forexintel

BUY LOW|SELL HIGH – A simple strategy indeed. But it is often confused with LOWEST and HIGHEST. There are simply no LOWEST or HIGHEST as they are breached every time. With the right combination of Zigzag, Fibonacci retracements, Moving averages and Cycle lines, it is possible to identify the HIGH and LOW of the main trends and its sub trends. 3q method attempts to do the same.
 
INTRODUCTION
A trading strategy inspired by the principle of a Japanese Candlestick. A typical candlestick consists of a body and wick on either side of the body forming 3 distinct quadrants. (Fig1.) Here white candle is a BULL candle, where the closing price is above the opening price and the black candle is a BEAR candle, where the closing price is below the opening price.
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig1.gif
FIG 1
The sameH4 candle when looked in a H1 chart looks like this. (Fig2.) We see that the white H4 candle consists of 2 black H1 candles and 2 white H1 candles. When we see the same candle from the M5
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig2.gif
FIG 2
Chart, which is shown in fig3, we realize that, a single white H4 candle is made up of a combination of up and down M5 candles and are highly volatile. So, lower time frames are volatile but can give early entry.
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig3.gif
FIG 3
BUY LOW|SELL HIGH
The principal trading strategy of 3q method is to BUY LOW and SELL HIGH. In other words, we should ideally buy when the prices are below the opening prices of a WHITE candle and sell when the prices are above the opening prices of a BLACK candle. How we do know if the current candle will be BLACK or WHITE?
We need to know 3 critical points to execute a profitable trade.
1. The HIGH for a SELL and the LOW for a BUY.
2. The start and end of a Price trend.
3. If possible, the right time of entry and exit.
1. ZIGZAG and FIBO:
Each candle is a cocktail of trends in itself in its lower time frames. The main trend also has many sub trends. But each candle has a HIGH and a LOW. To make it visually clear, Zigzag indicator is very useful (Fig 4.)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig4.gif
FIG 4
The right zigzag number would filter the small sub trends and capture only the relevant main trends depending on the time frame. In fig 4, you can see the HIGH and LOW of the H4 candle represented by a LOW and HIGH zigzag. Candles or trends of different time frames would require different zigzag numbers. But the zigzag can keep getting updated even after forming a LOW zigzag or a HIGH zigzag. Hence we need to use zigzag in combination with Fibonacci retracements to identify the potential support and resistance levels (Fig5.)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig5.gif
FIG 5
Each and every candle and hence, every trend has a mathematical proportion to its previous trend. Here you see that the prices are obeying those mathematical proportions based on the modified Fibonacci retracements. You can see how the prices obeyed the 3 quadrants of the Fibonacci retracements. But we still need to know the start of a trend.
2. MOVING AVERAGES:
Moving averages can be used to identify the start and end of a trend direction. (Fig6)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig6.gif
FIG 6
When the red moving average is above the black moving average it is a BUY and when the red moving average is below the black moving average, it is a SELL. It has to be observed on multiple timeframes to filter out sub trends.
For example, we have added the M15 equivalent of the moving averages in M5 chart (Fig7)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig7.gif
FIG 7
As we already know, we get an early entry when we look at the M5 moving averages. But when we look at the M15 equivalents, we realize that it is still a BUY trend.
Prices keep touching the moving averages once every few minutes or hours or days or months or years, depending on the timeframe. You can see from fig 7, how the prices keep touching, not only the M5 moving averages, but also the M15 equivalents. So looking at higher time frames, you can differentiate a retracement from a reversal. When the prices are away from the moving averages, the prices either move side wards to wait for the moving average or retrace back to meet the moving averages. (Fig8)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig8.gif
FIG 8
3. CYCLE LINES:
Let us use this tool to divide the H4 candle into 3 equal parts: (Fig9)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig9.gif
FIG 9
We see that the prices were moving side wards in the 1st quadrant of the vertical cycle line and in the 1st quadrant of the horizontal fibo retracement.
In the 2nd quadrant of the cycle line we get a clear signal for BUY when the red moving average locks above the black moving average. It is ideal for a BUY as the prices reversed in 1st quadrant of the Fibonacci retracement with the combination of a LOW zigzag, confirming BUY LOW.
The prices retrace to touch the moving averages and close above the HIGH of 2nd quadrant. The BUY order can be closed at end of this H4 candle or kept open if higher time frames indicate a continuation of the trend.
The reverse of this would be applicable for a SELL, a price movement from 3rd quadrant to 2nd and 1st quadrants, confirmed by the locking of the red moving average below the black moving average. But most importantly the HIGH should be confirmed by a combination of HIGH zigzag and a strong resistance level from the 3rd quadrant of Fibo retracements.
This is applicable in every time frame, every financial market!
We will see some examples of price movements on a weekly chart, which represents a year’s price movements. Some examples below, but with additional details.:
http://i1115.photobucket.com/albums/k543/ponforex/3q/gold.gif
GOLD
only 10 images allowed
DOW JONES INDEX
only 10 images allowed
GBPJPY
only 10 images allowed
S&P 500
only 10 images allowed
SILVER

