Support, Resistance & Chart patterns

[slipshod]

ROFL!

I never thought of indicators that way before

[NeoTrader]

@liam,

bruahhhaahahaha.....that was a good one....

good comparison...

happy sunday,

Neotrader

-

[slowkey]

Thank you for a great price action board slipshod.


The lawyer replies,

" He says you don't have the balls to pull the trigger."

Liam that was a treat !

[slipshod]

Some thoughts on AUDCHF...

[Liam]

I never have been able to consistently spot and use Wolf Waves effectively. I need to train my eye better I guess.

[slipshod]

Yes its just a matter of practice really. Even when you see one, evidence of the price turning is needed before you trade it - and that hasn't happened yet with AUDCHF as its still tracking higher. The danger with these reversal patterns is they encourage you to fade the market, which is a sure way of emptying your account in record time

[Liam]

I have been trying to find info on the C Fork. Most of the available material is of course Russian. I did find a French Website, but it would not load. I figure I can read French well enough to make sense of it but Russian is not in my list of skills. I will try the French one again later and see if it loads.

Anyhow, at the MQL4.com site there is an article on mechanical trading the Chuvashovs fork, plus a lot of code that goes with it. My Empty4 coding is minimal. (I used to write Pascal code at one point in the past so I can understand a lot of Empty4 but I am not up to coding anything too complex.)

I wonder if programming a trading assistant, one that takes a trade at a the break of a fork and reverses at the next one (or closes there) would be worth while? I have yet to really delve deep into the whole business of automated trading but I do like the idea of trade managers and the C fork might be better to do this with than many other ideas.

[slipshod]

I've taken a look at the C-fork EA posted on that thread, and like lots of simple concept implementations it makes a steady loss. It'd need to be combined with other factors (support & resistance? Oscillators? MA Cross?) to have a chance of being a profitable trading system.

For me I use the C-fork as a guide only to verify that no, the trend hasn't reversed yet, don't trade against it & stick with my existing trades! Or vice versa as evidence of a reversal. Even then I find I'm better off seeing them by eye than adhering strictly to the rules put in that mechanical thread. For instance...

[Liam]

I certainly agree that drawing them by hand is better than any indicators. Just like Wolf Waves, a trained eye is needed. Practice, practice, practice.

[slipshod]

I posted this one for EURUSD on the SAFT thread a couple of weeks back:-

, larger size can be seen in the post here: http://www.stevehopwoodforex.com/phpBB3 ... 722#p21722

I should really have added it here too, didn't think to do so at the time. Here's EURUSD now:-

eu_20120909.png

Its not the only one, a smaller pattern on AU also formed on the H1 chart:-

au_20120909.png

These two are also interesting in that they both show bullish engulfing candle patterns when the trend changed, and retests of the top of the wedge that'd provide strong entry points.

Lately I've been trying to expand my trading techniques to include Wyckoff principles plus the basics of VSA along with some volume-based indicators, namely OBV and my own variant of Ease of Movement. Although I consider the SAFT experiment a failure as the method was too, well, naive imho ... it did open my eyes to the power of volume and its usefulness in trading. As I incorporate it into my trading, assuming it proves as successful as I hope, I'll probably start posting examples here.