Many (if not all) of you have NEVER experienced meltdown markets like we are currently in where liqudity is more important than specific chart levels.
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This doesn’t mean you should noit rely on charts but to be aware that these are not tyoical times.
I will be showing you a way to navigate with patterns that work in all market conditions in Common Sense Trading.
So, in the meantime, ask away if you have any questions.
– Add Channel/Parallel lines to these two extremes – Low and High – this can be just a channel widening , so for now treat it as such.
– As this is 15 min chart, extremes can come as a result of a bigger time frames, like 1h or 4h charts – so check it out
– So you did everything just fine – always expect additional mess…
Gold :
This one you draw perfectly !
I would just instantly add a parallel line ( of inner channel ) on those 3 previous lows – always look for extension possibility and pay attention did any bar closed below the support trendline or not.
As for taking a position – we’ll have to learn how to use these charts in our favour .
Sell was appropriate on the break of that inner trend line
I don’t know maybe you still remember this chart, this is the chart I sent last week and the market has been respecting it. So now I decided to to take a trade, when I saw a order block with fair value gap(FVG) SO I decided to go short, please check it out ☹️
Timeframe David depends first on your margin – bigger margin, bigger time frame – bigger Risk/Reward.
Also, depending on your trading style – aggressive trader, more on the slow side….position taker…
If you trade on smaller time frames like 30 min and smaller, you have more opportunities during the day, but profit targets are smaller as well…so is the risk you take .
Trading on bigger time frames might seem easier and with huge profits, but in reality you have to take a position and sit in it…watching how the rate goes in your favour , just to put you in a losing corner next hour….so you must be 100% sure in your trading system….
As for the ways to trade – after we cover the basics we’ll go that way 😀
I don’t know if xauusd and usdjpy act opposite me because in today’s market gold was bullish why the USD jpy was burished and they are chat look almost the same
David….I am sitting and watching your chart , than my chart….This is Perfect !
You draw this chart about 9h ago – check out 2:00 am ( not sure what your time is, but it is a bar that broke sharply below trendline and closed above it ( so Rule : two consecutive closings to declare a break) .
So if this chart of yours wasn’t just a lucky accident , we should start talking about Entry points and strategy to play this field.
So once you have a perfect chart, what’s missing to be able to use it and to make profits ?
We need a Trigger – to give us a signal to enter the position.
I am going to write first article on this issue over the weekend ( it is a very wide area ) , but once again – you draw a perfect chart-playing field ,and if you understand what you did right we can move forward , but if not you MUST ask questions….
Once you have a playing field, you are starting to get some control.
Resistance
A price level where selling pressure has overcome buying pressure and prices turn downward. Commonly thought of as indicating oversold or overbought conditions.
Support
A price level that is below the market and has been tested at least once and held.
I don’t know maybe you still remember this chart, this is the chart I sent last week and the market has been respecting it. So now I decided to to take a trade, when I saw a order block with fair value gap(FVG) SO I decided to go short, please check it out ☹️
