The Captains Chest - Naked Trading & Other Stuff

[TraderJoeForex]

Thanks TraderJoe! You've renewed my interest in this pattern. I traded this pretty heavy a few months ago with some success but got burned when the breakout of K went the opposite direction of the lead in to point A vs. a continuation. Have you experienced that? or maybe I was seeing an A-K that wasn't there.
Edit: Maybe I should just stick to trading between the points.

Hi Mike,

Great. I think we should all be very interested in this pattern. It was an amazing gift from CJ and I noticed that those that could "see" kept reposting it occasionally throughout this great thread and now I know why! So I am just doing my bit to keep it prioritized for anyone reading.

The lead in to point A can come from either direction long or short. It took me a while to realize this. What tells the direction is not the lead-in but the orientation of A B C and the confirmation is when the move to D breaks the high or low of B. Only then do I start looking for trades.

I am sure there must be occasions when this formation doesn't hold true and if we come across them we should definitely post them so that we can all learn from them too.

[MikeB]

Thanks TraderJoe! You've renewed my interest in this pattern. I traded this pretty heavy a few months ago with some success but got burned when the breakout of K went the opposite direction of the lead in to point A vs. a continuation. Have you experienced that? or maybe I was seeing an A-K that wasn't there.
Edit: Maybe I should just stick to trading between the points.

Hi Mike,

Great. I think we should all be very interested in this pattern. It was an amazing gift from CJ and I noticed that those that could "see" kept reposting it occasionally throughout this great thread and now I know why! So I am just doing my bit to keep it prioritized for anyone reading.

The lead in to point A can come from either direction long or short. It took me a while to realize this. What tells the direction is not the lead-in but the orientation of A B C and the confirmation is when the move to D breaks the high or low of B. Only then do I start looking for trades.

I am sure there must be occasions when this formation doesn't hold true and if we come across them we should definitely post them so that we can all learn from them too.

I agree with your method of entry TJF. It's a very exciting pattern to trade especially in 1hr and 4hr because it happens fairly quickly, and you're cashing in on both ends when you know you've nailed the pattern down.
Thanks again for sharing your experience!

[MikeB]

This is one instance where I lost playing for a large breakout from point K long. I also see now where I was trading long from a peak high/Level 3. Regardless of whether the A-K pattern was legit, or just my imagination, I could have saved myself from a loss by looking at the cycle/levels.

[TraderJoeForex]

This is one instance where I lost playing for a large breakout from point K long. I also see now where I was trading long from a peak high/Level 3. Regardless of whether the A-K pattern was legit, or just my imagination, I could have saved myself from a loss by looking at the cycle/levels.

Yes trading away from Peak HiLo's definately important for the breakout trades.

Here another one just got into on NJ

[xrismak]

Hello Folks,

USDCNH @ 01-26-04 On 11-10-17.png

And Goodbye...


Happy Trading,
xrismak

[jksynergyworks]

Thanks for sharing. I have been looking at the pattern but did not see the connection. Now that you have highlighted it, things become clearer. Thanks again.

Hi Mike,

Great. I think we should all be very interested in this pattern. It was an amazing gift from CJ and I noticed that those that could "see" kept reposting it occasionally throughout this great thread and now I know why! So I am just doing my bit to keep it prioritized for anyone reading.

The lead in to point A can come from either direction long or short. It took me a while to realize this. What tells the direction is not the lead-in but the orientation of A B C and the confirmation is when the move to D breaks the high or low of B. Only then do I start looking for trades.

I am sure there must be occasions when this formation doesn't hold true and if we come across them we should definitely post them so that we can all learn from them too.

[Shoddy]

Thanks a million for your explanations and examples TJF, the map is a lot more clear to me now, seeing the pattern helps but I think understanding the psychology behind the move is way more important. I'm gonna print your maps and examples and nail them to the wall, thanks again!

/R

Yes trading away from Peak HiLo's definately important for the breakout trades.

Here another one just got into on NJ

[Shoddy]

I saw it a bit different, marked it up a couple of hours ago, it's heading towards H now.
What do you think?

/R

Yes trading away from Peak HiLo's definately important for the breakout trades.

Here another one just got into on NJ

[TraderJoeForex]

I saw it a bit different, marked it up a couple of hours ago, it's heading towards H now.
What do you think?

/R

It's looking a definate possibility right now

However If I zoom out and look at what happened previously above this area I still expect that push up so will be interesting now to see how it plays out.

[Shoddy]

Always easier to be correct after the move.....I need a time machine

It's looking a definate possibility right now