It is not closed yet 
and now it is only at a 1 pip gain.wondering if I should close it off.... lolz
Arghhh it turned into a -18 pip loss .. There goes my gains for today..... Should have closed it off at 22 pips gain but how would I know when I should just take profit .... ;p
and now it is only at a 1 pip gain.wondering if I should close it off.... lolzArghhh it turned into a -18 pip loss .. There goes my gains for today..... Should have closed it off at 22 pips gain but how would I know when I should just take profit .... ;p
bbmac
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It is not closed yet
A 22pip gain for me is anywhere between a 0.55 - 1.1% gain on acc at the typical leverage I employ.
Remember....High probability, Low risk trading with consistent non spectacular (well some days are, lol) returns on a/c...a 0.5% return on acc/day over 200trading days a year is a 100% return on account / year.
bbmac
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It is not closed yet
Arghhh it turned into a -18 pip loss .. There goes my gains for today..... Should have closed it off at 22 pips gain but how would I know when I should just take profit .... ;p
that's criminal, lol...lesson learned I hope.
bbmac
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Remember that when trading from a 1min trigger the swings you trade may get passed through again, even several times a day...so not all pip gains will be cricket scores...the Rev C you just traded showed you 22pips gain and was against a growing sense of late intraday bullishness , 5min had started to trend up, 30min and 1hr macd hists were above axis and pointing up, and 1hr ascending support t/line showed higher lows....
bbmac
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Lifted from part III doc about Reversal set-ups (post 74 on page 10 of this thread)
'.....d. These Reversal set-ups can indicate either a pull back in a trend or a complete trend reversal area if present on enough time frames, but care should be exercised in expecting large targets if against a strong trend, as described above. The preference should always be to stay with the trend in a strong trend, but on rangy/weak trend days and indeed in a strong trend these set-ups provide high probability trading opportunities for identifying pullbacks / retraces in trend or complete reversals thereto.
A word to the wise about trends: For some reason there is a tendency when price starts to trend to always be looking for a trend to end, you know the thing,
' this must be the top or bottom ‘ Why?.. If a trend exists the preference should be with the trend and caution should be exercised in trying to reverse (go against) the trend particularly if it exists on the longer time frames that extend past the trend time frame. Price does however retrace/pull back in a trend, and these are very trade-able if identified correctly......'
'.....d. These Reversal set-ups can indicate either a pull back in a trend or a complete trend reversal area if present on enough time frames, but care should be exercised in expecting large targets if against a strong trend, as described above. The preference should always be to stay with the trend in a strong trend, but on rangy/weak trend days and indeed in a strong trend these set-ups provide high probability trading opportunities for identifying pullbacks / retraces in trend or complete reversals thereto.
A word to the wise about trends: For some reason there is a tendency when price starts to trend to always be looking for a trend to end, you know the thing,
' this must be the top or bottom ‘ Why?.. If a trend exists the preference should be with the trend and caution should be exercised in trying to reverse (go against) the trend particularly if it exists on the longer time frames that extend past the trend time frame. Price does however retrace/pull back in a trend, and these are very trade-able if identified correctly......'
Yeh... Wiped out most of my gains for today but took 1 last trade. Got to sleep soon.
12/10/08 11:46 Entered Buy 1.4838 M1 chart Reversal
12/10/08 12:10 Sold 1.4851
Profit 12.60
Total profit for today: 3.9 pips
What a day ... I find that GBPUSD does not move that much doing Asian Trading hours. Is there any currencies to suggest for Asian Trading Hours?
12/10/08 11:46 Entered Buy 1.4838 M1 chart Reversal
12/10/08 12:10 Sold 1.4851
Profit 12.60
Total profit for today: 3.9 pips
What a day ... I find that GBPUSD does not move that much doing Asian Trading hours. Is there any currencies to suggest for Asian Trading Hours?
rags2riches
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The Yen (jpy) crosses? Maybe also Aud & Nzd?
Took 1 last trade for today. Could not resist it lolz
12/10/08 13:16 Entry Sell 1.4871
Reversal Extreme
Resistance at M30 High
12/10/08 13:20 Exit 1.4862
Profit 8.6
Exit as only 1 min trigger showing Extreme Reversal - No support from M5 or M30 so decided to take quick profit.
Hehe Ended the day with 12.5 pips profit
however from the looks of it, took the trade out too early.as it went down to 1.4845 oh well
12/10/08 13:16 Entry Sell 1.4871
Reversal Extreme
Resistance at M30 High
12/10/08 13:20 Exit 1.4862
Profit 8.6
Exit as only 1 min trigger showing Extreme Reversal - No support from M5 or M30 so decided to take quick profit.
Hehe Ended the day with 12.5 pips profit
however from the looks of it, took the trade out too early.as it went down to 1.4845 oh well
Yes maybe I should take a look at USD JPY
BB do you think it is a good idea though I know you don't trade that.
bbmac
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Took 1 last trade for today. Could not resist it lolz
12/10/08 13:16 Entry Sell 1.4871
Reversal Extreme
Resistance at M30 High
12/10/08 13:20 Exit 1.4862
Profit 8.6
Exit as only 1 min trigger showing Extreme Reversal - No support from M5 or M30 so decided to take quick profit.
Hehe Ended the day with 12.5 pips profit
however from the looks of it, took the trade out too early.as it went down to 1.4845 oh well
I didn't understand your trade detailed in post number 208, but this one is good re the 1min Rev Extr and a 5min Rev Aii (just about) with a 30min Rev Aii as well to support the entry, but didn't really see any potential resistance in terms of fibs or previous swing hi's on 1hr other than a head fake spike past previous hi, as you suggest....also very spiky rejection candles on 1hr x 3 prior to the set-up, so good call, well done.
