Verb's TA Thread

[verbtheory]

I've decided to start up my own technical analysis and how I view the market since I do this elsewhere as well, might as well put it up here as I find myself lurking from time to time.

 

I mainly trade GBPUSD (cable) and EURUSD (fiber). I'll break down what I see, hopefully you see the same. :)

 

Ok here's what I think is happening with the Cable and Fiber. Very similar stories here.

 

I'm standing on the sidelines until I see the following:

http://i31.tinypic.com/35jb8z5.jpg

 

http://i27.tinypic.com/2962l5k.jpg

 

Bottomline: wait for the price to get back to the median and a bullish setup before making a move on the daily.

 

Seems that we are in the middle of a shakeout.

 

Happy Trading!

[verbtheory]

Re: Verb's TA Thread

 

Reserving this for later. Will add indicators and templates and such. 8-)

 

Trade Setups:

http://i31.tinypic.com/2vhxe01.jpg

 

Trade Validation:

3 EMA's for most of my trend confirmation:

- 10 EMA (applied to close, 0 shift) = Fast

- 50 EMA (applied to close, 0 shift) = Medium

- 150 EMA (applied to close, 0 shift) = Slow

 

When the fast is above the medium and the medium above the slow and as said before the gap between MA's starts to widen and expand, the trend can be considered strong.

 

The key though to trends is support & resistance.

 

If you have an up trend that closes above resistance then you will see trend continue. If it closes below then beware as there may be some sideways motion before continuing the trend. There's a bunch of psychology thats behind this but I can get into that on a different post. Vice versa for short trends.

 

I never use MA crossover's as trade signals, they are trade validation when you have a trade setup.

 

These are validated by price action around support & resistance as well as confluence and fibs.

 

Updates:

- Added trade setups

- Added trade validation part 1

[⭐ BhaiSahib]

Re: Verb's TA Thread

 

Hey Verb, I keep an eye on gartley formations on these pairs thought you might like to see the gartley's presently formed on daily charts of EU and GU

[verbtheory]

Re: Verb's TA Thread

 

Nice catch, B!

 

Looks like the Gartleys agree with the overall assessment. 8-)

 

I have watched Gartleys a lot earlier on and found that they are pretty reliable on the higher timeframes. The key is finding the right entry with Gartleys and I believe price action is the only way to go. I had the Gartley indi from funyoo on before but it just wrecks up my zen on my master analysis charts.

 

Ciao!

 

 

Hey Verb, I keep an eye on gartley formations on these pairs thought you might like to see the gartley's presently formed on daily charts of EU and GU

[verbtheory]

Re: Verb's TA Thread

 

Both the Cable and EURUSD are both at the bottom of their channels on H4 and descending timeframes.

 

Yes it's NFP day and yes the EURUSD took a nose dive but this is a pullback and an opportunity to buy at the bottom.

 

I am now long on both pairs off of Pinbar setups on the M30.

 

http://i25.tinypic.com/971dz8.jp

 

EURUSD:

M30 Entry: Pinbar @ 1.4183

Take Profit: 1.4450 (Psych)

Target 1 & Move to Breakeven: 1.4250 (just under MML)

Mental Stop: 1.4145 (just under MML)

 

GBPUSD:

M30 Entry: Pinbar @ 1.6701

Take Profit:: 1.7050 (Psych)

Move to Breakeven: 1.6800 (just under MML)

Mental Stop: 1.6595 (just under MML)

 

Ok our first trades are on!

 

Ciao!

[forexample]

Re: Verb's TA Thread

 

Nice work verb. I see you have been working hard on Tom William VSA analysis. I don't have the volume meter you are using there which makes the volume a lot more clear than what ZI have in MT4

 

. What you are working on here is very much where I want to see my future trading going...D1 analysis, few indicators, using PA and volume for entries etc. If you could post a zip/rar file with your indicators & template I would like to follow this and hopefully become a contributing member to this thread.

