10.6 EDSEL

[alorente]

EurUsd just broke the neckline of the Head and Shoulders formation. The implied target is 1.3510.

A question please, Al.

It's the standard target for a head and shoulders pattern Pedigree - distance from neckline to the top of the head -> same distance down.

Ah right! Thanks a lot Spot.

I'm also wondering if it's possible to project a target when a head and shoulders has not formed. Any thoughts?

There was another projection here without a head and shoulders:
http://www.stevehopwoodforex.com/phpBB3 ... 693#p88693

A descending or ascending wedge, when broken returns to the beginning of the wedge formation. These are very powerful. They generally retrace 100% and they are very accurate. Over 90% accuracy. More than likely, gold will surpass the top of the wedge in this case because it is in a pretty good uptrend. Right now it has corrected 50% of the move up. This should be it, unless it decides to go to 61.8% retracement...

Speaking of wedges, EurUsd is working on a nice ascending wedge on the weekly. If it breaks the bottom side, the minimum target is 1.2040.

[Pedigree]

EurUsd just broke the neckline of the Head and Shoulders formation. The implied target is 1.3510.

A question please, Al. How did you arrive at the 1.351 target? Is that simply the last peak low of the H4 band or did it have anything to do with the channel?

You measure verticaly from the top of the Head to the neckline and then apply those pips from the break of the neckline vertically.

Thanks Al.
Thanks again Spot.

[Pedigree]

A descending or ascending wedge, when broken returns to the beginning of the wedge formation. These are very powerful. They generally retrace 100% and they are very accurate. Over 90% accuracy. More than likely, gold will surpass the top of the wedge in this case because it is in a pretty good uptrend. Right now it has corrected 50% of the move up. This should be it, unless it decides to go to 61.8% retracement...

Ha ha! I must hang on to your coattails Al!!!
Thanks a lot.

[Pedigree]

Speaking of wedges, EurUsd is working on a nice ascending wedge on the weekly. If it breaks the bottom side, the minimum target is 1.2040.

Now that will be some fall!

Did you pick out the Weekly wedge by just eyeballing the chart or did you use some tool?

[art]

Hi guys with all this wonderful input its getting very confusing, we have bold traders input' als input, and of course bobs strategy' which we have all by now got to grips with, so how do we tie all this together, I,m looking at als strategy and charts and getting confused how I use it , together with 10.6, cheers

[zentauro67]

Hi guys with all this wonderful input its getting very confusing, we have bold traders input' als input, and of course bobs strategy' which we have all by now got to grips with, so how do we tie all this together, I,m looking at als strategy and charts and getting confused how I use it , together with 10.6, cheers

I find TMA bands a great addon to 10.6, but I get your point. It´s up to Bob to define clear rules. A simple use of the bands could be:

Play 10.6 the normal way during strong trends (Red, green lights).

Use the 4H fastTMAlines bands during ranging periods (olive, orange)

Use the 4H bands breaching 1D bands as a warning, to detect over extended moves that could reverse strongly. In those cases, we just stop milking the trend or we risk in a CT. (Daily bands would act as Murray lines or the Siths indi from old Bob´s 5.0)
.

[nanningbob]

For clean charts lovers. (Risk of too much lines after TMA arrival)

To be honest, the only thing I need from 240 and 60 LWMA when using TMA bands is to know the level where they are (just to be ready for the dummie lights changes) and a little slope to see towards where they are moving. So I have muted them letting only visible the ending point. Very useful also in lower timeframes as is a MTF moving average.

I like clean charts I am finding TMA working great on range trading. It has only been one week testing but my average profit per trade has increased 25%. The reason is I am taking trades as they come back inside the TMA line instead of the DP and that has increased my trades. I also get notified earlier of a range trade by the TMA line break, (I brought the lines in by making them narrower and STO7 signal moved to 90.10) THis works great on range trades but is not as useful on trend trades. The standard dummy lights and signals of 10.4 and 10.6 work much better for trend trades. So only 1 week but I am pleased with the results at this point.

This allows me to have TMA bands, xxx.00 lines, 240 and 60 MA on my screen in light colors so I can see price action at the same time. I can barely see the indis and keep my screen clean.

I am going to get to your indi this week, hopefully this afternoon and check it out. Just been a very busy week for me.

[nanningbob]

@alorente

I was playing around with the Extreme TMA info indi and noticed "Slope change". This, if turned on, changes its value according to the market. Can you elaborate a little bit on its meaning?

Thanks in advance

Matt

That tells you how much has the slope changed from the last candle and in what direction. This refers to the TMASlope indi that we dont use anymore, so you can ignore it.

Slope change was combined for the entire currency and incorporated into the CSS. So instead of trying to read the slope of one currency like gbp/cad and trading we now take all the gbp pairs and combine them into a general overall strength of the currency and make one line on the CSS screen. So we compare the combined over all strength of the GBP and CAD and compare them. I find this more accurate in making my trading decisions. So that is where that one went in case you were curious.

[nanningbob]

Speaking of wedges, EurUsd is working on a nice ascending wedge on the weekly. If it breaks the bottom side, the minimum target is 1.2040.

To add to what AL just mentioned, you need a very strong fundamental for such a move to happen. John Maudin in his end of the year report warned of a possible France banking crisis looming for 2014 or 2015. They are in hock way over their heads with debt in the Eastern European countries along with Greece and company and could find themselves with a bunch of bad loans that would shake Europe to the core. Obviously Europe is in better shape now to handle a crisis than they were 4 years ago when their debt crisis became front page news with Greece but French banks being in trouble would be a very big news story and cause the type of action Al is mentioning. So if you see French banking woes starting to hit the news or the Russian/Ukraine thing spilling over into other countries with a Nato reaction, you would get this kind of currency reaction in Forex.

Thanks Al

[nanningbob]

Cad seems to be on the move after 6 months in the toilet. Every currency bounces back at some point and it may finally be the CADs turn. GO CANADA