Support, Resistance & Chart patterns

[slipshod]

Hi Brian, welcome to the thread I'm glad you're finding the stoch rainbow useful, and thanks for sharing some insights into your trading method!

Some of the S&R levels in the thread were drawn by the indicator I wrote, but others (especially recent ones) are hand drawn. My indi doesn't identify Sam's levels at all - just turning points rather than his pause & burst areas. If you finish your indicator & want to release it I imagine it'd be very popular, you could probably put a price on it if you felt so inclined.

[WideEyed]

Yes, the pattern is certainly there. It doesn't hurt to look at what USDJPY and EURUSD are doing either (below).

IF the USD is strong against the JPY, and IF the EUR bounces against USD...

Would it be worth loading index trackers instead of looking at pairs? (link | link)

Looking at your latest EU H4 chart above, there's one long drawn out WW in the first half, a very short one in the middle and a medium sized one at the end. Which type do you find most reliable or is the length of the wave not relevant?

I like this CADCHF H4 except for the volume at 5. What do you think? I've got a buy stop for when the price rises to cross the lower line.

Brian, nice to see you in the thread. I have yet to try the Stoch out. Will do so in due course and update the thread.

[slipshod]

Time for a quick update on the EU...

[AnotherBrian]

Thanks for the welcome. Good to be here! Let me know if I stray off topic.

Here is the level I'm playing with this one. I just don't like the looks of the level it's testing right now. The pin bar at the very top of the run started a nice powerful down move but, if you remember what a nice trend is supposed to look like, impulse and slow recovery pull back, this down move looks like that. It has a steady flow down, you could a trend line as well. if it doesn't make it to the level shown, I'll be waiting for the bounce higher from here to hot it with a short when it climbs back up to the next drop.

I don't use wolf waves, levels. If something else also fits the trade it might help it (trend line, fibo, wolf, etc.)

The Christmas season hammered me. I guess that's why the pro's say to keep out around the holiday season.

Capture.PNG

Update:

chart.gif

[slipshod]

Quick look at GBPAUD...

[WideEyed]

I took that at 1.4775 on the bounce back from support.

[slipshod]

Nice trade I'm waiting for either a move higher still to prove its not just a temporary bounce, or preferably a revisit to the demand zone to create a double bottom, followed by another break back into the wedge. A few attempts to push the price down & create a higher low would be nice too. Have to see what happens I guess.

Here's something else I noticed on this pair & wanted to point out:-

ga-20130228.png

Its an example of an expanding rising wedge reversal (which in this case was a continuation of the larger trend). AUDUSD had a similar reversal last year, which I pointed out in these posts: http://www.stevehopwoodforex.com/phpBB3 ... 004#p15004 and http://www.stevehopwoodforex.com/phpBB3 ... 747#p15747

Its certainly a good pattern to be aware of.

[WideEyed]

Interesting!

I don't know if I've said this before: I learn a lot from your charts

[Nufty]

Interesting!

I don't know if I've said this before: I learn a lot from your charts

Me too

I have to go back and look at what I learned in the past and bin it.

I appreciate the time you have taken to make these posts

Cheers

Nufty

[slipshod]

You guys are much too kind! I'm glad the charts are helpful - the discipline of thinking them through and typing my thoughts helps me as well, I can strongly recommend it!

Here's another one on AUDUSD, sorry its perhaps a little late though...