Support, Resistance & Chart patterns

[ismael360]

Well, GJ didn't deliver due to the Yen's continued strengthening on Thursday while the pound rallied. Funny thing is it still might work as the Yen finished Friday softer & is primed for a reveral of its own based on its trading range.

There were superb entries on GU, EU and AU, both long and short. I'd be happy to post them if anyone's interested.

Yes please. Can you please post the GU, EU, and AU charts.

Thanks,

Ish

[slipshod]

Sure Ish, here's GU to begin with (as its easier lol)...

Weekly:

gu-w1-20120928.png

Hourly:

gu-h1-20120928.png

[slipshod]

Here's AU:

[slipshod]

Finally EU. First Hourly...

eu-h1-20120928.png

And then M15...

eu-m15-20120928.png

Btw I'm frequenting the forex4noobs.com chatroom, am happy to discuss trade signals using this method in real-time there if anyone's interested in using this method - its too hard to do using this forum. I could certainly do with the help too as I'm still missing stuff. I wasn't on that GU short as I simply didn't see the wedge form until too late, and multiple pairs of eyes looking for seiden-esque supply/demand levels & wedges are much better than me alone

If you do visit the chatroom, pls bear in mind though that there's other people there who trade other methods, we all try to be respectful & there's often some lively & interesting discussions.

I'm not sure how much I'll keep going with this thread though, as its quite a bit of work putting those charts together & they're often after the fact & hence of little use other than as a learning tool.

[madwt]

Hi slipshod,

I have drawn a c-fork using the blue dotted line. Is this drawn correctly according to your definition of a c-fork? My understanding based on your thread is that the trade I have open short on cable could be held until the the c-fork line is breached. Let me know if I have understood the concept correctly.

Thanks,
d

[slipshod]

Hi madwt, yes that C-fork is correct. I also entered short, based on a rising wedge meeting a supply zone as shown in my chart below. Like any trade, this may or may not work out, but I liked the odds & have covered BE (I have 2 entries, one for a "scalp" down to that demand zone, the other to trail slowly in case it runs).

[madwt]

Thanks for confirming the c-fork. I did not notice the wedge, good that you have pointed that out. It's amazing what the eye misses. I have marked this off in yellow, just point out to myself.

I would normally take the long at the retest of the blue trend line. At this price, you have a demand zone marked as well. In addition, the grey line is the monthly opening price. Price will often bounce nicely from the monthly open. I will hold the short for now and see how the London session wants to run, though odds may favour a long. I was not around at the time of the trend line retest, otherwise I would have reversed.

What else are you looking at?

d

[slipshod]

Haven't got time to post charts right now, but as I type the following pairs are all sitting in supply areas, where they've been for over 12 hours: AUDNZD, AUDUSD, AUDCAD, EURJPY, EURUSD, NZDUSD and USDJPY. USDCAD is at a strong support level on H1/H4.

I've got strong shorts running on EURAUD and EURCAD off supply areas on the daily, but they're 70 and 90 pips respectively in profit from where I entered them now.

Charts later when I have time...

[madwt]

Does this qualify as a w-wave?

[slipshod]

It certainly is. I was watching it develop over some time and tried a long a little too early (stopped at BE), and then didn't get on board when the real "point 5" was set as it didn't quite reach down to where I'd marked a demand zone.

Here's my take on the structure of this pattern...