PRICE ACTION TRADING MANUAL
The strategy shown in this Trading Manual is based on identifying High Probability Chart Patterns across several of the most liquid currency pairs, using the Daily & 4 Hour Charts. This is done independently of;
CHART PATTERNS
The Japanese Candlesticks that are seen across the Currency Market have an identifiable cycle of patterns and signals on a Daily and Weekly basis. Since the Larger Time Frames offer greater stability relative to the Smaller Time Frames, a trading plan based on the patterns on those time frames has a much greater chance of providing Long-Term success.
SHORT-TERM TRADING
Most persons that were exposed to the market for the first time were likely to have headed straight for the Smaller Time Frames in an attempt to capture small, but quick pips. However, the 98% high failure rate of Currency Traders is highly correlated with the persistent use of these volatile time frames. In addition to this, the daily stress and frequent losses experienced by Day Traders are constantly being caused by;
• Indecision about the size of stop losses and pip targets;
• Switching between pairs to decide which to trade in the very short trading day;
• Anxiously waiting on a target to be hit;
• Indecision as to whether to monitor a trade or leave it until it is closed;
• The pressure to meet daily or weekly pip targets/monetary goals;
• Falling to the temptation of violating a trade plan to meet these targets;
• Tediously adjusting parameters of indicators to get the best signals;
• Trying to stay objective while wanting to take ´revenge´ on the market;
Sound familiar?
With the revenue, profits and salaries of Trading Companies and Brokers dependent on their clients’ trading turnover, it is no wonder why Retail Traders are encouraged into the high frequency but low probability approach to trading. With Trillions of Dollars in circulation in the Forex market, wouldn't we all want to do the same thing if we were in charge of these companies?
Trading is just a click away and with the ability to see several pips of movement happening right in front of us everyday, it is very tempting to want to trade when we want to. But the desire to trade is one thing and the reality of the market is another.
Feeding our emotions on a regular basis when it comes to money is a recipe for disaster; using Discipline, Patience and Self-control along High Probability, Stable Trades are the pillars for financial success over the LONG-TERM.
STATISTICAL INDICATORS AND ECONOMIC DATA
Statistical Indicators are the most widely used tools in trading, but most are based on past price data. This makes them lagging in nature and inaccurate when providing entry signals. Short-term economic data are also used to support technical-based trading, but most are often quite volatile and lead to erratic, short-lived reactions. Since the major economic factors that actually lead to strong currency movements will be reflected on the Larger Time Frames, using these signals for market direction will always be the better decision for traders.
PRICE ACTION METHODOLOGY
In contrast to the problems of Day Trading, the Larger Time Frames and the Methodology in this 166-Page eBook will provide;
• High Probability Trade Setups that Require Less Trading;
• Predictable times for entry using the Daily and 4 Hour Charts;
• Clear Candlestick Patterns that start and end Trends;
• 100- 200 Pip Trades such as those executed during the Financial Crisis;
• Practical, Unemotional ways to avoid checking trades;
• Pre-determined exit rules based on each trade setup;
• Weekly & Monthly Ranges not seen in any other strategy;
• A PROVEN SET OF PARAMETERS BUILT ON 10 YEARS OF ANALYSIS OF MARKET PATTERNS;
In line with this approach, here are a few examples of the trades and setups that arose between the end of December 2013 and April 2014. The Methodology uses the signals provided by FXCM charts which use the New York Close -best for this strategy- while the results of the trades are from the charts of Dukascopy were I have my account.
Although each of these setups were approximately 1 week apart, their combined results have already dwarfed those of the top 10 Currency Traders as Ranked by BarclayHedge for 2014.
TABLE 1 - 5% RISK PER TRADE
View attachment 4750
NZD CAD
CAD JPY
CAD CHF
Results such as these were also possible during the last 6 years of Economic and Financial turmoil.
GBP CHF
CHF JPY
This trade was a bit more aggressive than the others, but most trade results have been within the pre-determined range of 100-200 Pips.
EURO JPY
GBP CHF
As with these and subsequent trades, only the basic aspects will be given. Full details will only be provided/understood while using the Trading Manual. However, the main objectives of the Methodology are:
1. Identifying Market Direction using Candlestick Patterns;
2. Waiting on the Signals of the Daily & 4 Hour Charts;
3. Trading in the Direction of the Weekly & Monthly Ranges;
4. Aiming for 100 to 200 Pips per trade;
5. Holding Trades for a Pre-Determined Holding Period;
Follow the trades in my thread and see a more consistent way of trading.
Get the Trading Manual and be a part of a World Class approach to making money.
The strategy shown in this Trading Manual is based on identifying High Probability Chart Patterns across several of the most liquid currency pairs, using the Daily & 4 Hour Charts. This is done independently of;
- Lagging Statistical Indicators;
- Volatile & Stressful Smaller Time Frames;
- Contradictory Economic News;
CHART PATTERNS
The Japanese Candlesticks that are seen across the Currency Market have an identifiable cycle of patterns and signals on a Daily and Weekly basis. Since the Larger Time Frames offer greater stability relative to the Smaller Time Frames, a trading plan based on the patterns on those time frames has a much greater chance of providing Long-Term success.
