The Captains Chest - Naked Trading & Other Stuff

[djhenry1981]

LOL Thanks CJ, seeing it form and profiting from is slow and painful. Massive success with this method initially, but then it's faded, comes and goes now. For the last 3 weeks managed to be green, lost my mojo last week/start of this week. So it was back to basics, read the thread again.

But above all, I refuse to give up. This fox might manage to chew off one of my legs, but I'll take its head.

[MattK]

Good work Henry!!!! This thread is valuable and I find when others post their setups it opens my eyes--so thanks to everyone!

[kwanann]

LOL Thanks CJ, seeing it form and profiting from is slow and painful. Massive success with this method initially, but then it's faded, comes and goes now. For the last 3 weeks managed to be green, lost my mojo last week/start of this week. So it was back to basics, read the thread again.

But above all, I refuse to give up. This fox might manage to chew off one of my legs, but I'll take its head.

With this method, it all boils down to chart time and pattern and level recognition, once u see the pattern, you know more or less what will happen in general, then its just time to sit back and give it some time to stew

[MattK]

I can't post a chart right now---but the USDCAD may be forming the HH. WIll watch and wait, short via another method and will see if this truly BARFs.

[djhenry1981]

I tend to agree, I'm watching

However I find watching volume on the higher TF's much more difficult, so its often hard to determine when/if the bump in volume happens.

However, USDCAD, it's lower volume at the peak, It looks very nice.

AUDUSD 1H BARFed yesterday

[Jacque]

I can't post a chart right now---but the USDCAD may be forming the HH. WIll watch and wait, short via another method and will see if this truly BARFs.

Hi Matt, I concur with the barf although the px portion on 7-Jan looks muddled as it was trying to form a top. Be flexible on PA though lest it breaks the pattern again.

Hey Henry - i tend to ignore the volume in finding barf, i find a visual ident is good enough most of the time and watch the PA..

[djhenry1981]

USDCAD is just formed a LH, looking good for a push down

USDCAD Barf 4H.jpg

[intcust]

It seems to me that a lot of people are making this more difficult than need be. CJ correct me if I am wrong. The way I see the system or lack there of is to get in the flow with the fox. It seems that most are looking only for retracement trades and expect a retracement every-time the third level is hit. That to me is not the case nor the way to trade. The 3rd level is just reload time and profit taking for the fox. It could go up another three levels or down. That is why you have to watch the play during consolidation, ranging, flat market, what ever you want to call it. The fox will tip her hat, seeing it is the trick. But if you take longs at the bottom of the range and shorts at the top you will be near the almost perfect entry with a tight stop. If it goes against you wait till the end of the push and take it the other way from your original trade on the next push (wait for a small retracment). Don't always expect a reversal at the end of the three levels. Then as it is moving in your direction hang on if large lot size or add positions if smaller lot size and move the stop down so you cannot lose. See two thing going on at once. 1. trade direction 2. trade size . So that is it. Take the trade at the HH or LL of the range against the HH or LL. You can even trade the range and just keep exiting at the low and then at the high. Trouble with that is when it does take off you will get burned on the first trade when the real push happens. But if you make 4 or 5 range trades and eat one you will still be ahead or should be ahead. Then trade the pushes. But what do I know I am always wrong.

incust

[intcust]

another thought this is not break out trading. Don't confuse it with that. PA is fox hunting. Not to kill the fox but to ride with the fox and take the money. Break out you are waiting on the boundaries of the range and the fox will tease you into the trade then reverse then reverse again each time taking your money. Don't try to out smart the fox just ride along and take the money the same way the fox does. But what do I know I am always wrong.

incust

[bluedog23]

It seems to me that a lot of people are making this more difficult than need be. CJ correct me if I am wrong. The way I see the system or lack there of is to get in the flow with the fox. It seems that most are looking only for retracement trades and expect a retracement every-time the third level is hit. That to me is not the case nor the way to trade. The 3rd level is just reload time and profit taking for the fox. It could go up another three levels or down. That is why you have to watch the play during consolidation, ranging, flat market, what ever you want to call it. The fox will tip her hat, seeing it is the trick. But if you take longs at the bottom of the range and shorts at the top you will be near the almost perfect entry with a tight stop. If it goes against you wait till the end of the push and take it the other way from your original trade on the next push (wait for a small retracment). Don't always expect a reversal at the end of the three levels. Then as it is moving in your direction hang on if large lot size or add positions if smaller lot size and move the stop down so you cannot lose. See two thing going on at once. 1. trade direction 2. trade size . So that is it. Take the trade at the HH or LL of the range against the HH or LL. You can even trade the range and just keep exiting at the low and then at the high. Trouble with that is when it does take off you will get burned on the first trade when the real push happens. But if you make 4 or 5 range trades and eat one you will still be ahead or should be ahead. Then trade the pushes. But what do I know I am always wrong.

incust

Maybe not always; great summary of a point that is easy to miss...thanks.....