Patterns Observation.

[kiwiarian]

The science of INs

Jul. 08 21.06.jpgJul. 08 21.07.jpg5396 Jul. 08 21.07.jpgJul. 08 21.08.jpg5397 Jul. 08 21.08.jpgJul. 08 21.09.jpg5398 Jul. 08 21.09.jpgJul. 08 21.10.jpg5399 Jul. 08 21.10.jpgJul. 08 21.11.jpgJul. 08 21.12.jpg5400 Jul. 08 21.12.jpg5401 Jul. 08 21.12.jpg

Like I always say, trading with pattern is hindsight trading. You only have 3 parts of it, the starting leg, the body and the finishing leg.

The job is to wait for the body to finish forming and then attack the finishing leg.

Or if you're advanced, attack when the body is 33% or 50% complete and then attack again in the finishing leg phase. If you feel big patterns needs a long time to wait then you can go with candlestick pattern. Much faster, but riskier.

You are talking about breakout trading I presume?

[Don_xyZ]

The science of INs

Jul. 08 21.06.jpgJul. 08 21.07.jpg5396 Jul. 08 21.07.jpgJul. 08 21.08.jpg5397 Jul. 08 21.08.jpgJul. 08 21.09.jpg5398 Jul. 08 21.09.jpgJul. 08 21.10.jpg5399 Jul. 08 21.10.jpgJul. 08 21.11.jpgJul. 08 21.12.jpg5400 Jul. 08 21.12.jpg5401 Jul. 08 21.12.jpg

Like I always say, trading with pattern is hindsight trading. You only have 3 parts of it, the starting leg, the body and the finishing leg.

The job is to wait for the body to finish forming and then attack the finishing leg.

Or if you're advanced, attack when the body is 33% or 50% complete and then attack again in the finishing leg phase. If you feel big patterns needs a long time to wait then you can go with candlestick pattern. Much faster, but riskier.

You are talking about breakout trading I presume?

Trading is technically breakout because you bank on direction. Price either breakout of a high or a low or an open or a close (candlestick). What confuse people is structure vs individual candlestick. You can breakout of a candlestick but going back inside a structure or zone. Consider BO of a candlestick as a micro BO while BO of a structure as macro BO. Ways to make money

1. BO of a candlestick (small pips)
2. BO of a structure (big pips)
3. BO of a candlestick and a structure (bigger pips). Structure continuation.
4. BO of a candlestick from the extreme of a structure and then BO of a structure to the opposite side (massive pips). Structure reversal.
5, 6, 7, 8. #1 to #4 on a bigger tf.
9, 10, 11, 12. #1 to #4 on several tf above.

This is the essence of pattern trading. This is the science of anchor trade.

[Don_xyZ]

The science of INs

Jul. 08 21.06.jpgJul. 08 21.07.jpg5396 Jul. 08 21.07.jpgJul. 08 21.08.jpg5397 Jul. 08 21.08.jpgJul. 08 21.09.jpg5398 Jul. 08 21.09.jpgJul. 08 21.10.jpg5399 Jul. 08 21.10.jpgJul. 08 21.11.jpgJul. 08 21.12.jpg5400 Jul. 08 21.12.jpg5401 Jul. 08 21.12.jpg

Like I always say, trading with pattern is hindsight trading. You only have 3 parts of it, the starting leg, the body and the finishing leg. Or if you're advanced, attack when the body is 33% or 50% complete and then attack again in the finishing leg phase. If you feel big patterns needs a long time to wait then you can go with candlestick pattern. Much faster, but riskier.

You are talking about breakout trading I presume?

Trading is technically breakout because you bank on direction. Price either breakout of a high or a low or an open or a close (candlestick). What confuse people is structure vs individual candlestick. You can breakout of a candlestick but going back inside a structure or zone. Consider BO of a candlestick as a micro BO while BO of a structure as macro BO. Ways to make money

1. BO of a candlestick (small pips)
2. BO of a structure (big pips)
3. BO of a candlestick and a structure (bigger pips). Structure continuation.
4. BO of a candlestick from the extreme of a structure and then BO of a structure to the opposite side (massive pips). Structure reversal.
5, 6, 7, 8. #1 to #4 on a bigger tf.
9, 10, 11, 12. #1 to #4 on several tf above.

This is the essence of pattern trading. This is the science of anchor trade.

