fxfxfx

Hi PIPHORE,

I think that a MS-Word or PDF-Version does not make sense, as this is a spreadsheet where you can enter pre-defined parameters like Trend-Direction, Candlestick-Pattern,... and then calculates what you should do on the basis of the values that you entered and it also tells you when the setup is invalid.

Thx alright for the conversion of the doc...

Cheers

fxfxfx

Hi fxfxfx,

 

is there any possibility to have this file in word doc or pdf?

Forgot to mention:

You need openoffice to open the document.

You can download openoffice for free here:

http://www.openoffice.org

Cheers

fxfxfx

Hi folks,

 

I have a small gift for you to download:

 

http://www.4shared.com/file/I0U1cMIw/PATradeHelper-0001.html

 

It should eliminate nearly all guesswork and should give you the opportunity to take the trade with a high degree of certainty.

 

Hope you find this useful

 

Cheers

 

fxfxfx

Small gift for you

Hi folks,

I have a small gift for you to download:

http://www.4shared.com/file/I0U1cMIw/PATradeHelper-0001.html

It should eliminate nearly all guesswork and should give you the opportunity to take the trade with a high degree of certainty.

Hope you find this useful

Cheers

fxfxfx

Maybe the participation is so low because:

People are on holiday

People went over to EA-trading or Indicator-based trading as these trading-styles are not so time- and brain-consuming :(

I do not know it exactly.

People must learn that it is a difference between to know what to do and to DO IT ...

Cheers

fxfxfx

Your're too kind, my friend. I appreciate your feedback anyway, as I was hoping to be on the right track. Thanks again for all your inputs.

I wouldn't mind to see other people posting on their own ideas as well. I don't know why the participation has been so low lately, considering the high value of what we've been learning here...

Hi alright,

I am really very sorry :(

But I can NOT give you any comments to your analysis, as it is simply perfect ;)

I have really nothing to add - You brought everything to the point and I really think that you know now how/when/where to enter the market.

Next thing to learn is then the trade-management ;)

But this can be done once the trade is in play ;)

But: be aware, once a setup (candlestick-formation) occurs re-analyze the situation shortly again to check if it is still valid...

Hats off - I think it is now time to take some trades ;) But of course: First on demo...

Cheers

fxfxfx

For those using imageshack I've just found a very useful tool to upload my pictures. It's called ImageShack Uploader and it only takes a few seconds to perform the uploading procedure for one or more images. Really a time saver... You can find it on the site.

Inside-BAR Indicator

Here an other veeery helpful tool which you can download here:

http://www.forex4noobs.com/wp-content/incs/indicators/mc-ind.zip

Set the parameter "MinEngulfCandles" to 1 and it will visualize EVERY INSIDE-BAR at your Chart.

I use it regulary as it will help me to find also complex fake-breakouts and it will avoid that you will oversee an inside-bar or fake-breakout.

I also can recommend forex4noobs in general - Very good site and Nick is really very helpful to all members - AND: All is free - AND: His system is working !

Hope this was useful

Cheers

fxfxfx

Hi alright,

Do you know now why I said in one of my early post(s) that the system itself is NOT the big secret ;) ?

The secret is the way how you are organizing/preparing yourself continously for the forex-business and learn from mistakes and find way(s) to avoid these mistakes ...

Cheers

fxfxfx

Wow! After a while I hadn't been checking this thread and all the rules, my hurry to see setups at any cost led me to this mistake. But then my mistake led to one more pearl off of you. ;) The spreadsheet idea is just great!

Just a short side-note and food for thought:

If you had taken the 50%-Entry you would already be in profit by 4%

If you had taken the Normal + 50%-Entry you would already be in profit by 2% -> But the most important thing is: NO LOSS !

You really need this kind of mindset (to protect you capital):

Not to gain money as fast as possible -> You must protect your money against losses !

Cheers

fxfxfx

Cheers

fxfxfx

OK - News brought us out of the trade at breakeven - But: NO LOSS -> Next trade will surely follow ;)

 

Cheers

 

fxfxfx

Jo 236dave,

Glad to see you on board :)

The lines are good if you want to seek for good and stronger S/R.

But if you want to follow the trend-changes maybe use also the smaller retracements.

