Trading the Andrews Pitchfork with Max - page 3

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For info!


abcd

 

I missed the GBPJPY by 5 pips due to a men's room break (maybe I should bring a bottle into the office, nah not a good idea).


I've taken the short 5 pips lower which is not ideal  but the hourly price has zoomed through the median line at point A and closed at the lower end of the bar.  Text book stuff so too good to nmiss.


PLEASE REMEMBER: THE OBJECTIVE OF THE GAME IS TO DEFEND YOUR CAPITAL SO WE WANT TO BE IN PROFIT ALMOST IMMEDIATELY AFTER ENTERING THE TRADE.  WE KNOW WHY WE ARE ENTERING SO WE CAN USE A TIGHT STOP LOSS AT THE LOCATION THAT INVALIDATES OUR REASON FOR ENTERING THE TRADE.



zoom

 

GBPJPY: CLOSE THE TRADE FOR -4 PIPS.  THE PRICE IN THE RECTANGLE WAS NOT PART OF MY PLAN.


NOIT MY PLAN.

 

GBPJPY: Trade reset.  Placed sell stop at the location that aligns with my plan.


Can you see how focusing on the winning percentage completely removes a trader's decision flexibility and thereby ultimately cripples trading performance sooner or later?   


RESET

 

If you know trading like the above is possible but you then select to trade undeclared rogue systems like the one below, you need to have a very long conversation with yourself while looking in the mirror.  Because if I know the above, clearly those offering you mickey mouse systems without risk control do not (a system is not mickey mouse as long as the seller tells you quite openly "this can system can completely blow your account).


74%+ DD


possible

 

Nothing has changed so we can't take profits.  To take profits before price reaches the profit target when all trade reasons remain valid is simply cutting profits short. 

WE LET PROFITS RUN AND WE CUT LOSSES QUICKLY!!!

AQ

 

OKAY!!!  I missed out on 10 pips profit due to being out of practice; short trade closed for 15 pips (should have been 25 pips).  The 4 hour chart gave the reason to exit and also the location for the next short.  See chart:

Because the low of the H4 bar has stopped exactly on the lower Pitchfork line, it gives us a good indication that the price directional probability favours an upward retrace likely limited by the nearest Pitchfork line above.  However, no guarantees because the boss goes in any direction she wants!!!


AGAIN, we know our risk, we know our gain and we know precisely why we will enter short should price retrace!!!

ewd

 

H4 price has zoomed through the PF line which is a short signal.  The dotted yellow line is just a marker and I am not in the market..


ew



5 min chart. The H4 zoom area is the white rectangle.  Before I make a trading decision I need to watch if the 5min price is forced down each time it enters the box.  However, it may not reach the box and price may continue much lower.  This is not a big deal, there are scores of these opportunities each day, week and 10000s a year. :)


The ideal scenario is for price to form a 5min bearish pivot in the rectangle.  That would give me a good location above which I could hide my stop-loss.   If it plays out perfectly, we'll be risking 5 pips for a gain of 60 to 80 pips.


BECAUSE I did not take the time to look at the H4 earlier, I had no scenarios fashioned for this eventually.  A price zoom should always be met with a short on the new resistance line but I had no pre-planned scenarios to draw from hence my hesitation followed by the 5min bearish pivot requirement.  However, they're still may be an opportunity to get short in the rectangle...time will tell.  Plenty of lessons learnt today which will be briefly reviewed on the trading simulator/DEMO after the London market close.

qw

 

So much analysis = many many posts:


Bullish pivot forming on the 5min.  Our ideal scenario is for price to enter the rectangle and to test the trendline on the 5 min (circled) then form a bearish pivot for short entry.

adw

 

I'm done.  I will wait for another opportunity later in the week.


Posting with no feedback is weird and will obviously lead to a person posting less and less.  So if you have any questions just ask. 

Cheers

=================================================================================================================


Reminder for self:

EURUSD:-

Below: 1.1201 Bearish to Forecast monthly Low: 1.1078


1.1201 no man's land.


Above 1.1213 Bullish to Forecast monthly High: 1.1323

  • let profits run;
  • don't widen stops; losing 2 pips pays in the long run;
  • respect the pivot;
  • consider market structure; consider market profile overlay;
  • reset account size daily by withdrawing profits;
  • let the price come to you; don't chase price.
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