[⭐ Kardel Sharpeye]

Re: Verb's TA Thread

 

moved to trading system ... :)

[trading]

Re: Verb's TA Thread

 

I think using Inside & Outside Bar indicator, DIBS have one, will give a little help to recognize IB or OB...

[verbtheory]

Re: Verb's TA Thread

 

Thanks for moving the thread, I thought about this after the fact.

 

I'll post a template and indicators here in the next day or so. Just want to strip it down to the bare minimum before putting it up.

 

I'm also working on the rules and such.

 

Regarding inside bar and outside bar, yes to OB. No to IB. Inside bars really dont give you a trade direction and that's sort of the idea. Outside bar is already in the template. You can see it.

 

BEOVB = Bearish Outside Vertical Bar

BUOVB = Bullish Outside Veritcal Bar

 

Trades are moving along as planned, let's see what happens in UK session.

 

http://i28.tinypic.com/2zqramb.jpg

 

Ciao!

[verbtheory]

Re: Verb's TA Thread

 

It's definitely a start.

 

I'm going to be doing tweaking live on this thread. The UK session has put these trades into drawdown so I'm seeing what's going to happen.

 

My observation is that the Murrey Math Lines are holding much stronger as support & resistance than the SHI channel. I find the channel breaks a LOT and I think is probably best for just trend confirmation. Moving it there.

 

In examining where price is currently with relation to MML, it has breached the 4/8 lines which would be too early for a buy entry.

 

Wont be using SHI as setup signals instead will be using MML along with Price Action.

 

MML Rules:

Shorts:

8/8 -1 lot

+1/8 -2 lots

+2/8 -4 lots

 

Longs:

0/8 -1 lot

-1/8 -2 lots

-2/8 -4 lots

 

Work in progress. I will release indicators when I feel we have a better sense of how MML reacts with S&R.

 

Ciao!

[vladv]

Re: Verb's TA Thread

 

Any progress with this system,verbtheory?Please I want to test it as soon as it's ready! ;)) :D

[verbtheory]

Re: Verb's TA Thread

 

Still working through the system. This type of trading between S&R takes a long time. I survived drawdown on EURUSD then got stopped out at 1.4225 for about +42 pips.

 

The GBPUSD trade is still in drawdown so still in development. I'm not happy with the duration of these trades.

 

Timing will need to be adjusted also I believe another major issue I had was the Murrey Math Lines were set to H4, I'm adjusting this to Daily (1440) with the basic premise being that we are using H4 for entrys and Daily for direction. I believe this will clean it up a bit.

 

The H4 chart showed current price between 1/8 and 2/8 on the cable however with the Daily setting it now displays between 2/8 and 3/8. That's a huge difference given the duration of these trades.

 

So at this point:

EURUSD: seems to be at the bottom of the trading range at MML 3/8. It should range to 5/8 around 1.4280.

GBPUSD: broke below 3/8 however trading has stayed above this level over the past 10 days or so. I expect this to head up to 4/8 to 1.6600 before the market jams up.

 

Ok going long on both on H4 price action when:

- price breaks to 0/8, -1/8 & -2/8, I'll drop trades in grid fashion.

- candle completes above 4/8, then I'll go long, if not going short at 4/8.

 

I should probably test this on H1 as it will go faster in developing but I've got other trading I'm doing... only so many hours in a day.

 

Ciao!

[nkp9999]

Re: Verb's TA Thread

 

Hi Verb,

 

This is an interesting topic and I liked the charts that you posted on the first couple of posts.

 

I have to agree with you that it would be good to be able to utilize this method on a shorter timeframe.

 

So, please keep us posted on any new development on the shorter timeframe.

 

Thanks.

[verbtheory]

Re: Verb's TA Thread

 

Just a quick post to let everyone know I'm not dead. I've just been busy with developing the system a bit more. Will update soon, sorry for the delay.

 

Ciao!

[vladv]

Re: Verb's TA Thread

 

This is really a good news,verbtheory!I can't wait to test and use your trading system.....