I echo bubble's comments...nice trade
I would imagine you're revelling in this thread huh
Getting the hang of this now
I've been watching the indexes for a change of direction, low and behold Bubbles S/R system gives us the signals.
Missed The Boat
Looks like I really missed the boat on that last trade. Still have so much to learn. Take a look at my gbpyen 15M chart. I have re-labeled it, does it look correct now. Since we've broken the previous high @ 239.84 (gray area) and established a High @ 240.59 (blue box) are we looking at a possible trend change if we get a bounce off the 239.84 level? Have I labeled the low and high correctly in the blue box since it's the start of a possible up trend?
Things are a lot harder on those timeframes, i still have a lot to learn myself but i would suggest switching to a longer timeframe to identify trends. You can monitor more currencies as you have more time to think and the trends are more significant.
Nothing to stop you zooming into the 15 to identify touches, but i would stick to 60min + for trend identification. The shorter the timeframe the harder and faster it can be. Just my opinion.
Especially on that wild Gbp/Jpy, it will eat you alive on the 15 min chart!!
Short trade setup on the Swissy. Lets see how this pans out!
I see a different senario. I think it may help if you use the H,L, HL, HH markers on your charts. I do it religiously now and it helps me.
P.S. I'm not trying to be a smart arse, just learning here. Have a great day.
if I good understand ...?? there is strong SBR , trend 1 hour is UP ,trend 4 hour is down but direction is UP ... what is more important now ?? trend or direction on 4 hour?? I think your trade is counter trade am I all right ???
have a nice "pipping" day
Yes, we are looking from different timeframes, and it can be ambiguous as they will have different trends. I am looking at this trade from a 4 hr perspective, with this peak, the retest of the previous trough on the 4 hour, being the lower high. Price has hit this area twice on the hourly so i went short.
I have since adjusted my stop to 00 as it still gives a small risk compared with the potential reward.
It always depends which timeframe you are operating from. I would not consider this trade a counter trend trade as i am trading off the 4 hour chart. You will often see a trend in the opposite direction on the lower timeframe as price retraces. In this instance, the 1hr timeframe trend is up, but it has reached a major reistance level, which is the old support level on the 4 hour. That level was a very strong support level, which price has broke through.
Price hit it once, which can be seen on the hourly, it has since made a stop run on any early shorts with the second spike up. We now have an inverted hammer on the 1hr.
I am not saying that this will be a winning trade, but i am simply looking for opps that are high probability. IMO, given Bubbles technique, this looks like it has a high prob of rebounding off this level and continuing in the major direction of the 4hr and daily trend.
If it doesn't, then we lose and its on to the next one!!
I may be wrong and i am sure Bubble will correct me if i am!
Will be interesting to here Bubble's comments on this one. From my 30 min perspective I was keen on a long, though stayed out after checking up on the 4 hr where there is 'massive' area of SBR. If too much conflict stay out ! To enter a trade I always check to see there is a reasonable clean run ahead without a barrier/s. What is a reasonable clean run is open for discussion !?
Usually on a higher time frame the stop is likely be wider than on a shorter one, though in both cases depends on past price action.