hokshila

Thanks Anna-Maria, enjoy your w-end too.

Yes torero the 78.6 is one of those insider tricks and a really good level to watch, which brings one question for Texx or Buk: Do you guys enter trades at that level or watch the action around it on the shorter time frames before entering a trade? I'm asking this because normally if you wait for any candlestick formation, price is already at 61.8 or higher depending on momentum. Texx, it seems we posted at the same time. I think you've mostly answered my question on the previous post. :rolleyes:

A nice range it's being formed on the hourly and 240 charts. Question is what to expect before NFP tomorrow? PS: If you know the answer, please do not hesitate to post it ASAP!!!

On another note, yesterday proved to show, once more, how temperamental the FX can be. Normally on such a busy day, "news-wise", the market may stay pretty rangy, but look at yesterday ... Probably it had to do with being end of the month and Banks squaring their positions? Anyway it was wild ... and profitable ... Thanks guys for teaching me how to go with the flow! (You know who you are, don't you?) Torero, Ole for your trades!

Some food for thought: It seems as if the weekly pivot is acting as a magneto. Coincidentally (35-50%) R2 is at the 38% level and price is exactly at the 78.6 ret of the previous past 2 days move. Waiting for the Asian session to be complete before making any decision.

Thanks Buk, that's been the most difficult part to learn, but on the brighter side the one paying in spades. The nicest thing about trading with discipline is the calmly state of mind achieved, because the trader knows it's following his/her system = his/her edge.

Many thanks for the reply, I get your point, crystal clear.

Anna-Maria, let me ask you this: Yesterday, because I had to be out of my office, I missed the entry at the 9550 level. However this morning there was a p/b at 6:20 GMT around the 9615 level. In another moment I'd have just bought in my positions there, however this time I didn't because: a) The Asian Box wasn't closed b) We were near R1&R2 levels Thus, I'm exercising my patience waiting for another set up and on the other side being disciplined at not chasing the trade. Since I missed my initial set up yesterday, am I going in the right direction waiting, or would have been OK to jump in with an small position at 6:20 today? I understand that this has to do with every trader's risk management, but I'm trying to properly understand and apply this concrete system "rules".

Totally agree with you Anna-Maria. I only pay attention/try to fit stuff that feels natural to my trading personality. Many traders jump from one strategy to another before knowing themselves as traders (or, for the case, not even their own personality core). In my opinion, a failing approach right from the start. I read this in a trading article somewhere: "Trading is the most deceptive profession in the world. A person cannot walk into an airport, jump into a 747, and take off down the runway without any prior training. Yet people routinely will open an account and start trading without any guidance whatsoever."

I started doing that last Friday and it was great because I was paring out, let's say 80% of my position, letting the rest flow and was ready to increase it in case some sort of trend developed. And I have to say that it was great. Much better than selling all my positions at one price and waiting to enter again fully loaded at some other level. So, that's something I forgot to mention, that it's having a great impact on my performance, specially on the psychological side. Things tend not to be so black and white then.

Tex, so this is sort of "massaging" the trades by going in, scaling out, scaling in again until some trend develops?

Good question Steve, I was about to ask the same, because price is sitting above the 50% fib level too, however, if I'm correct, it would be wise to wait and see how price reacts around the 30&50% R levels after London opens.

Tex, math? what math? Don't know what you're talking about... I love those babies. Work like a charm. I've been most of the day out of my office, but I saw a couple of spots good for scalps. However, I'm trying to follow your advice and go just for A Grade trades. Basically I'm watching the same levels as you. I corrected my fibs to match yours and watching the action around PW low level. I'll patiently wait and see what tomorrow brings.

Torero, I don't mean to sound discouraging, but let me tell you, it wasn't easy at all. I've been studying like a madman 24/7/365 for several years in a row, non stop and I had my good share of bad trading experiences, but somehow, I managed to survive. As they say, "the master appears when the student is ready" and not the other way around. In this case, I knew exactly what I was looking for, and surprise ... I found it! There's a lot of wisdom in Texx and Buk's posts and this thread is very lucky to have them around. As Anna-Maria wrote "This game is all about stacking the odds in your favor as often as possible." Something else, I love their writing style, truly classy, meaningful and well constructed as their trading style. Not to mention their kind commitment to help others in here. As you write, now it's your turn to learn the rest of the stuff. Time well spent to say the least. Do it! Do it! Do it!

Let me just put it in one word: love'em! I've gone through all your and Buk's posts quite a few times already and let's put it this way, I found the missing link I was looking for, at least for my trading style, which I think is very similar to what you do (that's what I'm trying to achieve). I was missing structure and that's what I have now. Now I'll go and re-read your stuff a few more times until I know it upside down. I want to thank you both once again for your fine teachings, I really appreciate it. Makes things much easier. And of course, many thanks to everybody on the thread for sharing their knowledge too.