Aliassmith Beats a "Dead Horse"

[Yirbu]

The blue lines are "patterns" and patterns are the things behind the breakouts:
if price is "in" something then it is a pattern & if "out" of something then it is a breakout.

Separating up from down and out from in is step #1 in trading.

....And you the blue ones are zones where the swing highs/low were not so?

The answer is a simple question: what is "out"?:

If it is not "out" (breakout) then it is "in" (pattern):

Once you know where the "ins" are then you can draw your trend or horizontal lines to trade the "outs":

QA.png

Why is it a bad idea to trade the blue lines in the picture below? because you are entering into a pattern; notice how the green line differs in that you are trading price moving out of the pattern:

a.png

This is a really really nice post. Thanks!
I think I get it and will try it in my trading.
Reviewing my trades from today I can see that I took 2 losing trades that went right into a pattern.

Those red horizontal arrows...are they just to indicate where (above/below) the pattern lies or are they drawn with very specifically rules?

I will print this post and put it in my retro notebook (paper file folder)

[buffalo]

The blue lines are "patterns" and patterns are the things behind the breakouts:
if price is "in" something then it is a pattern & if "out" of something then it is a breakout.

Separating up from down and out from in is step #1 in trading.

....And you the blue ones are zones where the swing highs/low were not so?

The answer is a simple question: what is "out"?:

If it is not "out" (breakout) then it is "in" (pattern):

Once you know where the "ins" are then you can draw your trend or horizontal lines to trade the "outs":

QA.png

Why is it a bad idea to trade the blue lines in the picture below? because you are entering into a pattern; notice how the green line differs in that you are trading price moving out of the pattern:

a.png

I'm seeing breakout candles everywhere, are those not considered patterns? or are you looking more at price swings than individual candle breakouts?

[Yirbu]

....And you the blue ones are zones where the swing highs/low were not so?

The answer is a simple question: what is "out"?:

If it is not "out" (breakout) then it is "in" (pattern):

Once you know where the "ins" are then you can draw your trend or horizontal lines to trade the "outs":

QA.png

Why is it a bad idea to trade the blue lines in the picture below? because you are entering into a pattern; notice how the green line differs in that you are trading price moving out of the pattern:

a.png

This is a really really nice post. Thanks!
I think I get it and will try it in my trading.
Reviewing my trades from today I can see that I took 2 losing trades that went right into a pattern.

Those red horizontal arrows...are they just to indicate where (above/below) the pattern lies or are they drawn with very specifically rules?

I will print this post and put it in my retro notebook (paper file folder)

So just to check that I understand it correctly;
The below trades were right into a pattern... in the the grey area
Is this correct?

Pattern.png (142.62 KiB) Viewed 1288 times

[IgazI]

I'm seeing breakout candles everywhere, are those not considered patterns? or are you looking more at price swings than individual candle breakouts?

Yes, price legs ascending/descending from that "something" that you can trace your finger back to.

How do you know intuitively that such and such is a breakout when you are trading but not when you are given an example?

You're not going to say that price broke out from the middle of a steep trend, no? you already have some idea of what "something" and "somewhere" looks like. . .if it is not "out" then it is "in" and if it is not "in" then it is "out".

@Yirbu

I use horizontal lines to simplify the example; choosing exact prices is subjective anyway.

[IgazI]

These are not exact levels, nor do they have to be. . .

just train your mind to see the "something" that price is breaking out from and into. . .

then your success will 100x, I'm sure of it.

d.png (67.77 KiB) Viewed 1285 times

[Yirbu]

Today was a nice day. I took +8R which brings my weekly score to my personal best trading the deadhorse.
It could have been a lot more but I forgot that I had to be more aggressive.

Time is flying when you are trying to learn something new but I know I am progressing in my learning and my results are there.
It's not that I am draining the markets but not so long ago the markets were draining me.
This is not happening anymore thanks to all of you willing to spend some time in helping me
Thank you all.

Today I have added US30 to my trading arsenal after I had monitored it for the last couple of weeks.
I do think I need this to remain flexible in the near future.

[buffalo]

I'm seeing breakout candles everywhere, are those not considered patterns? or are you looking more at price swings than individual candle breakouts?

Yes, price legs ascending/descending from that "something" that you can trace your finger back to.

How do you know intuitively that such and such is a breakout when you are trading but not when you are given an example?

You're not going to say that price broke out from the middle of a steep trend, no? you already have some idea of what "something" and "somewhere" looks like. . .if it is not "out" then it is "in" and if it is not "in" then it is "out".