Maybe put on your chart the zig-zag indicator with a setting of 5,5,3 -> Then you will know what I mean ;)

Good work !

Cheers

fxfxfx

http://img12.imageshack.us/img12/9717/eurusdh4270611.gif

http://img691.imageshack.us/img691/8587/eurusddaily270611.gif

Hi fxfxfx,

Your thread caught my eye over the weekend.

Many thanks for sharing your strategy!

 

I have been jumping from thread to thread (mainly on FF) trying all the indicators and systems under the sun. Your post #77 summed things up for me, I have come back to price action and with the help of this thread hope to move into stage 9 (putting it all together) and then stage 10 (doing it). I have a bit of catching up to do, but I have attached some charts on EURUSD H4 and Daily. I have used blue for upwards trend, red for downwards trend and added yellow for sideways movement. Not sure that I should have added the yellow, your comment on current trend direction on H4 and Daily would be welcome.

 

Hopefully the charts will show up properly, fingers crossed:)

 

http://imageshack.us/photo/my-images/12/eurusdh4270611.gif/

 

http://imageshack.us/photo/my-images/691/eurusddaily270611.gif/

OK - News brought us out of the trade at breakeven - But: NO LOSS -> Next trade will surely follow ;)

Cheers

fxfxfx

Thanks for replying. Regarding the TP, if it depended on me I would target the lowest low ever... LOL but I was just considering those few supports in the way. Anyway, as you said, since the trend is down, and we're aiming to get some nice pips from this strategy (patience is required as it's long TF's we're using) I see no harm in following your advice by moving the SL to b/e (where it is already), so free ride for now, and then trail on s/r lines ;)

Hi alright,

I am sure that I will make a good price-action-trader of you ;)

At this stage the above trade should be a free ride :)

Did you use the Alerter or did you find the PIN-BARS by yourself (I personally only use the alerter as I am too lazy - but when I have time a also look at the charts and seek for good setups) ?

Did you use the excel-sheet ?

Cheers

fxfxfx

Thanks for replying. Regarding the TP, if it depended on me I would target the lowest low ever... LOL but I was just considering those few supports in the way. Anyway, as you said, since the trend is down, and we're aiming to get some nice pips from this strategy (patience is required as it's long TF's we're using) I see no harm in following your advice by moving the SL to b/e (where it is already), so free ride for now, and then trail on s/r lines ;)

Hi alright,

Yes - the first PIN-BAR was definitively a failed one - I told you that this will happen from time to time ;)

Regarding the last PIN-BAR:

This setup looks good, especially the bar after was also a PIN-BAR AND an INSIDE-BAR (As you already recongnized it correctly).

In this case: Move the SL to the HIGH of the 2nd PIN-BAR.

Regarding Risk/Reward:

I would not target the area of the 1st PIN-BAR as the risk/reward would not be over 2 ;)

I would target the Last Swing-LOW/Swing-High -> 1.4135-Area

As soon as you have a R/R of 1 move the SL to breakeven or at a S/R in the near.

Good work - well done alright :)

More will follow soon ;) ....

Cheers

fxfxfx

Hi 3fx. I'd like to re-analyse the chart I posted yesterday. Let me apologyse because my comment was too hasty and with no fundamentals supporting it. Last night I had more time to dedicate to it, so that's what I saw (I know this is hindsight now, but I was too tired to post it). For a start it was EU not EG and then the trend was down on both 4H and daily, so the 1st pinbar did give a failing trade (unless I miss something, can U see a reason why it shouldn't have been taken?). Later at 5am GMT a pinbar, which was also an inside bar after a shooting star, met a stronger confluence (BRN as well) and originated a new short looking ok so far. R:R would be about 1:1.5 having the previous failing level as a target. Can you please comment? Thanks

 

4 hours

http://img694.imageshack.us/img694/5403/201106280800.png

 

Daily

http://img192.imageshack.us/img192/4350/201106280757.png

Hi alright,

No - this is NOT a failed trade (although they exists *g*)

H4-Trend and DAILY-Trend MUST be aligned EXCEPT after the first pullback after a change of trend (except when market is sideways and did not shoot out of the sideways boundaries) OR PIN-BAR at a double-top.

When you have the trend of the higher time-frame aligned with the trading-timeframe, you nearly can not make anything wrong - then it should also be possible to trade every of the candlestick-formation - regardless if they are at a S/R - line.

