Jump to content

Welcome to the new Traders Laboratory! Please bear with us as we finish the migration over the next few days. If you find any issues, want to leave feedback, get in touch with us, or offer suggestions please post to the Support forum here.

  • Welcome Guests

    Welcome. You are currently viewing the forum as a guest which does not give you access to all the great features at Traders Laboratory such as interacting with members, access to all forums, downloading attachments, and eligibility to win free giveaways. Registration is fast, simple and absolutely free. Create a FREE Traders Laboratory account here.

FirePips

FirePips Journal + Free Forex Signals

Recommended Posts

I've been trading for more than 5 years and what I've experienced is that any indicator based system eventually fails. All technical indicators lags, which means that when it gives you a buy signals , the major players (Bank and Institutional Traders) are already in that trade. By the time you or other retail traders enter that trade it is already too late and Bank traders already start to liquidate their positions. Money from your account flows right into their account and you end up cursing the market for cheating you out of that trade.

 

So how come these Bank traders get in early. Well first of all they don't use indicators for trade signals. They use Price Action based systems which simply rely on price movements. Second they get internal reports on where retail traders are sitting and where they have their Stop Loss and Take Profit set up. Hence they are able to get in first and by the time retail trades get in they are ready to get out and take your money away. They do this day in and day out and make tons of money for banks and hedge funds.

 

You may then ask how all the popular websites and broker's internal studies consist of indicators like MACD, RSI, Moving Averages etc. The way a retail trader would look at it is to how these indicators would help generating new signals but the way professional traders use them is different. They use these indicators to confirm their entries for trades that they already in. This again puts them in front and retail traders keep thinking why market reverses as soon they enter a trade.

 

To put this into perspective let me give you an example. Lets say you use RSI and noticed that GBP/USD has reached oversold area in your preferred time frame and you start to look for long trade. But as you all know that a pair can stay in oversold or overbought area for a period of time, so you decide to wait until it starts to go up. Price then starts to rally but at this stage you may think about another indicator, say MACD, to tell you if the price will keep going up. As price rally even further you still wait for the MACD to cross above 0 and then enter long trade. When you bought GBP/USD guess who sold it to you, the Bank traders who were pushing the prices up in the first place. After getting stopped out for few times you may think that you need a filter and that may help you from entering such trades. So you add Moving Averages and wait for their crossover, entering even further late into the rally. You may as well flip the coin and it would have similar probability of a profitable trade.

 

Your Indicator based system would only work if majority of the market participants are looking at the same indicators with same settings and same time frame. Remember that indicators don't predict prices, they only tell you what has already happened. How can you then rely on any indicator to enter trades?

 

Next thing you may ask is do I know all this. Well I never worked for Bank or a Hedge Fund. But what I've done is to study the Price Action for years for more than 12 hours a day. This gave me an understanding of how price moves and when to expect certain movements that are incredibly profitable. On the top I've read more than 110 books on Technical and Fundamental Analysis and Trading Psychology.

 

The way I trade is by letting the price tell me what it wants to do. On the days when market is moving sideways I stay out. When it start to trend in either direction of longer trend on against it, I look for trades and enter in that direction. I wait for price to tell me which direction it wants to go then wait for pullback to take place. I can pinpoint where the price would pull back to and then enter my trades there. Ever heard of "Buy on Dips and Sell on Rallies"? Well the old cliché is true.

 

Last week I took 26 trades out of which 20 were winners, a winning percentage of 77%. Total 741 pips in one week. I challenge you to find any indicator based system to match such profits.

 

I've done this for a while now and now ready to share these signals with other trades. You may ask why? Well let me be upfront and explain why I am doing this. My goal is start a hedge fund in 7-10 years from now and giving my signals away for free would help me make friends and develop relationships with other traders. Forums are a great place to meet like minded people and I would be delighted to share my experience with others and also learn something in return.

 

I'll start sending signals from Mon next week. I'll post more on how to use the signals and what Money Management to follow.

 

And lastly, I would appreciate all your comments and suggestions.

Share this post


Link to post
Share on other sites

I agree with your observation as to the use of Price Action system. Hence I would be very appreciative if you could let me know more about your Price Action system.

 

At present I am looking at using the Pivot Points and Fibonacci. Also drawing support and resistance lines.

 

What time frame do you use, ie 1 hr, 15 mins.