As the trader become proficient with chart reading, he no longer need to go back to switch chart from M1 to H1 or to D1 because it is apparent to his eyes based on how many M1 candles have elapsed. Anything higher or lower than D1 open price is the highest/lowest point of the day. Anything higher or lower than H1 open price is the highest/lowest point of the hour and so on and so forth. If you ever have a doubt, check the lowest part of the chart to see the time axis and then double-check with the right-most part of the chart to see the price axis. However, to get to that stage, some traders might have to go through the switching-of-tfs phase because they might get lost while in action.

D1 and H1 from M1.png (100.18 KiB) Viewed 5197 times

Fractals are super easy to spot. My 5 year old nephew can identify it after I told him what to look for. Identifying which one will generate what kind of profit is the real deal. There is a fractal for quick scalping, there is one for session trades, there is one for multi-day and up. There are also 1 pip scalping, 2 pips scalping, 3 pips scalping, 5 pips scalping, 10 pips scalping, zone to zone scalping, candle to candle scalping and so on and so forth. Since the capital is limited, a trader must pick which one is the most efficient for him not for anyone else.

[Don_xyZ]

You are talking about breakout trading I presume?

Trading is technically breakout because you bank on direction. Price either breakout of a high or a low or an open or a close (candlestick). What confuse people is structure vs individual candlestick. You can breakout of a candlestick but going back inside a structure or zone. Consider BO of a candlestick as a micro BO while BO of a structure as macro BO. Ways to make money

1. BO of a candlestick (small pips)
2. BO of a structure (big pips)
3. BO of a candlestick and a structure (bigger pips). Structure continuation.
4. BO of a candlestick from the extreme of a structure and then BO of a structure to the opposite side (massive pips). Structure reversal.
5, 6, 7, 8. #1 to #4 on a bigger tf.
9, 10, 11, 12. #1 to #4 on several tf above.

This is the essence of pattern trading. This is the science of anchor trade.

As the trader become proficient with chart reading, he no longer need to go back to switch chart from M1 to H1 or to D1 because it is apparent to his eyes based on how many M1 candles have elapsed. Anything higher or lower than D1 open price is the highest/lowest point of the day. Anything higher or lower than H1 open price is the highest/lowest point of the hour and so on and so forth. If you ever have a doubt, check the lowest part of the chart to see the time axis and then double-check with the right-most part of the chart to see the price axis. However, to get to that stage, some traders might have to go through the switching-of-tfs phase because they might get lost while in action.

D1 and H1 from M1.png

Fractals are super easy to spot. My 5 year old nephew can identify it after I told him what to look for. Identifying which one will generate what kind of profit is the real deal. There is a fractal for quick scalping, there is one for session trades, there is one for multi-day and up. There are also 1 pip scalping, 2 pips scalping, 3 pips scalping, 5 pips scalping, 10 pips scalping, zone to zone scalping, candle to candle scalping and so on and so forth. Since the capital is limited, a trader must pick which one is the most efficient for him not for anyone else.

If you must choose only one fractal then the choice is the daily. You can never go wrong with it. Big pip potential.

Problem is, what if you trading day starts in the other side of the globe? Or what if you need something more than 1 setting of fractal? Maybe you want to trail the session fractal? Then you can use this indicator. It's just a tool. Nothing more. Just like when you learn how to ride a bicycle with three wheels in the rear.

HL fractal.png (108.62 KiB) Viewed 5172 times

I already put the indicator in this post:

post151670#p151670

Turn the "Background" setting to "false" and color them Black and Blue to simplify and ease the view.

[kiwiarian]

Trading is technically breakout because you bank on direction. Price either breakout of a high or a low or an open or a close (candlestick). What confuse people is structure vs individual candlestick. You can breakout of a candlestick but going back inside a structure or zone. Consider BO of a candlestick as a micro BO while BO of a structure as macro BO. Ways to make money

1. BO of a candlestick (small pips)
2. BO of a structure (big pips)
3. BO of a candlestick and a structure (bigger pips). Structure continuation.
4. BO of a candlestick from the extreme of a structure and then BO of a structure to the opposite side (massive pips). Structure reversal.
5, 6, 7, 8. #1 to #4 on a bigger tf.
9, 10, 11, 12. #1 to #4 on several tf above.

This is the essence of pattern trading. This is the science of anchor trade.

As the trader become proficient with chart reading, he no longer need to go back to switch chart from M1 to H1 or to D1 because it is apparent to his eyes based on how many M1 candles have elapsed. Anything higher or lower than D1 open price is the highest/lowest point of the day. Anything higher or lower than H1 open price is the highest/lowest point of the hour and so on and so forth. If you ever have a doubt, check the lowest part of the chart to see the time axis and then double-check with the right-most part of the chart to see the price axis. However, to get to that stage, some traders might have to go through the switching-of-tfs phase because they might get lost while in action.

