Becoming a Consistent Trader

[forex99]

Hi pki99

I'm really glad you like my post
To answer your questions...

1) I have posted a chart with an explanation of how I determine market flow or trend direction. Hope this makes sense?

2) With regards to trend direction I follow my system...I don't question myself or my logic or anyone else's opinion about what price is doing. If my chart says market Flow is up I want to buy dips in an uptrend. What I do sometimes is only trade in the direction of the 4hr market Flow or short term trend.

3) I do use mid points on the Daily Pivots, I find they work as well as the main pivots. But it's a personal thing as some people haven't heard of them before.

4) I only trade triple confluences. i have learnt over the years that patience does pay off and even if you miss a few trades you wont get into rubbish trades. Trading is NOT about being active all the time. You don't need to trade much to make a very very good return. Be patient and disciplined!

5) InterbankFX are fine to start with, I just find their spreads crazy...

Hope this helps you? Please let me know if you are still not sure about something.

On a side note I have been looking at candle patterns again...i traded with them years ago and then chucked them out my box of tricks. They do give you that extra edge and confidence that your level might hold

 

[pki99]

Hi Forex99,

What's not to like??! Great method!! Thanks for your prompt and detailed reply. So to clarify .....

I assume that trading only in the direction of the 4 hour Market Flow (i.e. without daily MF alignment) reduces the win % of this method. Is this reduction significant?

Also I take it that the trade target is the next major S/R level (as obtained from the 4 hour swing high/low levels) in the directiion of the move?

Regarding the determination of Market Flow, I looked at the chart you attached. Thank you for that.

So does price breaking the old swing high at "Y" always mean that we are now in an uptrend - i.e. we discard the idea of a complex retrace to the downtrend, or that we may be at the start of a sideways move?

One of the reasons for my confusion (!) is that there appear to be some higher highs and higher lows (i.e. complex retraces) in the previous downtrend from "A" to "Y", which are ignored. Or did the Market Flow keep changing all the way from "A" to "Y"?

Thanks again for your time and efforts.

 

[fg_guy]

hi, isnt there a break of fractal upwards between 5 and 10th feb. check your chart again please.

Hi pki99

I'm really glad you like my post
To answer your questions...

1) I have posted a chart with an explanation of how I determine market flow or trend direction. Hope this makes sense?

2) With regards to trend direction I follow my system...I don't question myself or my logic or anyone else's opinion about what price is doing. If my chart says market Flow is up I want to buy dips in an uptrend. What I do sometimes is only trade in the direction of the 4hr market Flow or short term trend.

3) I do use mid points on the Daily Pivots, I find they work as well as the main pivots. But it's a personal thing as some people haven't heard of them before.

4) I only trade triple confluences. i have learnt over the years that patience does pay off and even if you miss a few trades you wont get into rubbish trades. Trading is NOT about being active all the time. You don't need to trade much to make a very very good return. Be patient and disciplined!

5) InterbankFX are fine to start with, I just find their spreads crazy...

Hope this helps you? Please let me know if you are still not sure about something.

On a side note I have been looking at candle patterns again...i traded with them years ago and then chucked them out my box of tricks. They do give you that extra edge and confidence that your level might hold

 

[forex99]

Hi,
With regards to trading in the Daily or 4hr MF or both it doesn't reduce the win % you just need to be aware that you might be trading against the Daily MF in which case you might want to take profits earlier... at the first area of Support or Resistance instead of letting it run... the other option is to scale out of your postion.. maybe half out at 30 pips and let the other half run.

With regards to trade target I personally like the old highs or lows, sometimes even the 127% extension..

As to your question regarding trend and MF i try and keep it as simple as possible...if MF is broken up the trend is now up... if MF is broken down the trend is down... Don't get to complex in trying to define the trend... there are so many ways to determine trend and each one may be correct but for me MF is the easiest... Keep it simple and consistently do the same thing over and over.... you will be well rewarded.

Hi Forex99,

What's not to like??! Great method!! Thanks for your prompt and detailed reply. So to clarify .....

I assume that trading only in the direction of the 4 hour Market Flow (i.e. without daily MF alignment) reduces the win % of this method. Is this reduction significant?

Also I take it that the trade target is the next major S/R level (as obtained from the 4 hour swing high/low levels) in the directiion of the move?

Regarding the determination of Market Flow, I looked at the chart you attached. Thank you for that.

So does price breaking the old swing high at "Y" always mean that we are now in an uptrend - i.e. we discard the idea of a complex retrace to the downtrend, or that we may be at the start of a sideways move?

One of the reasons for my confusion (!) is that there appear to be some higher highs and higher lows (i.e. complex retraces) in the previous downtrend from "A" to "Y", which are ignored. Or did the Market Flow keep changing all the way from "A" to "Y"?

Thanks again for your time and efforts.

 

[forex99]

Hi fg_guy

well spotted... I did see that but I was trying to make the example as easy as possible to understand. You know how they do it in books and it looks SOO perferct,lol.
You will definately get false signals along the way.. it's part of the method unfortunately.
The hardest part of defining a trend in the early stages is that you never know when it will turn out to be that big move... the one that runs for months. As with any trend following method you get knocked around when the market starts going sideways. But i gaurentee the set up you dont take because you 'thought' the market was ranging will turn out to be the big trend you so wanted... the joys of trading,lol.

hi, isnt there a break of fractal upwards between 5 and 10th feb. check your chart again please.

 

[pki99]

Thanks again Forex99. Re market flow I was also confused by the false signals, hence my question. But fg_guy phrased it far more clearly and succintly than me I get it now though!
Cheers.

Hi fg_guy

well spotted... I did see that but I was trying to make the example as easy as possible to understand. You know how they do it in books and it looks SOO perferct,lol.
You will definately get false signals along the way.. it's part of the method unfortunately.
The hardest part of defining a trend in the early stages is that you never know when it will turn out to be that big move... the one that runs for months. As with any trend following method you get knocked around when the market starts going sideways. But i gaurentee the set up you dont take because you 'thought' the market was ranging will turn out to be the big trend you so wanted... the joys of trading,lol.