Share this post


Link to post
Share on other sites

Thanks Firepips, I would be more than happy to receive your signals. Any further comment or evaluation appreciated.

 

How will we receive them, do we have to sign up somewhere, or IM ?

 

Thanks.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.


  • Topics

  • Posts

    • NFLX Netflix stock, with a solid top of range breakout, from Stocks to Watch at https://stockconsultant.com/?NFLX  
    • NFLX Netflix stock, with a solid top of range breakout, from Stocks to Watch at https://stockconsultant.com/?NFLX  
    • It depends. If you have lots of money that you can buy a house without a loan and if you don't have any parents to sponsor then it is a good idea. Otherwise it might be a bad idea depending where in Canada you are heading to. I earned a good middle income in my home country and I migrated to Vancouver 5 years ago at the age of 35. I had to start right from the bottom, lowest of the low.. Now i am finally earning a middle income in Canada but I still cannot afford to buy a one bedroom apartment. Having left behind friends, family and home, most of the times I think it is not worth it.   In short, do not migrate if you already have a good life in your home country and you are happy. Only migrate to Canada if you really have to leave your home country say there is a war or something really bad. Discrimination still exists here and its really tough for newcomers unless you are super rich. Good luck. David Chong, Quora  
    • This is bigger than the internet. Bigger than mobile. Bigger than social media.   While everyone was distracted by stock market fluctuations and political theater…   Most people have NO IDEA what just happened last week with ChatGPT.   Their new memory feature allows ChatGPT to remember EVERYTHING about you across all your conversations.   Think about that for a minute...   While most tech companies have been collecting mere breadcrumbs about you - your likes, your clicks, your browsing history - OpenAI is now collecting the most valuable dataset in human history: your complete psychological profile.   This is Zuckerberg x 5,000.   The more you use ChatGPT, the more it understands you, becoming a supercharged reflection of yourself that improves at an exponential rate.   Are you a regular ChatGPT user?   Consider whether it’s time to turn off the “you can train on my information” feature. To prevent your data from being used for training while still using the memory feature:   Disable Model Training: Navigate to Settings > Data Controls. Toggle off "Improve the model for everyone". Manage Memory Settings: Go to Settings > Personalization > Memory. Here, you can: Turn off memory entirely. Delete specific memories. Use Temporary Chat for sessions that won't be saved or used for training. Now the investment implications…   Why This is Bigger Than You Think Consider this: the relationship between humans and ChatGPT is evolving beyond a mere tool.   People are now treating these AI assistants as friends, confidants, and even romantic partners.   I'm not making this up - there are already documented cases of people ending real human relationships to pursue “connections” with their AI companions.   A viral Instagram meme shows a person going through life with a glowing, featureless humanoid figure - representing ChatGPT - as their companion.   The post has over 1.1 million likes and comments like "Bro ChatGPT is like my best friend. Ain't even ashamed to say it" with 25,000 likes.   But here's where things get really interesting for investors and entrepreneurs...   Three Things to Watch For starters, hardware is the next big thing for the big players.   The iPhone form factor is dead.   It hasn't meaningfully changed in nearly a decade. The next evolution in hardware will be designed specifically to interface with these AI companions.   OpenAI is already working on hardware with Johnny Ive, the legendary designer behind the iPhone and iPod. But you can’t ignore Elon Musk’s edge here.   So what does all of this mean for you?   The companies that control the personal AI relationships will be worth trillions. OpenAI and Elon Musk will have the coziest moats. We're witnessing the birth of a new internet - one built on agents that can communicate with each other across platforms. Google's new agent-to-agent protocol allows AI agents to work together without sharing internal memories or tools. The hardware companies that create the perfect interface for these AI companions will dominate the next decade of technology. And almost nobody is talking about what this means.   My prediction? Within five years, most people will have a personal AI that knows them better than anyone else. And they will interact with it in ways that seem foreign today.   (And, yes, it will almost certainly have dystopian elements.)   In the meantime, the biggest gains won’t come from household names. And, right now, James is seeing a prime opportunity to invest in the most under-the-radar plays in AI…   For dirt cheap. By Chris C. Source: https://altucherconfidential.com/posts/use-chatgpt-protect-yourself-now
    • KBH KB Home stock, nice day and rally off the 50.82 support area, from Stocks to Watch at https://stockconsultant.com/?KBH      
×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.