Patterns Observation.

[Don_xyZ]

Going into my killzone, I saw a potential for a channel creeping up. So I drew a line from point 1 to point 2 and then copy that line and put it on point 3. I drew another object, a fib to mark my TP. Right after the killzone start price went to the line I put on point 3 (marked a on the chart) and this is where it gets interesting because price came back up to b.
everything was perfect but.png

I had in mind that we are in an uptrend channel so I was looking for some kind of a pattern and sure enough there was a potential lower grade double top starting to form. I put my pending order (buy stop) on that tight bearish candle and after price couldn't make a new low it took my order up. Unfortunately, the order got SL-ed. So I opened a new order up as the morphing from DB to IH&S started taking shape. Target was the upper trend line (black box). TP was hit but then, another one started forming. Using the same logic of pattern anticipation, I entered the market but this time I got killed 2x. The first one due to the very tight SL (that the market gave) and then the 2nd is due to the spread. Fortunately, the 3rd position had a smooth sail. Target was the lower channel. However, the target did not get hit and I had to settle it for much less. I closed it when the price came back half way of the box size. This time, I'm not gonna try to catch a running train because:

1. price did not go tap the lower TL.
2. price already touch the top and bottom TL several times so I was anticipating that the price might make a breakout south soon.

From this point onward I was only gonna focus on getting in at the top because my anticipation is price will fall hard seeing how the price behave and yesterday's crash. So I got another opportunity to enter the market and this time it's a DT. Price could not make a new high. I held onto this trade and it got BE because I moved my SL to BE earlier.
everything was perfect but (zoomed in).png

For the next trades I was using fractal because there is no pattern and price is moving faster away from the top TL. It got killed. And then I entered another one using the same logic. Also got killed lolz
The 3rd position is the charm and it was moving down smooth..... until that big a$$ green candle crushed it super lolz I was already sleeping when that happen.
everything was perfect but (zoomed in) 2.png

everything was perfect but (zoomed in) 4.png

everything was perfect but (zoomed in) 3.png

But, as you can see from H1 chart that eventually the market hit my intended TP @0.98103. Things happen in the market. Can't always get what you want

edit:
WIL:
1. if price previously went down and then the channel goes up it means the expectation is it will breakout to the south. This is obvious for those who learn western chart patterns.
2. the most common channel formation is 2 touches to the top TL (if price previously went down) or 2 touches to the bottom TL. I call it the Golden touch to differentiate them from the countertrend touches.
3. the touches could go more if the pattern is extended.
4. this is also called flat or correction.
5. with Golden touch the chance that the price will eventually go down increases.
6. patterns do fail.
7. patterns can morph along the way.
8. 1x morph is common but 2x or 3x times can also happen.
9. check higher tf for possible chart because patterns in pattern happen every day, especially with a M1, H1 and D1 combo.

This is a very nice post. Thx Don.
There are so many things in here that are interesting for me.
Most important thing so far is that the price swings you look at are a bit bigger (or maybe the appropriate word is flexible) as I see them.
Next to that sometimes I tend to forget that it's ok to have a couple of trades going against me because you'll wipe out the losses later.

Yes, the bigger market structure gives a lot more flexibility for your entry and also for the losses. This is one of the functions of trade grading. If your trade only has a "potential" of 1R then it's really not worth taking unless you are scalping. This will also play in your psyche.

[Don_xyZ]

Anchor Trade (vanilla)

There are 2 types of anchor trade, the Daily Anchor trade and the Regular Anchor trade. The Daily is to indicate intra-day trading as the trade is usually done from start to finish during the trading session. The Regular is to target multi-day market structure extreme point.



The image resolution for the chart above is 4K so I had to resort to using a pic hosting site to upload it. (For those who are technologically challenged, you can open the image in a new tab to view the chart in its actual size.)

Sorry for the watermark. There are lazy people out there using other people's work and teaching crazy stuff to aspiring traders. They must use their own stuff to teach their stuff. Also, people must know that I only post this stuff on Kreslik and this is the place to learn about it.

The indicator to draw the boxes is called MarketSessions. It's used to visualize the extreme points (high and low) of the market session.

Sam S/D refers to Sam Seiden's Supply and Demand
IF FTR refers to IF Myante's Fail To Return concept of Supply and Demand

Weakness:
1. There will be days when the previous session is well beyond the new session's reach. I already post this thing here:
post155857#p155857
2. There will be days of struggle where the price just go up and down having a hard time deciding the direction. Indecision is the keyword here.
3. There will be days when everything was perfect but then the market just leaves without giving your an obvious place for your entry.

