, you can get out at the reversal times, trade the opposite direction on the reversal, and then go back to your original direction for the MIDNIGHT reversal, or you can simply remain in the long trade and realize that the price will be dropping from 5PM until MIDNIGHT ------ or you can use both, and hold your long position with its drawdowns, and trade a hedge SHORT position, which incidently nulls out your margin decreases, and then close your short before MIDNIGHT !

take a look and see if it works for you !

enjoy and trade well

mp
 
Another rookie

Hi,

I got in today, reason is as probably with many of you, do your own....I am getting all these fancy news letters from HSI Wealth Alert, Paul Sarnoff's options trading, Mac X suggesting forex trading and Greg Guenthner for penny stocks recommendations, so, does any of this sound familiar?

lk
 
Status
Not open for further replies.

Similar threads

ajaskey
CANSLIM Frequently Asked Questions
Replies
2
Views
6K
ajaskey
ajaskey
blackcab
Where to post quick questions
Replies
3
Views
2K
blackcab
blackcab
Sharky
  • Sticky
Sticky Introduce Yourself
617 618 619
Replies
12K
Views
3M
Knightrider11
K
timsk
New Look 'Stickies'
Replies
4
Views
2K
gedward3
gedward3
J
Spammers
Replies
5
Views
2K
Sharky
Sharky
Back
Top