(You do see these fake spikes seemingly breeching pot supp/res, and my view is that if the candle closes back inside the supp/res zone it is probably a fake break of the potential supp/res zone and it holds good.)
As for asian hours, yeh the Yen crosses are probably better as might the aud or nzd, but as you say, I don't really ever trade them. be careful re supp/res channels for yen pairings, you may have to add 261.8 and even 423.6 as opposed to the 61.8 1st extreme (green dotted)and 161.8 second extreme (red dotted) on gbpusd (and eurusd, usdchf, eurgbp)
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bbmac
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The 30min Rev Aii supporting set-up is shown below, note the double reg immed sep peak bearish div in osma.
bbmac
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Good example of confirming set-ups on 3 time frames above the 1min trigger today @ the potential resistance area shown in screenshot below being a confluence of previous 1hr swing hi zone (=previous resistance=potential resistance when approached from underside) shown inbetween the dotted red lines, with 23.6% 6671-4465, and 50% 5540-4465 fibs.
The charts below that show the 1min trigger Rev Extr, and the supporting 5min Rev A seq, and 15min Rev C and a 30min supporting Rev B set-up. Set-ups extending past the trigger all the way to the trend time frame.
The set-up has seen a +55pip gain available at time of writing.
Confluence, Confluence, Confluence
G/L
The charts below that show the 1min trigger Rev Extr, and the supporting 5min Rev A seq, and 15min Rev C and a 30min supporting Rev B set-up. Set-ups extending past the trigger all the way to the trend time frame.
The set-up has seen a +55pip gain available at time of writing.
Confluence, Confluence, Confluence
G/L
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bbmac
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Nice examples of rbs then sbr in cable this morning. The 1hr chart below shows points a & b - previous swing highs=previous resistance=potential rbs (when approached from topside in a pullback) indeed suupport resulted at points c & d.Then as price rallied, resistance was found at point X the previous suppport area =previous swing lo=potential sbr (when approached from underside in a pullback,) at point f, this formerly a previous resistance area at point e that resulted in potential rbs that held at that point f.
Added confluence at points c & d came in the form of an ascending supp t/line drawn from last thursday (not shown) and at point X in the form of the underside of a breeched ascending support trend line.
Now this area holds again as potential sbr, point X and the resulting 1min Reversal set-up is shown below.)
Added confluence at points c & d came in the form of an ascending supp t/line drawn from last thursday (not shown) and at point X in the form of the underside of a breeched ascending support trend line.
Now this area holds again as potential sbr, point X and the resulting 1min Reversal set-up is shown below.)
bbmac
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The general answer to stop placement is to put it in an area that means that if it is hit the potential supp/res/sbr/rbs zone that you are entering a set-up at didn't act as such. ie don't be stopped out of a decent trade because of a bad stop placement.
In practice though, sometimes these potential supp/res/sbr/rbs zones made up of previous price swing hi/lo zones can be quite wide - particularly on the trend time frame (ie 1hr chart..if using 1/5/30min t/f configuration, ie the 1hr we use as the proxy for the 30min trend t/f because it is more widely used in the market and is close enough to the 30min.) Easier if trading a trigger set-up at an intermediate t/f potential supp/res/sbr/rbs zone because the zone on that t/f is likely to be narrower.
So, if there are any other potential supp/res/sbr/rbs factors as outlined in this system/methodology (fibs, touted bids-offers, t/lines) in the previous swing hi or lo zone that is the basis of the potential supp/res/sbr/rbs, and price has reacted at that level, then it may be ok to put stop just outisde of that/those if still within the previous swing hi/lo zone. Of course if the zone is not too wide and you can sensibly get your stop outside of it, best to do so.
These indicator based set-ups do tend to find the absolute swing hi/lo of a move on the lower time frames, but the 1min can be a little trickier as the trigger, particularly for the inexperienced.
Following on from the example given above, the previous swing hi/lo zone at which the set-up was found was not too wide so the stop could have been safely placed outside, without adversly affecting risk:reward ratios....see screenshot below.
Some times it is good to await the next time frame candle close and move your stop in just above that if it is a real reversal candle indicating that you have more than likely found the absolute swing hi/lo of the move, ie in the case of a 1min trigger, await the 5min close and then move stop in.
In the second screenshot below you can see the 5min candle in this example circled in yellow, - a classic bearish hammer, so you could have moved your stop just outside of this to limit your risk.
In cases where you are convinced that the potential supp/res/sbr/rbs zone will hold and you are willing to live with more potential challenges on it before the move in your favoured direction begins for real, then you should definately make sure your stop is outside of the zone and if necessary adjust your volume traded accordingly to accomodate a larger stop comensurate with youir risk tolerances and targeted reward.
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bbmac
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I should add re stop placement, that like in the example above, price sold down to point x, before a retrace to point y just shy of the original swing hi at which the market entry via the set-up was found, then made a LH to make new lows at point z....see screenshot below.
Very often price will retrace to test the area of entry again at the swing you have traded, if only to make a LH as in this example or HL at a swing Lo...this is aparticularly severe example as price came within a whisker of the original entry point but the point is well made here about being too 'keen' with your stop placement.
Very often price will retrace to test the area of entry again at the swing you have traded, if only to make a LH as in this example or HL at a swing Lo...this is aparticularly severe example as price came within a whisker of the original entry point but the point is well made here about being too 'keen' with your stop placement.
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