You can improve your trading dramatically if you do this (I also did this when I started trading Price-Action):

Make a spreadsheet with these fields:

Market Condition (Sideways, trendy): SIDEWAYS/TRENDY

Trend Daily: LONG/SHORT

Trend 4-hourly: LONG/SHORT

Trade-setup: PIN-BAR/INSIDE-BAR/FAKE-BREAKOUT/2-BAR-PIN

Trade-setup-direction: LONG/SHORT

TRADE-VALID: TRUE/FALSE -> This should be a calculated field: Make a calculation with these field that every field must be fullfilled and mayba also a conditional formatting (TRUE:BLUE, FALSE:RED)

When you see a setup you MUST force yourself to fill in the spreadsheet.

This way you have a mechanical way to determine the validity of the trade and also prevents that you forgot an aspect or that you got greedy ;)

For the beginning maybe only trade if trend of both time-frames are aligned -> When you master this you probably extend your spreadsheet to the EXCEPTIONS ;)

Do you know now why I always say: Treat it like a business *g*

Provide yourself the tools that you are able to analyze the market and you do not have to spend hours for the analysis.

Provide yourself the tools that alerts you once a potential setup occurs.

Hope this helps

Cheers

fxfxfx

I just noticed this setup on EG. Would that be a failed trade? To be honest, according to the LH-LL criterium it wasn't a down trend on the daily TF, only on H4 and lower. That pinbar looked juicy though... The upper 38.2 level seems narrower and stronger and it's right on a round number. Do you think it would be legitimate to take a trade on it (assuming we get a reversal) or still a mistake as the upper TF is not agreeing?

http://img198.imageshack.us/img198/7880/201106271600.png

Hi alright,

Thx for the work ! What can I say, except: Wow !

Thx for your time and contribution !

As a kind of "Thank you" I will publish here the Link for the PA-Alerter (Although I stated that I will wait for 2 additional homeworks - but I am in a good mood now).

http://www.4shared.com/get/WP3mbNTM/PriceActionAlerter-0005.html

This will hopefully save you lot of time and you must not stare all the time to the screen ;)

I will prepare also a summary from my side - it should act like a check-list for all the users.

Cheers

fxfxfx

Hello again, fxfxfx. I'm sorry but I've been taken by other commitments for a while and haven't carried on with my homework, last but not least a total reformat of the PC. I hope I can catch up soon. Meanwhile thank you for the other lessons you've been providing. To help myself and hopefully someone else to keep up to date with your thread, I took the liberty to prepare a pdf with your posts and a few from other people, especially izogrey, which have been helpful to clarify your comments. I will update it regularly if any use

http://www.mediafire.com/file/vqt0tbmbofb1470/Fxfxfx%27s%20Forex%20strategy.pdf

Hi peterpiak,

An inside-bar is a 2-bar formation:

The outside-bar, followed by the inside-bar

The high of the outside-bar is higher than the high of the inside-bar

The low-of the outside-bar is lower than the low of the inside-bar

Hope this helps ;)

Cheers

fxfxfx

Thanks so much 3fx for your lessons, great job. I'm confuse something about inside bar, someone said just body of current candle inside the body of the previous one not about the tails but some said both body and tail must totally in the previous one. From your experience which one is the real definition.

Hi nnn123,

Thx for you reply...

Let me tell you that I personally know 2 ways to trade this strategy.

1) Find a currency where the trend is aligned with the higher time-frame

Check if the currency is already in the stage of a retrace

Make your analysis (What is the current market situation: Trending, Sideways,...)

Look at your chart where the next possible turning-point would be -> Make an alarm a few pips above/below this level and once the level is reached, look for the candlestick-formations and confluences.

2) Scan the market for these candlestick-formations. Once you have one of this formations make your analysis: Is the trend of the higher time-frame trend aligned, Are the any confluences of PA, What is the current market situation -> If the setup occured not while a re-trace or not at a S/R-Line, I skip this trade.

I personally use the 2nd one - But it is just because it suits my lifestyle and I am also a lazy guy -> Choose whatever fits to you...

