10.4/10.5 trades only

[Gertje]

Bob, thats GBPUSD, not GBPJPY.

i note that most of the guys that posted live trades do have a sell GBPUSD in place

My chart does not show that kind of movement for gbp/usd either. Dont have any of those spikes going. I used to punish a broker who did that by using BB bands and entering from the outer bands in when they did that.

Hmm can anyone else confirm the spikes yesterday with GBPUSD is unique only to my broker (fxprimus)?

If this is true, i guess it is really time to move onto another broker (but not before i punish them!)

I guess it is related to bucketshop brokers, mine [Instaforex] also has some spikes.

[zentauro67]

Ok, this is risky. In this case, it´s about a cycle possibility in USDJPY. Just one month ago (15th April) we saw a huge spike down that touched 240 slaughtering all the bears in minutes. Just preventing such a possibility (which may never happen) I applied to the chart the Scaling script with 6 buy limits. 10 pips of distance, TP 50 pips, SL 2000(!) This is the worst risk reward ratio you can have, and is in fact a no SL strategy based in fundamentals. Once 100 level has been breached the next stop is 110 with great fluidity between the two levels. You can call it a act of faith. Using micro lots here.

This is the script:

Scaling script v1.4.mq4

usfjpy.jpg

[forexdj]

My 2 EURGBP trades... just to boost my confidence. This is my first profitable week since I started trading live!!! Thanks to Bob and the other contributors to this wonderful, awesome, amazing and fantabulous system! (I still feel that's an understatement)

[aserschan]

usd/chf
price above 240
rsi2 approaching bottom
css goldenrod

so now we switch to h1 to get entry at daily pivot (next one here: DMS1) and a take profit at h4 (next on here: WR1). is this right?

[gregart]

Hi guys, in this case, rsi is ok but css green, do you wait for it will be gold before place your pendings in H1 or do you place immediatly ? thnaks
Greg

[Staedtler]

this one is tough.. it broke the 240, but RSI2 is gonna flat bottom.. any ideas ?

we already bounced several times off the 240.. maybe this will be the final trend change ?

[nanningbob]

Ok, this is risky. In this case, it´s about a cycle possibility in USDJPY. Just one month ago (15th April) we saw a huge spike down that touched 240 slaughtering all the bears in minutes. Just preventing such a possibility (which may never happen) I applied to the chart the Scaling script with 6 buy limits. 10 pips of distance, TP 50 pips, SL 2000(!) This is the worst risk reward ratio you can have, and is in fact a no SL strategy based in fundamentals. Once 100 level has been breached the next stop is 110 with great fluidity between the two levels. You can call it a act of faith. Using micro lots here.

This is the script:

Scaling script v1.4.mq4

usfjpy.jpg

Spikes are part of the business, why I use such large SL and small lot strategy. However, there are legitimate spikes and broker spikes and bank spikes. Some spiking is caused by the banks and not the brokers. They have a pile of buys and then a smaller pile of sells. They do all the sells first and place their bank orders at the bottom. They get the best position and then run their buys. It is just good business but the brokers get blamed. The best time to do that is at news time for the banks since a lot of traders are involved. Also why I gave up news trading, it is garbage.

Then there are broker spikes, an anomaly of a well designed computer program. When ever near a SL or margin call just spike the price a bit or enlarge the spread and bingo cash into their account. You can complain about it but another business practice that is very successful, like charging extra for luggage check in on an airline. Those cheap tickets sometimes aren't so cheap.

Then there are the real spikes. Some big corporation just cashed a big check. GM sold a 10000 trucks to an oil company. The govt. of Ecuador just paid their oil bill to Saudi Arabia. Those big sales can cause price to jump at any time.

None of the above 3 can be known by any indicator or fundamental. It is just part of the business. A professional trader many years ago wrote an article about these things and I was lucky enough to read it. What the big boys do it break their entrances up into several pieces and enter piecemeal into a trend. Something I have been doing for years now. I have been doing multi-level trading for years and when I started practicing it is when I started becoming profitable. The key being on the right side of a long term trend or being on the extremes of price movement (some of you may remember my 5.0 system). Of course I get hammered by the one in one out crowd and was one of the big reasons I dont write at FF anymore. Those of us who advocated such a tactic were ridiculed and mocked to no end. (This is not martingaling, which is a different animal). So as I teach here and some of you are really starting to get to get, to get around all these shenanigans of brokers, banks, fox traps, market mover games, and just plain ugly market moves trade small, scale into a trade, multiply your winners and single trade your losers. In the end you can be profitable.

Well, enough of my rant for today. I know some of you dont agree and have had the normal rules of Forex drilled into your minds. But consider this. Guys who trade millions and billions of dollars in Forex dont use 30 or 50 pip SL or even a 100. They know the trend and that is how they trade. They also hedge if they are wrong and wait until the market agrees with them again before entering the trend again but that is for another thread and another day.

[spillini]

This is where learning to be a trader comes in. The price can go thru the 240,,but still be a good trade. I sold the EUR/GBP back on 5/8 at .8470 and the price pushed down 34 pips or so to the WP where I pulled off some pips. I also had a sell stop below the WP which was taken in. The price then proceeded to Draw me down big time and also spike thru the 240. It was a news generated run that went against me, which I took into consideration along with the fact the indy pulled into OB area so I left it go, ( See Gray area on chart ). Sometime you just have to grow a set and hang in there. Look where it is now. I even added a sell at .8493 from beyond the grave above the 240 after tapping the 50% Fib level. It turned out nice as that part of the trade is still on.....You never know. GBP/CAD is in the same situation and I just sold it as well.


The moral of this story is, just because you are trading a great new system, doesnt mean you have to abandon your former ways like My Fib levels...LOL

Jim

this one is tough.. it broke the 240, but RSI2 is gonna flat bottom.. any ideas ?

we already bounced several times off the 240.. maybe this will be the final trend change ?

[nanningbob]

ACTUALLY for the nzd/jpy since last Sept. this is the 11th time it has hit the 240 line and only one time has it significantly broken below the 240 and that was at #4. It is why I dont follow many of these made up rules of FOREX. 240 line is a very strong INDIE.

[VirtualFM]

Hmm can anyone else confirm the spikes yesterday with GBPUSD is unique only to my broker (fxprimus)?

Just to let you know that my chart looks very similar to yours. Broker Forex.com.