SHORT-TERM TRADING
Most persons that were exposed to the market for the first time were likely to have headed straight for the Smaller Time Frames in an attempt to capture small, but quick pips. However, the 98% high failure rate of Currency Traders is highly correlated with the persistent use of these volatile time frames. In addition to this, the daily stress and frequent losses experienced by Day Traders are constantly being caused by;
• Indecision about the size of stop losses and pip targets;
• Switching between pairs to decide which to trade in the very short trading day;
• Anxiously waiting on a target to be hit;
• Indecision as to whether to monitor a trade or leave it until it is closed;
• The pressure to meet daily or weekly pip targets/monetary goals;
• Falling to the temptation of violating a trade plan to meet these targets;
• Tediously adjusting parameters of indicators to get the best signals;
• Trying to stay objective while wanting to take ´revenge´ on the market;
Sound familiar?
With the revenue, profits and salaries of Trading Companies and Brokers dependent on their clients’ trading turnover, it is no wonder why Retail Traders are encouraged into the high frequency but low probability approach to trading. With Trillions of Dollars in circulation in the Forex market, wouldn't we all want to do the same thing if we were in charge of these companies?
Trading is just a click away and with the ability to see several pips of movement happening right in front of us everyday, it is very tempting to want to trade when we want to. But the desire to trade is one thing and the reality of the market is another.
Feeding our emotions on a regular basis when it comes to money is a recipe for disaster; using Discipline, Patience and Self-control along High Probability, Stable Trades are the pillars for financial success over the LONG-TERM.
STATISTICAL INDICATORS AND ECONOMIC DATA
Statistical Indicators are the most widely used tools in trading, but most are based on past price data. This makes them lagging in nature and inaccurate when providing entry signals. Short-term economic data are also used to support technical-based trading, but most are often quite volatile and lead to erratic, short-lived reactions. Since the major economic factors that actually lead to strong currency movements will be reflected on the Larger Time Frames, using these signals for market direction will always be the better decision for traders.
PRICE ACTION METHODOLOGY
In contrast to the problems of Day Trading, the Larger Time Frames and the Methodology in this 166-Page eBook will provide;
• High Probability Trade Setups that Require Less Trading;
• Predictable times for entry using the Daily and 4 Hour Charts;
• Clear Candlestick Patterns that start and end Trends;
• 100- 200 Pip Trades such as those executed during the Financial Crisis;
• Practical, Unemotional ways to avoid checking trades;
• Pre-determined exit rules based on each trade setup;
• Weekly & Monthly Ranges not seen in any other strategy;
• A PROVEN SET OF PARAMETERS BUILT ON 10 YEARS OF ANALYSIS OF MARKET PATTERNS;
In line with this approach, here are a few examples of the trades and setups that arose between the end of December 2013 and April 2014. The Methodology uses the signals provided by FXCM charts which use the New York Close -best for this strategy- while the results of the trades are from the charts of Dukascopy were I have my account.
Although each of these setups were approximately 1 week apart, their combined results have already dwarfed those of the top 10 Currency Traders as Ranked by BarclayHedge for 2014.
TABLE 1 - 5% RISK PER TRADE
View attachment 4750
NZD CAD
- Consolidation Setup on Daily Chart;
- Entry after Breakout Signal provided;
- Exit at Pre-Determined Target;
CAD JPY
- Trading Within Consolidation;
- Entry using the 4 Hour Chart;
- Exit at the Support Boundary;
CAD CHF
- Break of Daily Chart Pennant;
- Aiming for 200-Pip Target;
- Exited early since trade exceeded Holding Period Limit;
Results such as these were also possible during the last 6 years of Economic and Financial turmoil.
GBP CHF
- Daily Consolidation Setup;
- Entry after Breakout Signal given;
- Exit at Pre-determined target;
CHF JPY
- Daily Consolidation Setup;
- Entry after Breakout Signal given;
- Exit at Pre-determined target;
This trade was a bit more aggressive than the others, but most trade results have been within the pre-determined range of 100-200 Pips.
EURO JPY
- Breakout From Daily Pennant;
- Aiming for 200-Pip Target;
- Target hit the Following Day;
GBP CHF
- Trade 1- Trading within Consolidation;
- Trade 2- Breakout from Range;
- Trade 3- ABC Signal;
As with these and subsequent trades, only the basic aspects will be given. Full details will only be provided/understood while using the Trading Manual. However, the main objectives of the Methodology are:
1. Identifying Market Direction using Candlestick Patterns;
2. Waiting on the Signals of the Daily & 4 Hour Charts;
3. Trading in the Direction of the Weekly & Monthly Ranges;
4. Aiming for 100 to 200 Pips per trade;
5. Holding Trades for a Pre-Determined Holding Period;
_________________________________________________
Follow the trades in my thread and see a more consistent way of trading.
Get the Trading Manual and be a part of a World Class approach to making money.
________________________________________________
Currency Trading With the Daily & 4 Hour Charts
Available Now for US$89.99 at
http://www.lulu.com/shop/duane-shep...ily-4-hour-charts/ebook/product-21662385.html
________________________________________________
Currency Trading With the Daily & 4 Hour Charts
Available Now for US$89.99 at
http://www.lulu.com/shop/duane-shep...ily-4-hour-charts/ebook/product-21662385.html
________________________________________________