BUY LOW|SELL HIGH – A simple strategy indeed. But it is often confused with LOWEST and HIGHEST. There are simply no LOWEST or HIGHEST as they are breached every time. With the right combination of Zigzag, Fibonacci retracements, Moving averages and Cycle lines, it is possible to identify the HIGH and LOW of the main trends and its sub trends. 3q method attempts to do the same.
 
INTRODUCTION
A trading strategy inspired by the principle of a Japanese Candlestick. A typical candlestick consists of a body and wick on either side of the body forming 3 distinct quadrants. (Fig1.) Here white candle is a BULL candle, where the closing price is above the opening price and the black candle is a BEAR candle, where the closing price is below the opening price.
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig1.gif
FIG 1
The sameH4 candle when looked in a H1 chart looks like this. (Fig2.) We see that the white H4 candle consists of 2 black H1 candles and 2 white H1 candles. When we see the same candle from the M5
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig2.gif
FIG 2
Chart, which is shown in fig3, we realize that, a single white H4 candle is made up of a combination of up and down M5 candles and are highly volatile. So, lower time frames are volatile but can give early entry.
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig3.gif
FIG 3
BUY LOW|SELL HIGH
The principal trading strategy of 3q method is to BUY LOW and SELL HIGH. In other words, we should ideally buy when the prices are below the opening prices of a WHITE candle and sell when the prices are above the opening prices of a BLACK candle. How we do know if the current candle will be BLACK or WHITE?
We need to know 3 critical points to execute a profitable trade.
1. The HIGH for a SELL and the LOW for a BUY.
2. The start and end of a Price trend.
3. If possible, the right time of entry and exit.
1. ZIGZAG and FIBO:
Each candle is a cocktail of trends in itself in its lower time frames. The main trend also has many sub trends. But each candle has a HIGH and a LOW. To make it visually clear, Zigzag indicator is very useful (Fig 4.)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig4.gif
FIG 4
The right zigzag number would filter the small sub trends and capture only the relevant main trends depending on the time frame. In fig 4, you can see the HIGH and LOW of the H4 candle represented by a LOW and HIGH zigzag. Candles or trends of different time frames would require different zigzag numbers. But the zigzag can keep getting updated even after forming a LOW zigzag or a HIGH zigzag. Hence we need to use zigzag in combination with Fibonacci retracements to identify the potential support and resistance levels (Fig5.)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig5.gif
FIG 5
Each and every candle and hence, every trend has a mathematical proportion to its previous trend. Here you see that the prices are obeying those mathematical proportions based on the modified Fibonacci retracements. You can see how the prices obeyed the 3 quadrants of the Fibonacci retracements. But we still need to know the start of a trend.
2. MOVING AVERAGES:
Moving averages can be used to identify the start and end of a trend direction. (Fig6)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig6.gif
FIG 6
When the red moving average is above the black moving average it is a BUY and when the red moving average is below the black moving average, it is a SELL. It has to be observed on multiple timeframes to filter out sub trends.
For example, we have added the M15 equivalent of the moving averages in M5 chart (Fig7)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig7.gif
FIG 7
As we already know, we get an early entry when we look at the M5 moving averages. But when we look at the M15 equivalents, we realize that it is still a BUY trend.
Prices keep touching the moving averages once every few minutes or hours or days or months or years, depending on the timeframe. You can see from fig 7, how the prices keep touching, not only the M5 moving averages, but also the M15 equivalents. So looking at higher time frames, you can differentiate a retracement from a reversal. When the prices are away from the moving averages, the prices either move side wards to wait for the moving average or retrace back to meet the moving averages. (Fig8)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig8.gif
FIG 8
3. CYCLE LINES:
Let us use this tool to divide the H4 candle into 3 equal parts: (Fig9)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig9.gif
FIG 9
We see that the prices were moving side wards in the 1st quadrant of the vertical cycle line and in the 1st quadrant of the horizontal fibo retracement.
In the 2nd quadrant of the cycle line we get a clear signal for BUY when the red moving average locks above the black moving average. It is ideal for a BUY as the prices reversed in 1st quadrant of the Fibonacci retracement with the combination of a LOW zigzag, confirming BUY LOW.
The prices retrace to touch the moving averages and close above the HIGH of 2nd quadrant. The BUY order can be closed at end of this H4 candle or kept open if higher time frames indicate a continuation of the trend.
The reverse of this would be applicable for a SELL, a price movement from 3rd quadrant to 2nd and 1st quadrants, confirmed by the locking of the red moving average below the black moving average. But most importantly the HIGH should be confirmed by a combination of HIGH zigzag and a strong resistance level from the 3rd quadrant of Fibo retracements.
This is applicable in every time frame, every financial market!
We will see some examples of price movements on a weekly chart, which represents a year’s price movements. Some examples below, but with additional details.:
http://i1115.photobucket.com/albums/k543/ponforex/3q/gold.gif
GOLD
only 10 images allowed
DOW JONES INDEX
only 10 images allowed
GBPJPY
only 10 images allowed
S&P 500
only 10 images allowed
SILVER

