FOREX PRO Weekly September 12-16, 2011

[rashidin5178]

Potential Gartley 222 Buy at Daily Timeframe

Hi Sive,

I'm also found potential daily gartley 222 buy pattern with target (D) around 1.34 area which is 1.618 of BC leg but the problem is CD leg maybe much more steeper than AB leg, at least curently.

Hope you can make some comments, Sir.

Thanks and Best Regards

 

[Sive Morten]

Hi Sive,

I'm also found potential daily gartley 222 buy pattern with target (D) around 1.34 area which is 1.618 of BC leg but the problem is CD leg maybe much more steeper than AB leg, at least curently.

Hope you can make some comments, Sir.

Thanks and Best Regards

Hi Rashidin,
well, I do not like very much AB-CD move inside that pattern, precisely speaking it's shape - it's not very harmonic.
Still, may be you can treat it as 222. It can lead to upward retracement, since the target of AB-CD creates an Agreement with 1.3480 weekly Fib support and it very close to monthly K-area.

 

[rashidin5178]

Hi Rashidin,
well, I do not like very much AB-CD move inside that pattern, precisely speaking it's shape - it's not very harmonic.
Still, may be you can treat it as 222. It can lead to upward retracement, since the target of AB-CD creates an Agreement with 1.3480 weekly Fib support and it very close to monthly K-area.

Yes, I'm also think the same like you. :unhappy:

But perhaps, still it will workable as the target is almost the same as per your update.

Anyway, thanks a lot for your reply.

Thanks and Best Regards

 

[yousuf]

Hi sive

Hey sive, we have a good DRPO buy pattern on the 4 hour chart, at 13.00 hour gmt just at the start of the american session, but im not sure to go long as it is against the trend and the market has just done a wash and rinse of the previous high's along 1.37

 

[Sive Morten]

Hey sive, we have a good DRPO buy pattern on the 4 hour chart, at 13.00 hour gmt just at the start of the american session, but im not sure to go long as it is against the trend and the market has just done a wash and rinse of the previous high's along 1.37

Yes, yousuf, I'm also not very fascinating with it. Probably I skip buying on it, besides, this DRPO is not very pretty, it's more LAL. Besides, when DRPO usually shows another type of price action. Here we do not see it.

But in general - just for information, DRPO is directional signal and direction overrules trend.

 

[Geert Anthonis]

Understood...

Hi Geert,
I had the same problems during my initial steps in trading. The major reason is that we can't separate major from the minor. Major is overall context - direction in which you have to trade.

It seems that there is a too much emotional action in your trading. In fact, trading is just your action in a row with what your analysis tells you. First you have to get a context - up or down. IF you have down context - you can't Buy, no matter expect you retracement up or not. IF context is down, you can use this retracement to sell the rally at better level, but not to buy.
First - context. How to creat it-that is a very large question.
Second - overbought/oversold analysis.
IF you have strong down context but you at oversold - you should wait. Since retracement could be significant. The same is for overbought.
Third - stop placement. Use significant levels to hide stops, not just money stops.
And the last thing - try to use strong areas of higher time frames to enter market, such as Confluence areas and/or Agreements in a row with context. So, if even market will break it - on lower time frame it will respect it and you will have time to move your stop to b/e.

In our Forex Military School will be chapters dedicated to trading plan creating and multiple time frame analysis. I strongly suggest you to read them. And chapter about harmonic patterns - it could be useful for stop placing.

Hi Sive,

Your point regarding not to trade the retracement makes sense in a way but I do not quite understand it, since as you point out it can be significant at times. And to be honest I have made more successful transactions on the retracements then following the trend. Has to do with being to emotional as you point out. I can accept a 20, 30 even 80 pips retracement but can never hold on for the 100, 200 or more actual trends. I am getting better at sticking it out and staying calm but its not easy.

I've been working my way through your Forex Military school. It has been slow progress. I am currently enjoying a holiday in some remote corner of Indonesia with my family. One of the 2 priorities on my to-do list is reading through the whole course. Won't be easy as internet access is very limited and extremely slow. So I do not plan to trade much for the time being as I may not be able to check up on my open positions.

In the meantime thank you once again for the excellent job you do.

Geert Anthonis

 

[Xamir]

Hi Sive, deep congratulations for you excelente work, excelent weekly forecast! I´m very luck to have known your work..One question, in your Bolling Band, what are the parameters that you use for Periods and Deviation? Í can´t put my daily chart bollinger band like yours..can you help me?
Thanks and once again, congrats!!! cheers

 

[yousuf]

hey sive.

hey sive, i guess the DRPO buy wouldnt have been such a bad decision for a scalp intraday trade, but oh well, be safe than sorry.

 

[oficiuljuridic]

Hello Sive,
I noticed that acording with your way of drawing of AB-CD pattern on weekly chart, 100% target (fibo extension) was not touched, but I drawed another AB-CD pattern on weekly chart and according with my way of drawing, 100% fibo extension was perfectly accomplished exactly in the point of testing the descending trend line. (the two descending corections are now perfectly equal)
So according with my chart is more probable to begin a new long ascending impuls without being necesary that market touch a new low before the begining of the new ascending impuls.
Please tell me what it is wrong with my AB-CD pattern and why it is more appropriate to draw AB-CD pattern in your way as in my way.
I think that the subject of chosing AB-CD patterns worth a separate chapter in Forex Military School because I think it is very important to know the rules of chosing the corect AB-CD pattern.
Thank you in advance for your answer.

 

[Sive Morten]

Hello Sive,
I noticed that acording with your way of drawing of AB-CD pattern on weekly chart, 100% target (fibo extension) was not touched, but I drawed another AB-CD pattern on weekly chart and according with my way of drawing, 100% fibo extension was perfectly accomplished exactly in the point of testing the descending trend line. (the two descending corections are now perfectly equal)
So according with my chart is more probable to begin a new long ascending impuls without being necesary that market touch a new low before the begining of the new ascending impuls.
Please tell me what it is wrong with my AB-CD pattern and why it is more appropriate to draw AB-CD pattern in your way as in my way.
I think that the subject of chosing AB-CD patterns worth a separate chapter in Forex Military School because I think it is very important to know the rules of chosing the corect AB-CD pattern.
Thank you in advance for your answer.

Hi Oficiuljuridic
It will be difficult to write another chapter, dedicated to ABC points choosing, since there are no strict rules. If I will start to describe all possible scenarios, I'll have to write second FMS. I have no possibility and time to do that. Although you're absolutely right - this question is very important.

Unfortunately I can't see on your chart what particular points you've used for A, B and C. Would you please to show larger picture of particular this part of chart with this points?

Thanks/

P.S. Anyway, there could be everything OK with your ABC points, it could be just a bit different ABC...