The Captains Chest - Naked Trading & Other Stuff

[michosz]

When Stop Hunt occur between L1 and L2 I shouldn't expect SH between L2 and L3 ?

[rewand]

I was hoping somebody can answer this for me.

I have notice that sometimes it makes a w pattern and it then goes up and sometimes it doesn't. Same thing when its going down. Sometimes it makes a M pattern and sometimes it doesn't.

Is there anything do that?

Why bother with the ws? As I understand you trade the context and enter when they are in a muted state. So even before they ahow up you should already know whether there is opportunity or more patience is required. Why would you want to trade those marked areas?

[forex23]

Well when I say W and M patterns forming I meant at the 1 level up or down.

So I was wondering if there where something to that because If you look sometimes on a 1 hour it doesn't form a M or W but on a 15 min it does. Same thing goes for higher time frames. Sometimes on a daily it just forms a peak but on the 1 hour or 4 hour it form the M or W to start lvl 1 up or down.

I also ask because CJ always says look for levels on a 1 hour chart and look for entry or M/W on the 15 min.

So if you trade the daily I am guessing you look for M/W on the 1 hour and so on.

Oh and also I don't mean you have to enter on W/M. I was just wondering if there was something to that

[Rinehart]

You will not always get an M or a W. They are the most common at the end of a cycle of three levels of rise or three levels of fall. If you see railroad tracks, those are an M or a W on a lower time frame.

If you see a spike down or up in this place without making the additional leg of the pattern, CJ calls that a straight away move. He says that foxy has trapped enough traders going the wrong way to fill his orders and he doesn't want to release them.

[rewand]

Well when I say W and M patterns forming I meant at the 1 level up or down.

So I was wondering if there where something to that because If you look sometimes on a 1 hour it doesn't form a M or W but on a 15 min it does. Same thing goes for higher time frames. Sometimes on a daily it just forms a peak but on the 1 hour or 4 hour it form the M or W to start lvl 1 up or down.

I also ask because CJ always says look for levels on a 1 hour chart and look for entry or M/W on the 15 min.

So if you trade the daily I am guessing you look for M/W on the 1 hour and so on.

Oh and also I don't mean you have to enter on W/M. I was just wondering if there was something to that

Another thing I notice on your first W is that it is not part of a push down but looks like a retest of the previous low. Although there is a low at that level but where would you start expecting the W to form during action time? Are you sure to start drawing it where you started? I may be wrong but I do not like that W as a W. In intraday trading, it cant be that any W at edges qualifies for a trade, while on higher TF we need a push for a proper W. Am I wrong?

[forex23]

I was just trying to show and example. I pick that spot randomly.

Also from what I have seen as long as there are 3 levels down do a previous low or high it tends to work. But u still need to see what level you are on on the higher time frames.

And don't worry I am just gonna do more research into it my self and see what I find.

Thank you for you answers

[fahedksa]

Let me ask a important question for me :
We are looking to trade from Peak High to Low and Low to High , but what time frame should i look for it ?1H or M15? Specially if i am daily trader not keep my trades more than one day.
TO consider price in peak area , For how long i have to look back to consider price is really in Peak area?
I know may be it silly question but really need to know.
Thanks

[michosz]

UC
Hm....

[rewand]

UC
Hm....

Wanted to say to be careful with this one but I've just heard the news bell ringing...
Reasons:
We seem to be on level 3 of the upmove, I think you have formed a M out of the 3rd level, instead of waiting for a push up. Your source of M is the candle as the third push up, a 1 hour candle.
The overall trend is up (we are at level 1 on the H4), with the USD being very, very strong. So you are trading against the trend.
News time interference. We are far from reaching ADR, it all could go the other way..
I do not understand your target: intraday target.. isnt it supposed to be max 50 pips?
I may not be right as usual but I feel it is a risky trade..

[Noucha]

Following Foxy on EG and NJ