The Art of Triangles.

HiHi!!! O yes if u haven realize... this is my first image post!! lol. Ok lets cut the crap and share the good stuff aye??

This chat shows 30M timeframe. This trade was done in the morning (Singapore Time) with no news or anything. (USD/JPY)

Notice that the trendline i drew forms a descending triangle. To get this line, there are a few points to note. The high close for each candle forms a descending trendline that links quite well, and as u can see from the chart, the level of 91.26 was touch several times but bounce back. For my case, 5 times before it break down. This 5 points hence form the straight line below, forming a descending triangle.

Point of entering will be after candle close below 91.26. It signals a moment of downtrend i should say. Reason being its a 30M chart. It maybe temporary retracement on bigger timeframe. With proper TP set on either FIBO support or trailing stop. A nice 40pips profit is achieveable. SL will be just above the horizontal trendline. 91.25 and above for this case.

But some points to note as well, notice that the stochastic is showing otherwise? Yea,but i entered trade due to past experience that sometimes these oversold oscilators still remains oversold when there is a breakdown. So i chose to ignore this signal.

So as u can see, my time of using this technique is during NO NEWS period. And i also chose to ignore one of my indicators. Right or wrong? More tests needs to be carried out i guess.

Thats all folks. New traders can try this technique cause as a Noob myself i managed to close a profit trade. WHY NOT U??!!

Bottle
We are still surviving, are we not?

Usd/Jpy & Gpb/Usd

Watching the price for two hours already. Have not entered any trade, USD Existing Home Sales report to be out in half an hour. price may strike in any direction.. so... play safe. ripped a 20 pips last night Usd/Jpy.

The above, is Usd/Jpy yesterday 22 Oct 2009, where i dangerously shorted 20 pips off retracement from top of UPtrend. dangerous? yes, i believe so as i was trading against the trend. that was why i quickly took the pips and went to bed. Check out the price today..


23 October 2009. Price is still moving along the trendline. Well, let's juz watch. This is still at the price of good resistance. To top it off, there is a good forecasted USD Existing Home Sales coming up next.


Check that damn long candle in GpbUsd's chart TODAY! godammit! horny S.M. girls would love such a LONG LONG CANDLESTICK! congrats to those who "rode the stick", and well, sorry to those s/l that was wiped along the line.

Last day of the week, have patient, dont jump in, we always have a monday. :)

Black

HOWDY DOODY BOOBY!!!

Hello its me again, Bottle. Its been quite sometime, yea... when i say i want to learn more ways to fight that fuckup forex chart.. i really do! And yes i've been away meditating.......

Black comment that i haven been updating for quite sometime and ask me to wake the fuckup and do something. I say OK!! I guess he is feeling cold in here alone. Seeing only posts ending with Your Sincerely Black Yours truely Black Regards Black Thank You Black. =D

NO! I haven got myself some ultimate chart smashing techniques that can let me earn a million overnight during these absence. Yes i've been trading and was doing quite good. I followed quite strictly to the rules i set for myself.. notice that i use the word "Quite". Indeed, i did stray away from Mr Discipline sometimes. Hence, some trades' profits were not maximised.

I have been scalping quite alot lately. Closing usually around 10 - 20 pips with slightly bigger lot. Highest hit profit size is 40pips using smaller lot. Due to the higher SL/TP hence smaller lot.

One secret to my small little puny success (it really counts for nth, but im proud of it!! Noob's style) on the above mentioned. Patience.

Its really simple. Once candlesticks and indicators shows a trend. I choose not to go in straight and instead, i wait for confirmations (etc candle close, crossover) After which still i wont go in, i will wait for it to really happen, then i will go in during retrace @ my FIBOs or Bollinger. The ultimate pussy style. But i rather u him she they anyone else call me pussy than getting myself a floating loss. Stuck in the middle of no where at the mercy of the chart. If u get wat i mean.

There are times when i waited for a good 2 hours for 2 Hourly candlestick to form before i go in. Notice that in one of Black's post, he waited for a good few hours too. Result is positive. Still, this is the noob way of mine. Lets hope i can come up with something that is not so time consuming~ =D

The techniques that i rely on are FIBOs Bollinger Band and EMAs. Mostly scalping on the EUR/USD 1.500 level. Short on FIBO resistance , Long FIBO support. Only on candles confirmation before i go in. As in after a long white candle, i will wait so patiently for it to retrace back to FIBO resistance before i short it. TP @ FIBO support. No news no nothing.

Thats all folks!!! Happy trading!!! May the gods watch over me and have mercy on my poor account!!! AH WOO AH WOO!!!

Bottle
The Trend is your friend, your friend is a Trend. Follow a friend who is a Trend. Hand in hand, pips by pips.

