FOREX PRO Weekly May 21-25, 2012

Nai

Recruit
Messages
2
Thank you Sive. It reached support after completed a weekly ab-cd .618 level at around 77.45
 

Aldo Colombo

Corporal
Messages
107
Re: EURCHF spike: There was a comment on Forexlive about hedge funds being killed by the move.... I was long as you since two months ago, and could manage a good profit on the spike!!, I closed everything just in case instability leads to SNB losing control of the situation.
 

squidge42

Corporal
Messages
140
Sive - Do you ever use Squat Bars when you're looking for a reversal?

I have a 4H squat bar (pink on the MFI indicator) on my GMT+3 chart with it low at about 1.25 - from what I've read
(Bill Williams mainly) this is quite a good sign that price will now head north ..

oh and it's a potential stop grabber too...need to wait 3 hrs though haha

Your thoughts please
 

squidge42

Corporal
Messages
140
squidge could you post a chart please so we can see what that looks like?
check out Market Facillitation Index (MFI) it's a standard MT4 indicator...
Market Facilitation Index (MFI) | Forex Indicators Guide
Basically a squat bar or a pink one indicates that the volume is high but the Price Action doesn't match it (a bit like dynamic pressure) and they usually occur at the end of a trend...i have a squat bar on 4h; however i suspect it's due to people taking profit rather than entering long

they don't always indicate the end of a trend but more so high volume with buyers and sellers matched, one side eventually wins and once PA breaks the high/low of the squat bar it can shoot off in that direction...which in itself is a strategy

hope above is useful
 
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Sive Morten

Special Consultant to the FPA
Messages
12,732
Sive - Do you ever use Squat Bars when you're looking for a reversal?

I have a 4H squat bar (pink on the MFI indicator) on my GMT+3 chart with it low at about 1.25 - from what I've read
(Bill Williams mainly) this is quite a good sign that price will now head north ..

oh and it's a potential stop grabber too...need to wait 3 hrs though haha

Your thoughts please

Well, on spot forex this is impossible, since you do not know tick volume. You may be see volume of just your broker.
I do not use it very often, mostly as confirmation.

squidge could you post a chart please so we can see what that looks like?
Triantus, in our Forex Military school, there is an example of squat and explanation, but I"ve used Crude Oil chart as example. Unfortunately I do not remember exactly in what chapter I talked about it :)
 

MidnightRun

Sergeant
Messages
186
The pair hit 1.2494 today. Sive, do you think this level satisfy the objective requirement (since there are no exact figures, only levels-bands) and a correction is now in order?
Thanks.
 
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