@Yirbu

I use horizontal lines to simplify the example; choosing exact prices is subjective anyway.

would you originally be thinking long where I circled in blue? then price goes below box and now thinking short?

8252222.PNG (96.22 KiB) Viewed 1277 times

In the BTC chart from yout thread price is going out the bottom of your pattern but you said you were long, thats waht leads me to believe im not picking up what your putting down

igazi825.png (122.42 KiB) Viewed 1277 times

[IgazI]

In the BTC chart from yout thread price is going out the bottom of your pattern but you said you were long, thats waht leads me to believe im not picking up what your putting down

I only told you how to see it, not how to trade it. . .

You could say that I "SIPS" the market: swing into position and stack

Going long off of the low swings, what some would call "oversold", is the primary entry strategy of a swing trader; there are situations where one trades breakouts though.

Another thing that separates us from day traders is: being slower to enter, less willing to exit, and continually attempting to catch "the move" vs switching directions.

[aliassmith]

Today was a nice day. I took +8R which brings my weekly score to my personal best trading the deadhorse.
It could have been a lot more but I forgot that I had to be more aggressive.

Time is flying when you are trying to learn something new but I know I am progressing in my learning and my results are there.
It's not that I am draining the markets but not so long ago the markets were draining me.
This is not happening anymore thanks to all of you willing to spend some time in helping me
Thank you all.

Today I have added US30 to my trading arsenal after I had monitored it for the last couple of weeks.
I do think I need this to remain flexible in the near future.

I know the view point of doing well is subjective. Aren't you at about 60R for the last 4 weeks? 30% a month is great. You can make a lot of money with 30% a month.

With a $500k FTMO account thats about $135k in a month.

Im not sure why you are not just staying focused on mastering EU. Maybe you think by looking at more stuff you make more money. It might have the opposite effect. You still have room for improvement on EU and 30% a month is good.

You said you are here to make money. You are doing the right things and it might be time to get a MFF $5000 real trial soon. This will see how you perform with a little skin in the game. $50 isnt much. I would suggest a lower risk level such as .3% thats 27R in 30 days for phase 1 and 17R for phase 2.

You have to take at least 5 days to pass so there is no prize for hurrying. If you get a live $5000 you trade it until you have enough for a $50k trial. After you can maintain a $55k account you have many options.

Max MFF
Or
Max FTMO
Or
Max ThePropTrading
Or
Max 5ers at some point you can make 100% year on $4 million.
Then
Put $250k to $500k into some other trading account. If you live in the states then futures, stocks, etf, options are a good back up plan to learn.

[Yirbu]

I know the view point of doing well is subjective. Aren't you at about 60R for the last 4 weeks? 30% a month is great. You can make a lot of money with 30% a month.

With a $500k FTMO account thats about $135k in a month.

Im not sure why you are not just staying focused on mastering EU. Maybe you think by looking at more stuff you make more money. It might have the opposite effect. You still have room for improvement on EU and 30% a month is good.

You said you are here to make money. You are doing the right things and it might be time to get a MFF $5000 real trial soon. This will see how you perform with a little skin in the game. $50 isnt much. I would suggest a lower risk level such as .3% thats 27R in 30 days for phase 1 and 17R for phase 2.

You have to take at least 5 days to pass so there is no prize for hurrying. If you get a live $5000 you trade it until you have enough for a $50k trial. After you can maintain a $55k account you have many options.

Max MFF
Or
Max FTMO
Or
Max ThePropTrading
Or
Max 5ers at some point you can make 100% year on $4 million.
Then
Put $250k to $500k into some other trading account. If you live in the states then futures, stocks, etf, options are a good back up plan to learn.

I'm not sure if I am up 60R but it's not far off.
So yes, I also consider it as pretty good.

However I would like to see consistency. I don't want to be able to do it one month, (as a summer project) I want to be able to do it every month because if I had to trade for an income I would probably fail miserably.
In order to get that consistency I think I need to do a bit more as I don't want to be that guy that thought he can trade for an income after practicing for a couple of weeks.
I do feel I am almost there and indeed I wanted to do a "real" trial next week.
It may feel different with real money and I might find out new things I need to learn.

Because I need to start working soon (I am self employed but am/was busy doing other stuff) I will soon be busy during the whole London session (I live in the Europe) and thus have a hard time trading the EU. Because I still want/need to practice I thought it might be a good idea to add something that I can trade after the London session so I can keep practicing. I wish EU could give me enough trading opportunities after London but it looks like it just dies most of the days.