Forex - A Lesson Learned the Hard Way

Below are few of my trades this week. Ripped my virgins to some new pairs. Was watching the Nzd/Usd on monday night. So far, only Nzd/Usd first trade gives me bad news. I ripped +121 for my first Aud/Usd, +65 for my Usd/Jpy. But forex isn't just about the first trade, its about consistency.

Few cross-over towards the downside. Trend pattern downwards, it tapped my top of trendline to give a good sell signal. Instead of strolling down the trend, it ranged thru' the fibonacci, hit my S/L (2%) when NZD Retail Sales report was good. Should have (notice how many should-ve i used this post) sold before the annoucement although was at a losing trade, becuz the forecast was good. Well basically my Nzd/Usd didn't had a positive profit points @ all, 5 pips spread, Woah~ thinking twice before i pick-up another Kiwi in future, lesson learnt.

Next up, feeling good with the Koalas due to the week before. I too, short the pair. Gold price is reaching new HIGH, oh so high, so was Aud/Usd (in fact right now too). Looks pretty resisted at the top of my trendline and close to fibo, i think its time Aud/Usd might retrace. My S/L was lower than 2%, slightly above the nxt line of fibo. It ripped thru my S/L the nxt morning.

Tuesday was looking at Usd/Jpy pair. Looks to me like the Elliot Waves' forming.. coming towards the downslope. Short at the top of a candle, as usualy Stop/Loss @ 2%, before next line of resistance. 25 points trailing stop in place. ranging price throughout the day. Till this morning it began to continue trending downwards. I could see USD depreciation among major pair most of today. Reach home to see a +80pips, another classic. maintained my trailing S/L, till it finally hit. Pocket about +65 pips at the end of the trade.
About two hours after the above, i decided to take a bit of a Eur/Usd a few pips, with HIGH LOT. and i lost high LOT. and i tried even HIGHER LOT to make up what's lost, and i lost even HIGHER LOT! 3 weeks of consistent profit - lost in one afternoon.

Small retail players like us, especially new ones, should maintain small lot size. The difference? Of course winning and losing amount! U wanna win big? u think forex is a fast pace market, u CAN win BIG! i win BIG in one trade before, about 20%+ of my account in one trade. and that, spellls the start of my disastrous habit i couldn't kick which tore my account big time.

"You can swim a great amount of distance in the rapids (high volatility and liquid market), but without the fundamentals of swimming and water treading (price analysis, knowledge and MONEY MANAGEMENT), your course of journey (trading life) will just be swept (S/L GOT HIT) across." - Black

So please, Black, for the last time (i hope), control your LOT SIZE, and VENGEANCE MINDSET!

the reason i can profit consistently (even though small, but compounding effect is magic) becuz i had been controlling the lot size i enter in a trade. calculate the number of pips towards the price it might go against u, from there then u determine the lot size to enter, and make sure that the multiply of the two does not exceed 2% of your account. even a losing trade, gives u hope, becuz u got more allowance to let the price move against ur trade, juz like what happen to my Usd/Jpy this week, let it ride its actual course towards ur goal. but using mini lot in few hundred dollar account is suicide.

Take a deep breath, and life goes on.

Black:
"Don't let a losing trade knock your pride, if you never give up, there will be glory ahead for you to ride"

The Forex Journal

Have u come across this magazine? The Forex Journal. I have been looking for some magazine on forex so that I can keep up and read on more knowledge on the subject. Recently, i came across a press-stop basement of a shopping centre. i saw this Forex Journal. i decided to buy one as a try-out. for the thickness of the magazine, SGD$11 is a little expensive to me, but nevertheless i got one home to read.

it covers interesting and valuable subjects on forex. i was contemplating on subscribing to a 2-year on the magazine, but was still thinking of checking out for any other forex magazine first before plunging in. because SGD$11 is really a bit too high. last saturday, i went back to the press-stop and saw the new October issue (picture below).



they have redesign the cover with more 'IN' font, haha. this time i saw the price was covered by a piece of sticker read $10. i thought woa, this press is reducing the price so i bought it on the spot. i went up to times and saw the similar issue, and then the original was actually priced SGD$9.80 WTF! kena cheat TWO FUCKING MICRO LOTS! twenty cents isnt big impact to me, but as a trader, if u trade one micro lot, thats the amount of the spread cost U NOE??? im juz kidding lol anyway its the principle that matters argh. nvm. anyway back on the magazine content..

it covers topic such as, swing trading techniques, monthly reviews on currency pairs, importance of money management, economic calendars etc. contributed mostly by forex experts. all of them are very useful knowledge especially for new traders like us. i love to read on different forex experts opinions regards to some things, although a lot are commonly similar, like the money management stuff, but forex is a ever-learning business. we always come across things we are new to, right? u read money management a lot, but frankly speaking how closely do u follow it? sometimes these things are meant to drill into our heads.

i will still be following closely with upcoming issues before i would decide to subscribe to it tho. will keep it updated.

Black