Once I get a pre-notification (Usually 45 minutes before a full cycle ends - This gives me plenty much of time to analyze the potential trade...), I make my analysis ... . If the setup is invalid (Occurs not at a S/R Line, Trend above is not aligned, PIN-Candle shows the "wrong direction", Formation occurs at the wrong place), I skip the trade. Then I wait until a few minutes before a full cycle of the time-frame ends and open the trade(s) on my demo-account -> I have a computer which is running 24/7 where also the PA-Alerter is attached. At the same computer I have 3 instances of Metatrader running -> 1 master-account and 2 slave accounts.

The master account is a demo-account and I have the account-number and password always with me as it is useless for other people as it is a demo-account ;)

In my work I have also a computer. Once I got an alert I open the Metatrader at my work and make my analysis and open the trade on my demo-account.

The trades from the master-account (demo-account) will then be copied with a trade-copier (which is running at my 24x7 computer) to the 2 slave-accounts which are both LIVE-Accounts.

1st Account I trade with 2% Risk per trade

2nd Account I trade with 4% Risk per trade

So maybe people are asking why I use this kind of configuration...

I did this way:

When the first account is doubled take out your initial investment -> You are now RISK-FREE ! All the money comes now from the market !

Once the account is again doubled, open a second account and transfer 50% from the 1st account to the 2nd account.

Now you have this configuration:

You are RISK-FREE (You already got your investment back).

You have a SAVINGS-account which you trade with 2%Risk where you can withdraw 30% of the profits once or twice a year to your bank account or so...

You have a BOOST-Account which is traded with 4% Risk where you can withdraw money on a regular basis once your account reached a certain amount of money.

This way you have a pipeline which contains your retirement-fund and your "bread and butter" account where you can withdraw on a regular basis. And: You are risk free (did I mention this *g*)

This way you may sleep better because You know -> I already got my investment back and I also make consistent money and even when the second account will be blown -> You still have your first account and you can re-analyze your situation...

Hope this was useful

To come back to your topic:

You surely will get best results in the EUR/US-Session - But you can also trade only the daily-charts ... then it makes no difference...

May I ask you which time (and timezone) would be best for you nnn123 ? I personally prefer a broker where the daily candle starts/ends with NY-Close (I use 2 different broker -> 1 broker for the NY-close price-feed but for the live-account I use a different broker).

And:

nnn123: I am also VERY LAZY :) Draw these initial lines at weekend or at night (whenever you have a littel bit more time) - To update these lines only takes a few minutes per DAY ;)

Or: Focus only at 1-3 pairs ;)

Cheers

fxfxfx

Thank you 3fx and Izogrey.

 

3fx,

 

I totally agree with you on what you said in the post # 189. I am really lazy and I really have to work at this big time.

 

I am working on it and it is working.

 

Can you elaborate into which timezone is better or do you take a trade, once the PA alerter has informed you and you start watching that cross?

 

Thanks.

PA-Alerter

Hi folks,

Lets make a deal:

I surely want to have TWO ADDITIONAL homeworks ... Then I will post the link to the Price-Action alerter...

Do not get me wrong - People were asking how to make consistent money with forex and I want to tell the people how to do this - but the most important thing is not the system - It is the thinking that trading is a business -> And you have to WORK and prepare for your BUSINESS (although the regular work is very less on a daily basis - only the initial drawing takes it time...).

How do you think you will earn money when you are not able to do these kind of stuff on a regular basis ?

This is EXACTLY why 95% of the trader fails: They follow the wrong system AND they do NOT treat it like a business -> They want to have something which is doing everything automatically for them and pull out money consitently -> If this exists NOBODYneeds to work...

Cheers

fxfxfx

Hi nnn123,

you can use http://www.imageshack.us -> This is also what I use and obvioulsy also izogrey uses imageshack.us

Cheers

fxfxfx

Izogrey,

 

How do you manage to post the chart into the forum. Looking back at my posts, the links expire and then others cannot see the charts at a later date, which impairs the comments.

 

Thanks.

Hi nnn123,

PMed you the PriceActionAlerter.

Will look at your charts later as it is 1 am here in Austria and I am going now to bed...

Cheers

fxfxfx

Hi,

 

Sorry, Been away.

 

Here is my homework.

 

http://clip2net.com/s/10Mrp

 

and

 

http://clip2net.com/s/10Msk

PriceActionAlerter

Hi crips, izogrey, rvoiz

I PMed you the PriceActionAlerter.

