Kolachi Method of Trading - page 6

Daily Chart:

Looking at the daily chart we can observe that wma5 was rejected by ema55 in early september.After that wma5 mad two attempts to pass down through ema21 but failed.It is expected that on third attempt it should go through ema21 and it should also pass through ema55 as it will be second attempt on it.The bearish divergence on MACD histo is supporting our view.

The obvious target is ema100 at 219.

kolachi

Daily Chart:

Looking at the daily chart we can see that ema21 has been rejected by ema100 and wma5 has been rejected by ema55.The cross betwwen ema21 and ema55 is about to happen and it should thrust price upwards.

The immediate target is top of the doji at 1.9073.There is a possibility that price may test 9100 handle and then retrace back.

kolachi

Daily Chart:

Looking at the daily chart of euro we can see that price is definitely heading up.There is a fresh cross of wma5 and ema21.The approach angle of wma5 towards double band of ema55 and ema100 makes it possible to break through it.

The immediate target is top the doji at 1.2830.The probable target is fourth median line at 1.2880.

The price should touch and return back while wma5 will be changing slope between second and third median.

kolachi

Weekly Performance

Month:October,2006

Week:18-25th day

Equity Change: +3.19%

Pips Pefromance:+710 pips

Kolachi

Please see the chart below.Price has just touched 9100 handle.The anyalysi was dead on and it gave +134 pips.

kolachi

How to place "median fibo lines" on MetaTrader ???

(Sorry, I still newbie).

No Problem.

You can click on indicators and then on moving averages.Once you have placed ema200 on the chart, click on it and a windown will open which will show the menu with an option like "Add Lines".Here you can write 72,-72,116.5 ,-116.5 ,188.5 and -188.5 and so on.

Then click ok.

Here one guy has explained it in detail:

/go?link=http://www.kolachitrader.net/phpBB2/viewtopic.php

Please do not hesitate to post any question of fxfisherman, as I am always ready to help traders in trading.

kolachi

Excellent method Kolachi!

This explains why I was always losing with the moving average cross. It always seems whenever I enter a trade the market immediatly goes the other way. I did not understand your method before, but now its beginning to make sense.

It seems to me that this system is for day traders that can sit at their computer all day.

I work from 9am to 5pm EST. I would only have 20 mins. in the morning to check for price setups before I go to work. I would of course be able to check the night before if that would be any good.

Do you have a method that works on the 4 hour and daily charts? My heart can't take those wild hourly price swings, especially when I'm in a trade during the day and can't do nothing about it (except for stops).

Thanks for the help.

I commend you for your dedication in helping poor Forex losers like myself!

Thanks,
I am a Kolachi Trader now

Further questions.

1. If I am trading on the 4 hour, should I only initiate entries in the daily trend direction or do I trade both ways?

2. What is the best pair for trading during the hours of 6pm to 12pm EST using this method?

Thanks again!