=D>Wow! Kelvin. That was nice of you to say these things in this tone. I love this tone you are talking now. Let us maintain this tone without any asterisks in the thread!.
 
I'll also take your suggestions about posting my trades here. I'll post demo account trades starting with $500. I am a part time trader, mainly a lighting consultant, so no scalping or intra day trades.

=D>Wow! Kelvin. That was nice of you to say these things in this tone. I love this tone you are talking now. Let us maintain this tone without any asterisks in the thread!.
 
I'll also take your suggestions about posting my trades here. I'll post demo account trades starting with $500. I am a part time trader, mainly a lighting consultant, so no scalping or intra day trades.

Prices at the end of the 3rd quadrant. Read the method for more clarity. People have been attributing all kinds of news like greece, eurozone etc. Wonder what triggered a rise in euro? Is it the news or the prices themselves?
http://i1115.photobucket.com/albums/k543/ponforex/3q/eurusd18512.gif
http://i1115.photobucket.com/albums/k543/ponforex/3q/gold18512.gif
Watch GBPJPY range in this level and reverse.
http://i1115.photobucket.com/albums/k543/ponforex/3q/gbpjpy18512.gif
http://i1115.photobucket.com/albums/k543/ponforex/3q/dji18512.gif
http://i1115.photobucket.com/albums/k543/ponforex/3q/audchf18512.gif

Prices at the beginning of the 3rd quadrant of the week.
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/gold17512.gif
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/gbpjpy17512.gif
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/eurusd17512.gif
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/dji17512.gif
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/audchf17512.gif

Some of the set up for the 2nd quadrant of this week.
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/gold16512.gif
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/gbpjpy16512.gif
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/eurusd16512.gif
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/dji16512.gif
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/audchf16512.gif

Some of the set ups for the 1st quadrant of the week, which happens to be the 2nd quadrant of the month as you can see in the gbpjpy chart.
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/gold14512.gif
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/gbpjpy14512.gif
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/eurusd14512.gif
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/audchf14512.gif
 
http://i1115.photobucket.com/albums/k543/ponforex/3q/dji14512.gif

BUY LOW|SELL HIGH – A simple strategy indeed. But it is often confused with LOWEST and HIGHEST. There are simply no LOWEST or HIGHEST as they are breached every time. With the right combination of Zigzag, Fibonacci retracements, Moving averages and Cycle lines, it is possible to identify the HIGH and LOW of the main trends and its sub trends. 3q method attempts to do the same.
 