You only need to configure you e-mail settings in Metatrader and attach the indicator the every pair/timeframe where you want to get alerted about PIN-BARs, Inside-BARs and FAKE-BREAKOUT.

The indicator is in no way in the FINAL-STAGE - But it does what it should: e-mail you when one of these pattern occur - This way you do not need to stare all the time at the screen.

Thx for contributing !

Cheers

fxfxfx

Hi izogrey,

I am always impressed about you :-)

You give so much energy and systematic in this that I must say that I am amazed ! Why: Because this is the ESSENCE of trading !

The success is not the system ! I think I stated this in a very early post: 2 people can decide to make a new business -> Both are doing the same - But one fails and the other succeed -> This is also true in trading - Treat it like a business - and you are on the right path !

Let me say one thing about these confluence-lines...

In fact I personally do not mark them... Why ? Because I do not need it anymore ! I quickly see that pattern of the waves and I just put on shortly the fibo for confirmation ;)

And: Maybe it was a little bit irritating: My focus are NOT these power-lines... I basically trade EVERY candlestick-formation at a S/R-Line in the direction of the trend - BUT: These confluence-lines give the trade more power and this does not change my entry but the TRADE-MANAGEMENT.

You must see the chart as a roadmap and maybe there is also a little bit of but of gut feeling -> But you will get this gut feeling when you know all the components and trade them very often (This is the trader in you )...

Why do I want to have the daily and 4-hourly aligned -> Not because the system does not work anymore, but we put the chances to our favour. The only exeptions where I focus on the trand of the 4-hourly and that it is not needed to be aligned with the daily is: Change of trend (except when it happens in the channel of a sideways-market) and a pin-bar which forms on a double-top

In a BULL-Market you can not do much wrong by buying stocks, indices,... except if you have a too small stop-loss ;)

I know also traders who trade counter-trend trades successfully -> But they know the market really very good!

I also must say that I also leave much on the table -> But a zero loss trade is always better than a loss.

And also if the inside-bar was not triggered because the momentum was too strong to the downside or the S/R was too weak: It does not matter ! You made no loss ! I usually immediately cancel the trade and look for the next trading opportunity ;)

As a trader you must learn to see that the bottle is half full and not half empty ;)

You must always NOT trade primary to make big money - but to save your money - and every trade which is NO-LOSS (which is also a breakeven-trade) is GOOD !

I must say that I do NOT focus of the frequency of trades but the quality.

When you have 3 good setups per month which are all winners and you can achieve a Risk/Reward-Ratio of 1:4 or more you have a gain of 32% per month while risking 2% per trade.

On the other side when I have 30 trades which has a Risk/Reward-Ratio smaller than 1:1 and more than 50% of them went wrong -> You account be busted sooner or later.

I am really happy to see this progress on you.

The only thing you must learn (and this comes only with time) is to trust your system (I say YOUR system, because I am sure will probably change this or that when you are more experienced) and move the trade to breakeven when the trade reached a R:R of 1 or in this particular case: Do NOT move it to breakeven but trail the SL at Inside-Bars, Pin-Bars, S/R-Lines (Especially when a change of trend happened)...

All in all I must say that I think you got the system now and as I can see you also trade it :) This is the correct mindset ... And: Don't worry... You will also have loosing trades *g* ;)

Regarding the Inside-Bar breakout -> They ARE realiable at S/R Lines ... Trust me... The secret is only: You MUST trade them WITH THE TREND -> This means: Do not make order at both boundaries of the outside-bar -> Only in the direction of the TREND!

Hope you will be consistently successful with this method/tools I showed you all here -> Izogrey is on the correct path -> As I said: Not the system is the success -> You must execute it -> btw.: I am still waiting for lots of homeworks ;)

Cheers

fxfxfx

Hi fxfxfx,

 

Just another trade on UC.

 

Reason for the trade: candle pattern developed gradually at the confluence between 23.6 fibo, trend change line on main chart ( H4 ) and a SR line put by me on chart about a week ago.

 

First was the inside bar. I don't know why, but I don't like the ideea to trade the inside bars alone, on a breakout basis - maybe I don't have much experience with them, I have a little fear that, after breakout, the price will explode back into my nose ! :-), I mean it will retrace back rapidly.

