The Captains Chest - Naked Trading & Other Stuff

[Centrefix]

This has been a masterclass in forex excellence. My thanks go to C.J., Sympathy, InfinateLoop et all. My appreciation of having, what feels like, someone watching over your shoulder is a pure blessing. Keep up the superb work guys so that as we attain the skill sets to pass on to others.

[InfiniteLoop]

closed USDCAD
increased USDJPY SELL order -> news monday morning for JPY

Total for today: 80 % capital increase -> missed my goal of 100%

[caca]

Hi guys .My levels are good?.Can you check it?

[Mustafa]

Hi,
Thank you all. I was blind, Captain Jack opened my eyes. sympathy's charts made it easier for me to recognize patterns. With InfiniteLoop's great help I am closing this week in profit first time.
Best regards.

[caveywoolpert]

Hi guys .My levels are good?.Can you check it?

imo gu is setting up for the next week

[caveywoolpert]

InfiniteLoop, thanks for your live trading with commentaries

[dawidforex]

[ncoyte]

Fellow Naked Traders

Lots of focus on the M and Ws at the moment - remember this is only part of the pattern. Tis important to look for a few other things as well

1/ where are we in the level count? This gives us a bias long or short. This is generally easiest to see on the 1hr chart.

2/ consolidation / accumulation. Where has foxy been building a position? Don't forget to look at the asian session range which sets the initial high of the day and low of the day. These are reference points for breakout traders.

3/ stop hunt. This is the most critical part of the setup. Once foxy has enough traders trapped in weak positions, he will hit the stops to shake them out of their trade, and take their opposite position to them, ready for the real move. Foxy needs those trapped traders exiting in order to get liquidity to buy or sell before the push up or push down. Stop hunts are often M or W patterns - but they don't have to be. They must however have railroad tracks or pins, and those pins should move a bit beyond an obvious level - for example beyond the asian session high or low, peaking beyond a previous swing high or low, breaking an obvious trendline etc etc - this is to sucker traders into initiating positions on the wrong side of the move to come. Foxy often hits the stops high, and then hits the stops low, or the reverse, before starting the real move.

4/ the direction of the real move will be in the direction of the level count - if you've just seen a major peak low - the move is up, if you just seen a major peak high the move is down. don't trade M or W patterns against the move from the peak.

That's a good post. A lot of people are focusing on one or two things and forgetting the rest. It all works together. Taking a trade on an "M" or "W" that not the high or low of the day or week is not a good trade. You might get away with a scalp, I do it at times, but the idea is to take them off the HOD or LOD, or HOW, LOW and ride them for a few days.

CJ

Great post, this answers many of our questions about entry point on the completion of 3 levels count, M and W. Thanks CJ, and Thanks f451 for laying it out.

[InfiniteLoop]

yup acc. says that AUDCAD is gone move up, look for a bounce up around 0.9735, or few pip lower

then you can look for SELL

Hi Infinite your use of Tick Vol Analysis is something that I am working on. Do you read it in same way as Pete Faders ? Put URL here incase you not aware of him. https://www.youtube.com/user/petefaders
Would appreciate any tips on the subject that you feel able to share. My own thoughts are that I think it can be a really useful supplement for the toolbox but the interpretation has to be correct. Thanks

I checked 2 of his videos, just to see general approach he uses.
My response to your question and the content of the videos is:

1. I don't use Tick Vol analysis. My method is based on volume-price analysis. It might not sound like a big difference, but it is. Let's not mix the two.

2. In one of his videos he pointed out an area where they acc. orders. Well he was only partially right, acc. is going on most of the time, it just depends on the size and on which scale. He doesn't understand the process, or he doesn't want to reveal that he does. All he does is look for volume diff. in certain area, which might sound good in theory, but it can be deceiving in practical use.

3. He said that he uses fib levels, supp. res., pivot,... I can tell you 100% that so called big money doesn't move in accordance with those lines. They do use levels at which they aim, but those levels are not public knowledge. Also the price doesn't stop right on target level, they adjust as they go.
I can also tell you that those levels change every day, so even if you knew yesterday's levels, they wouldn't work the next day. They are recalculated.
Just think about it, if you control a lot of capital, you can't just decide randomly what you gone do, you have to have an order or it won't work for long.

4. Acc. of orders is going on different scales (cycles), that's what I mean when I say shortterm or longterm acc. I look at shor term inside a day , and I also take into consideration last 2,3 days including current one.
Longterm is not really longterm, because I watch weekly acc., it's meant longer term than daily.
Shorter cycle has priority over longer one, and when acc on diff. scales come into confluence, than you have a big move (like EURUSD this week). If I simplify, that just means that they acc enough orders short term, that they can execute the big move. If they don't have enough orders, then they'll keep it in range (like GBPUSD and EURUSD on friday).
Important: Do not confuse x period cycle, with x period chart.

I don't know what you mean by toolbox.

I hope this answered most of your questions.

[sympathy]

Hey guys, Happy new week I will post some chart later in the as usual. Am just trying to figure out some good setups because mondays are always slow.Happy trading :hi: