Sam Seiden "Transcripts" from fxstreet

[tmanbone]

[bredin]

good one tman!

At the moment it looks like down is right really could have got spanked on M5 long reentries with the slow move down....

G. (finding it hard to resist the dark side)

[bredin]

gu in the last couple of hours:



G. (returning some pressure)

[Fxforce]

Peer pressure is increasing !

Your indi seems to be cool. But even with the indi we still need to filter up the zones and only take the highest probability trades. I think that taking trades off the zones in the middle is more risky than trading from extremum areas. What about overshooted zones ? Sam stateted that fully penetraded zone is not valid anymore...

On Friday I took 2 trades on G/U off the supply zone which I marked. First one bring me loss because of suckers who were buying above 1,5200 after big rally (my SL was at 1,5202). Second trade was good but profit wasn't as big as previous loss. Should be more patient and take trades only with confirmation.


Nice trading Bredin. Where was exactly your entry on G/U ? After crossing the lower border of the zone or you waited for BO ? I can't see pulback to ZL after momo on H1.

[Pro Trader]

Bredrin how do you determine the height of the shaded areas? Where do you put your SL

[jahjahblessed]

gu in the last couple of hours:



G. (returning some pressure)

Nice indicator bredrin, I like, gonna putting it on my peer pressure wish list "I wish my supply and demand zone can draw them self"

[bredin]

Peer pressure is increasing !

Your indi seems to be cool. But even with the indi we still need to filter up the zones and only take the highest probability trades. I think that taking trades off the zones in the middle is more risky than trading from extremum areas. What about overshooted zones ? Sam stateted that fully penetraded zone is not valid anymore...

On Friday I took 2 trades on G/U off the supply zone which I marked. First one bring me loss because of suckers who were buying above 1,5200 after big rally (my SL was at 1,5202). Second trade was good but profit wasn't as big as previous loss. Should be more patient and take trades only with confirmation.


Nice trading Bredin. Where was exactly your entry on G/U ? After crossing the lower border of the zone or you waited for BO ? I can't see pulback to ZL after momo on H1.

I am watching and learning with this indi constantly at the moment: I have a LOT of charts open.... and an thinking of was of improving it all the time.

Once price has passed through a zone it is invalidated, and no longer appears on the chart.

this is an indi, not an ea, so you will have to do some filtering work.

I did not look at gu on friday, and while I can see where past zones were on a chart, I cant comment on your trades without seeing your charts.

I did not enter GU as I took that pic at the time you see on the chart, the move was quite done by then, but as a base trade method I would have entered at 1.51756, sl at 1.5217 (just above the zone) target at 1.50667.
thats a 42 pip stop (a bit big for my liking) and a 109 pip tp for a 1:2.5 RR.
Looking at M5 shows that a much better entry could have been made via a M5 RAT entry at 1.52065 meaning about 1:10 RR....

certainly entering on zones in the middle of a trend is riskier (Sam says this too) but you could drop down tfs to get a smaller target, same applies to trading against overall trend if you really felt the need hop out in front of the truck...
If you widen the chart area you can almost always see zones outside where price is now:
here is EU D1 chart, zones are H1

(what is annoying to me here is it seems that MT4 indi buffers are only as large as the bars in the current tf chart, so when you display data from a lower tf it doesnt show everything: there may be a workaround...)
You can see there are (or should be) zones from April 09, well below the current price.

G.

[bredin]

Bredrin how do you determine the height of the shaded areas? Where do you put your SL

There is an algorithm crafted from the finest artistic brain in the world with the specific aim to "make it look good".

Put the stop on the other side of the zone (allowing for spread if you have to), because this will add a pleasing symmetry to the chart. Try to pick a nice color too.

G.

[Patch]

bredin

What is the indi that you modified? I will load it on my MT4 and see what displays. What broker's chart are you using?

Patch
InVA

[bredin]

for a rough idea of what is shown load up 3LZZ and turn off 1s and 3's, the indi is based on zigzag (cos it locates highs and lows) and then cuts out "useless" points, and then calculates the zones (and decides what ones to draw) from there.

I can think if a better way of calculating the zones, but I would be fighting against MT4 limitations......, do ive gone for a simple solution that works most of the time.

G.

edit: GoMarketsAus is the broker I am using