 

After that, it was a false downward breakout, which is a long hint, but the trend on the main chart was down, so no action.

 

After, it was the very beautiful pinbar, which also made a double top with the inside bar, just at the trend change line and at 23.6 fibo, and at 7 pips from my own SR dotted line ( which was there for a little over a week ). This means down rejection. Trend on main chart down, but on D1 chart it's up yet. So ... I was shy and didn't start the trade. This hesitation had a cost of 18 pips ( from the close of the pin bar to the actual entry ).

 

http://img713.imageshack.us/img713/4919/ucpatternh4.jpg

 

But when on H1 I saw another very beautiful pinbar at another SR level put by me at the same time as the first one ( the greyed ellipse ), it seemed to me that the classical scenario breakout-pullback-continuation is on its way. I thought it is a surefire 100% successful entry ( as it can be in Forex ), so no more hesitations.

 

I locked 20 pips on 50% after the first H4 bar has finished, and the rest of 50% is on a free ride ...

 

http://img806.imageshack.us/img806/3509/ucentryh1.jpg

 

I think I understood something: that in your system, the filter for the bad situations isn't an indicator, but the correlation between the SR lines and the "quality" of patterns ( by quality I mean their location, their orientation and their relation with the already detected confluence SR regions - the blue rectangles ). This correlation is done by the human brain very fast, so no need for indies. This filter has as a result that the number of trades isn't high ( and this is a problem for an active person without selfcontrol ) but when it's a GO, the system gives you an edge.

 

So thank you for showing your equilibrated system and, if you have some comments, they are very welcomed.

 

Cheers.

Hi crips,

Cool :)

Well done...

I see lots of potential setups in your chart *g*

Cheers

fxfxfx

Here is my homework to find Candlesticks Patterns.

 

http://img96.imageshack.us/img96/6907/eu4hpachartwithfibsandc.gif

 

Uploaded with ImageShack.us

 

Regards

 

Crips

Hi izogrey,

1) I put always a buy-stop or sell-stop order with pre-defined SL -> So to say on a breakout-basis ;)

2) I mean the PIN-BAR at the last setup ... Price-Level 0.9680. At least at my chart a bottom has build then price moved a little bit upwards (1 BAR went upwards) and then a PIN-BAR which broke the bottom to the downside and was rejected to the upside...

Just for information: I trade all setups as bounce of the retracement and not the continuation -> So: Price must always retrace and then I make my order to the opposite... - The candle-formation itself I trade as a breakout...

Cheers

fxfxfx

Hi fxfxfx,

 

Thanks a lot for your comments.

 

Yes, after making the homeworks proposed by you, I can draw good SR lines :-) . Anyway, tomorrow morning I will reanalyse them as part of daily routine.

 

I just have two questions:

 

1) Do you trade inside bar pattern on a simple breakout basis - put an order at the boundary of the outside bar with its SL at half the outside bar and wait for the breakout ? Or there is another way in which you manage the entry ?

 

2) Can you locate the exception against the alignment ( pin bar at double bottom ) ? I cannot find it on the chart ...

 

Cheers

Hi izogrey,

I allowed myself to analyze your chart ;)

I assume that the vertical lines are S/R-Lines ??? (Hopefully)

I looked at the daily chart and saw that during this period the daily-trend was UP -> So I only take trades when the 4-hourly is UP (So to say aligned with the daily-timeframe).

I circled the UP-Setups with a white circle... The only exception where I took a trade against the alignment was the PIN-BAR at the double-bottom as these kind of setups are so strong that they can change the trend.

All others I would have been skipped from my side (They anyway would not got triggered).

Entry-Bar at inside-bar is always the boundary of the outside-bar. SL is half of the Outside-bar. TP is RR of 1:2

EVERY SINGLE Setup would be SUCCESSFUL !!! NO Single loosing trade - So you have drawn very good lines ;)

Hi izogrey,

Good work !

I think you must have now all information to trade successful :)

All elements of my system are now revealed ;)

My last chapter will then only summarize everything and bring it into one common context.

Gr8 work ...

Cheers

fxfxfx

My homework on UC:

http://img24.imageshack.us/img24/2282/ucpatterns.jpg