Strength:
1. The target is much bigger than the risk.
2. There will be days when things are just perfect.
3. There will be days for doing ping-pong during the whole session.

This trading method should not be used alone due to its weaknesses. Scalping must be used in conjunction to cover for the potential losses when weakness #2.

This kind of anchor trade is a waiting game as in you must wait for the price to go to the zone and see the reaction before entering a trade. Never force a trade.



Hope it helps!

Screenshot_20221017-165546.png (202.69 KiB) Viewed 1865 times

[Yirbu]

Anchor Trade (vanilla)

There are 2 types of anchor trade, the Daily Anchor trade and the Regular Anchor trade. The Daily is to indicate intra-day trading as the trade is usually done from start to finish during the trading session. The Regular is to target multi-day market structure extreme point.



The image resolution for the chart above is 4K so I had to resort to using a pic hosting site to upload it. (For those who are technologically challenged, you can open the image in a new tab to view the chart in its actual size.)

Sorry for the watermark. There are lazy people out there using other people's work and teaching crazy stuff to aspiring traders. They must use their own stuff to teach their stuff. Also, people must know that I only post this stuff on Kreslik and this is the place to learn about it.

The indicator to draw the boxes is called MarketSessions. It's used to visualize the extreme points (high and low) of the market session.

Sam S/D refers to Sam Seiden's Supply and Demand
IF FTR refers to IF Myante's Fail To Return concept of Supply and Demand

Weakness:
1. There will be days when the previous session is well beyond the new session's reach. I already post this thing here:
post155857#p155857
2. There will be days of struggle where the price just go up and down having a hard time deciding the direction. Indecision is the keyword here.
3. There will be days when everything was perfect but then the market just leaves without giving your an obvious place for your entry.

Strength:
1. The target is much bigger than the risk.
2. There will be days when things are just perfect.
3. There will be days for doing ping-pong during the whole session.

This trading method should not be used alone due to its weaknesses. Scalping must be used in conjunction to cover for the potential losses when weakness #2.

This kind of anchor trade is a waiting game as in you must wait for the price to go to the zone and see the reaction before entering a trade. Never force a trade.



Hope it helps!

Screenshot_20221017-165546.png

This is nice. A lot more structure and a framework! I can see that my trades were "very loosely" based on your style, ha, ha.
I also see why yesterday, a day where London wasn't really choosing a direction is still valuable.
Yesterday I got a bit annoyed that price kept coming back at my entries but in the end the pips started adding up.
If I wouldn't have scalped I would probably ended up with a loss.

Will implement this asap and see how it fits me.
Often price tends to whipsaw at the extremes like today there was a 12 pip zone at the bottom of Londen where it went up and down for over an hour. I was in from the top of London but got out to go long, got whipsawed a couple of times and my profit diminished very fast.

Thx Don!

[kiwiarian]

Thanks very much, very timely post, I was trawling through the threads trying to find out what was an anchor trade.
I actually have that indicator, never used it as yet for a strategy.
Looking up the references, first time I have heard of If Myante, found a video hopefully its the right one explaining Fail to Return https://www.youtube.com/watch?v=yDe3XCZLjy4&t=19s

Today I found a podcast on trading Nut interviewing If Myante talking about how he trades where stop hunting levels (Mo ideas) are and talked about the how the markets are designed to make us all poor. Probably right, but will keep reading and learning.

[Don_xyZ]

As I am still unwell (for days now), I thought of just posting stuff.

This kind of trade can be used for scalping to assist an Anchor trade or be used solo along with parlay. For those who are new to my thread, you can check out the link in my signature below to read about parlay and other important stuff regarding my thought process.



As we are talking about scalping, you might wonder "what if there is another scalp op appearing even though there is still a scalp trade running?" It's totally up to you. Even so, if you are new to trading then I suggest to just do one scalp after another so at any time you only have 1 scalp trade open. On the flip side, the scalp can turn out to be a good anchor trade. Essentially, an Anchor trade is always found at the extreme point on the trading session so if this scalp coincidentally is printed at or in the vicinity of the extreme then it can be turned into an anchor trade. However, the choice of turning a scalp into an anchor trade requires more consideration than just being at the top or bottom of the session.