INTRODUCTION
A trading strategy inspired by the principle of a Japanese Candlestick. A typical candlestick consists of a body and wick on either side of the body forming 3 distinct quadrants. (Fig1.) Here white candle is a BULL candle, where the closing price is above the opening price and the black candle is a BEAR candle, where the closing price is below the opening price.
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig1.gif
FIG 1
The sameH4 candle when looked in a H1 chart looks like this. (Fig2.) We see that the white H4 candle consists of 2 black H1 candles and 2 white H1 candles. When we see the same candle from the M5
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig2.gif
FIG 2
Chart, which is shown in fig3, we realize that, a single white H4 candle is made up of a combination of up and down M5 candles and are highly volatile. So, lower time frames are volatile but can give early entry.
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig3.gif
FIG 3
BUY LOW|SELL HIGH
The principal trading strategy of 3q method is to BUY LOW and SELL HIGH. In other words, we should ideally buy when the prices are below the opening prices of a WHITE candle and sell when the prices are above the opening prices of a BLACK candle. How we do know if the current candle will be BLACK or WHITE?
We need to know 3 critical points to execute a profitable trade.
1. The HIGH for a SELL and the LOW for a BUY.
2. The start and end of a Price trend.
3. If possible, the right time of entry and exit.
1. ZIGZAG and FIBO:
Each candle is a cocktail of trends in itself in its lower time frames. The main trend also has many sub trends. But each candle has a HIGH and a LOW. To make it visually clear, Zigzag indicator is very useful (Fig 4.)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig4.gif
FIG 4
The right zigzag number would filter the small sub trends and capture only the relevant main trends depending on the time frame. In fig 4, you can see the HIGH and LOW of the H4 candle represented by a LOW and HIGH zigzag. Candles or trends of different time frames would require different zigzag numbers. But the zigzag can keep getting updated even after forming a LOW zigzag or a HIGH zigzag. Hence we need to use zigzag in combination with Fibonacci retracements to identify the potential support and resistance levels (Fig5.)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig5.gif
FIG 5
Each and every candle and hence, every trend has a mathematical proportion to its previous trend. Here you see that the prices are obeying those mathematical proportions based on the modified Fibonacci retracements. You can see how the prices obeyed the 3 quadrants of the Fibonacci retracements. But we still need to know the start of a trend.
2. MOVING AVERAGES:
Moving averages can be used to identify the start and end of a trend direction. (Fig6)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig6.gif
FIG 6
When the red moving average is above the black moving average it is a BUY and when the red moving average is below the black moving average, it is a SELL. It has to be observed on multiple timeframes to filter out sub trends.
For example, we have added the M15 equivalent of the moving averages in M5 chart (Fig7)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig7.gif
FIG 7
As we already know, we get an early entry when we look at the M5 moving averages. But when we look at the M15 equivalents, we realize that it is still a BUY trend.
Prices keep touching the moving averages once every few minutes or hours or days or months or years, depending on the timeframe. You can see from fig 7, how the prices keep touching, not only the M5 moving averages, but also the M15 equivalents. So looking at higher time frames, you can differentiate a retracement from a reversal. When the prices are away from the moving averages, the prices either move side wards to wait for the moving average or retrace back to meet the moving averages. (Fig8)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig8.gif
FIG 8
3. CYCLE LINES:
Let us use this tool to divide the H4 candle into 3 equal parts: (Fig9)
http://i1115.photobucket.com/albums/k543/ponforex/3q/fig9.gif
FIG 9
We see that the prices were moving side wards in the 1st quadrant of the vertical cycle line and in the 1st quadrant of the horizontal fibo retracement.
In the 2nd quadrant of the cycle line we get a clear signal for BUY when the red moving average locks above the black moving average. It is ideal for a BUY as the prices reversed in 1st quadrant of the Fibonacci retracement with the combination of a LOW zigzag, confirming BUY LOW.
The prices retrace to touch the moving averages and close above the HIGH of 2nd quadrant. The BUY order can be closed at end of this H4 candle or kept open if higher time frames indicate a continuation of the trend.
The reverse of this would be applicable for a SELL, a price movement from 3rd quadrant to 2nd and 1st quadrants, confirmed by the locking of the red moving average below the black moving average. But most importantly the HIGH should be confirmed by a combination of HIGH zigzag and a strong resistance level from the 3rd quadrant of Fibo retracements.
This is applicable in every time frame, every financial market!
We will see some examples of price movements on a weekly chart, which represents a year’s price movements. Some examples below, but with additional details.:
http://i1115.photobucket.com/albums/k543/ponforex/3q/gold.gif
GOLD
only 10 images allowed
DOW JONES INDEX
only 10 images allowed
GBPJPY
only 10 images allowed
S&P 500
only 10 images allowed
SILVER

:))Go through the messages, edits and the tone to see who is getting angry. You don't get it do you?, when i say " it is unfair to those who bought it". Change your value system. You seem to have not changed your noble intentions since 2008 till today when you "guessed" my numbers.
Your messages never conveyed your "advice" to post trades. It contained abusive language and ridiculed the fact that you had to pay for it. I have a thread "Gold today", where i have said, two weeks ago, that the gold prices will reverse to 1626.06. In EURUSD thread, i have said that it is poised to bounce back. In GBPJPY, i have said that it will range at this level. Is that not calling the trade? I have shown my trade results in the website, i have vividly explained order entry and order exits in the Week 2 preview that you did not have to guess the numbers. In fact i have put so many moving averages, that anybody could have guessed it. The trouble is when you want shortcuts, when you want it in a hurry, when you judge too quickly. Read all my posts and judge me like i judged you from your posts. That is why profiles are there.
How does my posting trades here guarantee that others using the method also will get the same profit and loss? No system can guarantee that everybody will get the same results. Show me other trading methods who show this much trade results as proof. I do not promise millions, or even the consistency of profits shown in my trading results. But if people can practice with discipline, honesty and loyalty, then i can guide them to profitable ways. There are no shortcuts.
 
And thank you for spicing up my thread.