D1 and H1 from M1.png

Fractals are super easy to spot. My 5 year old nephew can identify it after I told him what to look for. Identifying which one will generate what kind of profit is the real deal. There is a fractal for quick scalping, there is one for session trades, there is one for multi-day and up. There are also 1 pip scalping, 2 pips scalping, 3 pips scalping, 5 pips scalping, 10 pips scalping, zone to zone scalping, candle to candle scalping and so on and so forth. Since the capital is limited, a trader must pick which one is the most efficient for him not for anyone else.

If you must choose only one fractal then the choice is the daily. You can never go wrong with it. Big pip potential.

Problem is, what if you trading day starts in the other side of the globe? Or what if you need something more than 1 setting of fractal? Maybe you want to trail the session fractal? Then you can use this indicator. It's just a tool. Nothing more. Just like when you learn how to ride a bicycle with three wheels in the rear.

HL fractal.png

I already put the indicator in this post:

post151670#p151670

Turn the "Background" setting to "false" and color them Black and Blue to simplify and ease the view.

Good write up thanks Don, so for the session fractal it could be seen like this? (ignore the the MA's in the pic)

sessionfractal.JPG (68.69 KiB) Viewed 5144 times

[Don_xyZ]

As the trader become proficient with chart reading, he no longer need to go back to switch chart from M1 to H1 or to D1 because it is apparent to his eyes based on how many M1 candles have elapsed. Anything higher or lower than D1 open price is the highest/lowest point of the day. Anything higher or lower than H1 open price is the highest/lowest point of the hour and so on and so forth. If you ever have a doubt, check the lowest part of the chart to see the time axis and then double-check with the right-most part of the chart to see the price axis. However, to get to that stage, some traders might have to go through the switching-of-tfs phase because they might get lost while in action.

D1 and H1 from M1.png

Fractals are super easy to spot. My 5 year old nephew can identify it after I told him what to look for. Identifying which one will generate what kind of profit is the real deal. There is a fractal for quick scalping, there is one for session trades, there is one for multi-day and up. There are also 1 pip scalping, 2 pips scalping, 3 pips scalping, 5 pips scalping, 10 pips scalping, zone to zone scalping, candle to candle scalping and so on and so forth. Since the capital is limited, a trader must pick which one is the most efficient for him not for anyone else.

If you must choose only one fractal then the choice is the daily. You can never go wrong with it. Big pip potential.

Problem is, what if you trading day starts in the other side of the globe? Or what if you need something more than 1 setting of fractal? Maybe you want to trail the session fractal? Then you can use this indicator. It's just a tool. Nothing more. Just like when you learn how to ride a bicycle with three wheels in the rear.

HL fractal.png

I already put the indicator in this post:

post151670#p151670

Turn the "Background" setting to "false" and color them Black and Blue to simplify and ease the view.

Good write up thanks Don, so for the session fractal it could be seen like this? (ignore the the MA's in the pic)
sessionfractal.JPG

Yeah, that's the idea.
My London starts at 10, US at 13. Others may prefer 9 and 12. Heavy scalpers may go with the 2 overlaps only.

[Don_xyZ]

The market is pretty good.
All NO SL.

London trades.

Jul. 17 15.53.jpg (23.67 KiB) Viewed 4986 times

NY trades. 2 candles 15-layers scalping. ALL IN.

Jul. 17 20.39.jpg (17.76 KiB) Viewed 4986 times

24 trades. 1 loss. 23 wins. Should've been 100% hit rate.
22 minutes for the London set, 2 minutes for the NY set for a total of 24 minutes of work. This, is efficiency!
All in all 73% ++ today.
Obviously, not the kind of stats rich uncles like to see

G'night folks!

[Don_xyZ]

London trades.

4 trades, no loss.
100% hit rate.
11 minutes, 40%++.
With SL.
Normal trades, no layer.

Jul. 18 16.16.jpg (27.08 KiB) Viewed 4920 times

London session done. Let's take a break and refresh for NY!

[Don_xyZ]

Could not enter a single trade during the marked box GIGA LOLZ

NY trades.
3 candles 4-layer scalp, NO SL. 50%++
Had they allowed me to enter earlier I would've banked 100%++

Jul. 18 20.45.jpg (33.86 KiB) Viewed 4881 times

Ended the day with 100%++ in 14 minutes of work.

G'night and see you all later!

edit: it's actually 58%++ and the total is 98%++

[Don_xyZ]

Updated the NO SL list on the 1st post with the latest entries.

Enjoy!