FOREX PRO Weekly February 04-08, 2013

[Sive Morten]

Hi Sive,

I have been treating the 4-hr pattern on EURUSD as a diamond with a target of 1.3458. Do you have any comment on this?

Hi Cosmos,
well, I wouldn't call it as diamond, because Diamond should be extended in time pattern with clearly readable shape and lines - something that we've traded on hourly 2 weeks ago. But, still you probably have a good trade anyway

Might we look for a double rep buy on the GBPUSD, Daily, if we get a close above the 3x3 (in red)? With a target of around 1.59?

Theoretically no, because market should not reach any significant resistance level - that is what makes DRPO to work. Here we've traded B&B right at major 3/8 resistance. If market will form some sort of W&R of previous low and then will confirm DRPO - then it could work as LAL pattern.

Hey Sive,

I have a couple of questions regarding entry tactics.

I was just wondering if it is suitable to apply Minesweeper A entry tactic for current price action? We can use 4H K-Support as the support for current retracement and wait until hourly trend turns bullish and look to see if support actually exists and only after that, apply nearest Fib support to enter long. I understand market now is about ~ 20 pips below 4H K-Support but if I remember correctly, you have told us K-areas are usually more of a "zone" than actual pips-to-pips support or resistance so would it be okay to say that 4H K-Support still somewhat in play currently?

Does this make sense? Am I using this tactic correctly? And would it work for current price action?

Lastly, I just want to make sure I understand this correctly. Minesweeper B is a more conservative tactic than Minesweeper A. Is this correct? For both Minesweepers, you have to wait and see that there is actually support (or resistance) but for Minesweeper B, is it safe to say that it is more conservative because you wait for a longer period of time for market to confirm price action and then to find K-areas according to such price action?

Whereas for Minesweeper A, all you have to do is look for some sort of support (or resistance) in a larger TF and then lower your TF to actually see if support actually exists and then after that, just wait for lower TF to confirm bullish trend and then enter at 3/8 support (or retracement)?

Thanks, Sive!

Best,
Brandon
View attachment 8256

Hi Brandon,
in general your thoughts are corrent in terms of undertsanding Minsweeper tactic and difference between A and B. To get "B" tactic you need longer move out from support, because you need K-support to enter. Yes, this is more conservative tactics.
Speaking about current situation - first you need to get targets from higher time frames and these targets point now on lower move down - bearish engulfing, oversold level and harmonic swing. That's why applying Minesweeper A around 4-hour K level is not ,say, reasonable now. Because now we definitely will get deeper retracement.
So, the general rule could be applied here - longer time frames overrule lower time frames. It means that if daily pattern suggests deeper move - you should not try to enter before it. Minesweeper is just a technic, it should be applied at apropriate levels. Also important issue is that daily trend should hold bullish at support where you intend to enter Long.

POSSIBLE Daily SG?

I hope so.

 

[healer22]

Thanks I had to hedge my position i just hope i can successfully come out

 

[purusamy]

Sorry - this could be the wrong place to enquire the following :
I understand that Sive Sir has given some lessons on CANDLESTICKS.
I would like to learn from it - can somebody please give me a lead - where to find it?

Samy

 

[cosmos]

How about a B&B sell on 4-hr from 1.3635 with a target of 1.3522 for those who are bullish, and an A-B-C-D and bearish engulfing target of 1.3356 for those are bearish?

 

[BeeKay8]

How about a B&B sell from 1.3613 with an A-B-C-D and bearish engulfing target of 1.3356?

I'm not sure. Correct me if I am wrong but I don't think there is enough thrust on the daily to call this a B&B. Also we have bullish SG right now and target of this is above current highs on daily.

OR IF we can call this a B&B, (which I don't think we can) then we hit daily K-support yesterday @ 1.345x. That could have been context for trading because as stated in the DiNapoli book, B&B can take 1-3 periods for the retracement and we had 2 retracement periods on the daily until we hit the Daily K-Support.

SG is not confirmed yet, though. If price action holds above 1.3520 for 3 more hours, we will have confirmed SG.

 

[DJG]

I am not sure , but i think Cosmos is talking about the 4h TF not daily with the abcd pattern forming on 1h

 

[cosmos]

I am not sure , but i think Cosmos is talking about the 4h TF not daily with the abcd pattern forming on 1h

yes, on the 4-Hr, I should have posted a chart, which I have now.

 

[BeeKay8]

Hi Brandon,
in general your thoughts are corrent in terms of undertsanding Minsweeper tactic and difference between A and B. To get "B" tactic you need longer move out from support, because you need K-support to enter. Yes, this is more conservative tactics.
Speaking about current situation - first you need to get targets from higher time frames and these targets point now on lower move down - bearish engulfing, oversold level and harmonic swing. That's why applying Minesweeper A around 4-hour K level is not ,say, reasonable now. Because now we definitely will get deeper retracement.
So, the general rule could be applied here - longer time frames overrule lower time frames. It means that if daily pattern suggests deeper move - you should not try to enter before it. Minesweeper is just a technic, it should be applied at apropriate levels. Also important issue is that daily trend should hold bullish at support where you intend to enter Long.

Hey Sive,

Instead of the 4H K-support, could I have used daily K-support as my basis for using Minesweeper A?

There was a retracement yesterday as we all know but there was daily K-support @ 1.3434. Market was ~ 15 pips above that level and turned back to the upside and even created a SG on the daily.

Could I have used this daily K-support as a predetermined support level, waited for actual price action to show that retracement is over, waited for hourly chart to turn bullish, and then took nearest 3/8 support to enter LONG?

Below is a M30 chart and is how I entered last night based on the first hourly swing up after intraday charts turned bullish and took the 3/8 nearest support.



I just want to know if I played it correctly or if I simply got lucky by daily SG. I know you said last night that 4H K-support should not be used for Minesweeper tactic because larger timeframe points to deeper retracement so I was just wondering if I could instead use daily K-support.

Thanks a lot, Sive!

Best,
Brandon

 

[Marky$]

Hi Brandon,

Do I get it right that SG is a Stop Loss Grabber?
Correct me if I'm wrong, please.

 

[Marky$]

Hi guys,

What do you think about that animal on GBPUSD H4? Isn't it butterfly buy pattern?