[SpecTrade]

Well, I've decided to really do it. To put every trade I take in public. I've tried that before but never had the discipline to follow through.

What I trade is Forex & Gold. I also analyze SP500, sometimes other markets.
EURUSD, GBPJPY, USDCAD, GOLD, GBPUSD, alternatively also EURCAD, AUDUSD, AUDJPY.

My trading methodology, indicators, etc is two-fold:

1. I successfully use moving averages. I treat them as Floating S/R zones. (Minor ones are ema 8,13,21, middle: ema 100, 150, to some markets 89, major sma200, ema 275, ema 365, weekly ema52 high/low is quarterly mean reversion for me, monthly ema 70 with specific levels is yearly mean reversion for me)

2. Swings: 18-day swings, 10-day swings, 5-day swings. On these I use price zones, for example retracements (37, 50, 62) and other areas of interest. Swings also help me to identify Price Pivot Zone, where demand becomes supply, v/v. Retracements are made in simple way or counting price and time, for these I use Donn Fisher's Dynamic Gann Levels or, Andrew's Pitchforks, or Fib Channels.

3. Price action setups must occur at the areas of interest listed above.

4. Triggers are bars formations, such as: reversal/key reversal, pin bar, inside bar, tweezer. If price reacts from the interest zone but has shown none of the above I use heiken-ashi change of color to get me in.

No, my charts are not clean. I usually trade using 3 charts: MA chart, Geometric chart (swings), and on CAD and Gold I also use 8-hour charts.

The strategy is a combination of couple of systems/strategies that I've tested for about 5 years. I call it Energy or Market NRG. Many thanks to all the traders who were willing to share, and to all the writers whose books made some difference in my own trading.

[SpecTrade]

EURUSD short @ 1.2975, SL@1.3122. Closed below yearly mean reversion (YMR) support, then touch trade slightly below that area. Now half to B/E, half to 1.2911


Gold long @1.5678 SL@1.5171. Pin bar off 365ema on 1 chart. 2nd chart shows harmonic bullish pattern, horizontal terminal pattern (HTP) with spring (SPR), price pivot zone (PPZ). Now SL=1.595

USDCAD long @ 1.0165 S:@1.0065-1.0030 staggered. Reaction of 150ema support, quarterly mean (QMR), yearly mean support YMRS), and DGL setup.

[SpecTrade]

Another long order @ 1.0132. SL staggered @1.0135/1.0080 (Total SL 125pips).
Lower Bollinger Band support (which is also J.Harts' 18-day floating support). Yearly Mean support & 100ema. That's the setup. In each of my setups I want to see at least 2 things converge, so for a long position I'm looking for 2 kinds of support.
The trigger on this chart was Heikenashi color change. Order not filled yet.

[MightyMouse]

Originally Posted by SpecTrade »

EURUSD short @ 1.2975, SL@1.3122. Closed below yearly mean reversion (YMR) support, then touch trade slightly below that area. Now half to B/E, half to 1.2911


Gold long @1.5678 SL@1.5171. Pin bar off 365ema on 1 chart. 2nd chart shows harmonic bullish pattern, horizontal terminal pattern (HTP) with spring (SPR), price pivot zone (PPZ). Now SL=1.595

USDCAD long @ 1.0165 S:@1.0065-1.0030 staggered. Reaction of 150ema support, quarterly mean (QMR), yearly mean support YMRS), and DGL setup.

When did you get into this trade?

[SpecTrade]

Originally Posted by MightyMouse »

When did you get into this trade?

I checked the dates of my orders:
EUR 2011.12.29 filled on 30th
Gold 2011.12.30 filled on same day
CAD 2012.01.04 filled same day

[SpecTrade]

Originally Posted by SpecTrade »

Another long order @ 1.0132. SL staggered @1.0135/1.0080 (Total SL 125pips).
Lower Bollinger Band support (which is also J.Harts' 18-day floating support). Yearly Mean support & 100ema. That's the setup. In each of my setups I want to see at least 2 things converge, so for a long position I'm looking for 2 kinds of support.
The trigger on this chart was Heikenashi color change. Order not filled yet.

long entry order triggered

[SpecTrade]

short EUR stop moved @1.2836 and half @ BE

CAD long 1st trade stops @1.0154, 2nd trade stops unchanged

[SpecTrade]

Every week if I have time I will try to show the way I identify some setups. Today I show 5-6 charts of USDCAD D1 timeframe with 3 lines:
thin line is 100ema,
thick one is 275ema,
orange is 365ema.

When the price comes near any one of these ema's from above I identify this as Floating Support areas of interest. Possible long setup.
When the price comes near any one of these ema's from below I identify this as Floating Resistance areas of interest. Possible short setup.

On the following charts I marked resistance with downward arrows and support with upward arrows.
Obviously price doesn't respect these areas each time, sometimes it will sit there and whipsaw for awhile, other times it will cut through all of the line hot knife through butter. If it didn't we would have a perfect trading system based on nothing but touch trades off these areas and all of us will be millionaires.

However, study these charts (years 2000-2004 I believe) and see how often it was possible to make some good pips/$$$ just by trading near these areas. You need to develop a trigger that is within your trading style. My one is on Daily, but if you want to sit and wait for daytrade, you could possibly get some serious pips after a few trials. Careful trade management would be necessary. Risk never more than 1% of your equity (even as low as 0.3%-0.5% will give good success rate) for intraday. Why so small? You probably will get stopped out couple of times without the possibility of reducing SL. Think about it: if you get into good trend on lower timeframe yours SL will be small, position larger, hence RR can be very, very good.
Even on D1 I risk 1-2% only. Usually 1%, since I try scale into positions and also because I trade other pairs. IMO all markets correlate more often than not. When there is change-in-trend on one pair there is also change in many other pairs and even in markets that are not currencies. I have to be prepared for simultaneous entry on 4-5 markets, moreover I need to be prepared if they all go against me without me loosing more than 7-10% max. That's my heat tolerance, yours might be better or worse.

Most important imo is the patience to wait sometimes weeks or even months for what your strategy describes as "setup" area, and what I call an area of interest.

There is nothing new in this lesson. Moving averages is what our grandfathers developed and also traded successfully. I hope this lesson will be helpful to some of you.