There exist multiple scalp trade ops during a trading session and this is a blessing only scalpers can relate.

edit:
Cautions!

weaknesses of bo.png (63.31 KiB) Viewed 1745 times

Generally speaking, rectangles, triangles, channels or any other consolidation phase patterns is a huge obstacle for BO type trading that is why you must check the surrounding market conditions before entering a trade.

Hope this helps!

[Don_xyZ]

Thanks very much, very timely post, I was trawling through the threads trying to find out what was an anchor trade.
I actually have that indicator, never used it as yet for a strategy.
Looking up the references, first time I have heard of If Myante, found a video hopefully its the right one explaining Fail to Return https://www.youtube.com/watch?v=yDe3XCZLjy4&t=19s

Today I found a podcast on trading Nut interviewing If Myante talking about how he trades where stop hunting levels (Mo ideas) are and talked about the how the markets are designed to make us all poor. Probably right, but will keep reading and learning.

Yes, that's him. I used his concept but apply it with my own style.
He has his own clubs, branded RTM. Just google If and RTM and you'll get wonderful results.
Just don't get too caught up with marking the chart too much like everyone in his group lolz

[Yirbu]

As I am still unwell (for days now), I thought of just posting stuff.
.
.
.
Hope this helps!

Oooo...I hope you will feel well soon!

[Don_xyZ]

As I am still unwell (for days now), I thought of just posting stuff.
.
.
.
Hope this helps!

Oooo...I hope you will feel well soon!

Just some quick scalp. 2nd trade is 1/3 the size of the 1st trade. Went with a heavy lot size on the 3rd trade, like 10x the size of the 1st trade. All trades have no SL when entered. Need to feel alive lolz

just scalp.png (88.12 KiB) Viewed 1712 times

As the price went down, I lock the position to BE+ some pipettes. Zoom in to check the SL. The session is still young but I'm drained already lolz.... sucks to get sick. All in all, 10%++

[Don_xyZ]

The logic for yesterday's decision to trade.

Actually, I put this chart up yesterday but I took it down coz I thought to myself I don't sell signal and don't try to gain audiences lolz (crazy thinking, I know. Like who am I anyway, right? when you're sick, you're not in your right mind I guess)

potential Nov. 10, 2022.png (254.94 KiB) Viewed 1658 times

potential Nov. 10, 2022 after.png (218.41 KiB) Viewed 1658 times

potential Nov. 10, 2022 after 2.png (200.63 KiB) Viewed 1658 times

I exited yesterday coz the price dropped right into that RBR pattern and then suddenly the speed of price moving decreased so I thought it's better to exit now and maybe enter again later after this RBR pattern is broken (which I didn't anyway coz obviously when you're sick it's really dangerous to trade coz nobody in the market gives a damn). There were multiple great entries hours before the price's flight and it's a pity I wasn't in any of them.

If only MT4/5 have the sync function like TV it would really ease drawings across multiple open charts for the same symbol.

Gonna have an early weekend hoping to fully recover by next Monday.

[kiwiarian]

The logic for yesterday's decision to trade.

Actually, I put this chart up yesterday but I took it down coz I thought to myself I don't sell signal and don't try to gain audiences lolz (crazy thinking, I know. Like who am I anyway, right? when you're sick, you're not in your right mind I guess)

potential Nov. 10, 2022.png

potential Nov. 10, 2022 after.png

potential Nov. 10, 2022 after 2.png



I exited yesterday coz the price dropped right into that RBR pattern and then suddenly the speed of price moving decreased so I thought it's better to exit now and maybe enter again later after this RBR pattern is broken (which I didn't anyway coz obviously when you're sick it's really dangerous to trade coz nobody in the market gives a damn). There were multiple great entries hours before the price's flight and it's a pity I wasn't in any of them.

If only MT4/5 have the sync function like TV it would really ease drawings across multiple open charts for the same symbol.

Gonna have an early weekend hoping to fully recover by next Monday.

Post what you feel comfortable with. I don't think people will treat this as a signals area but more of a study/concept place. Beginners like my self probably have to read this stuff 4 or 5 times to grasp the concepts and are not thinking about catching the same move. The Pros would have already been in and out using their own system no doubt.
On MT4 I have a script from the market place called "Chart Drawing Cloner" and it's really useful for copying drawing objects (eg Rectangles) from say a 5min chart to a 1 chart.