Trading System: 7/1/10

1. trading Plan I will use the Strategies taught by Dynamic Trader to identify the overall trend direction. This is based on Price and Time Patterns following simple Elliot Wave theory.as breakout 30min 1hour 4hour daily and the appropriate time Most important look reversal trend daily only entry trading breakout 4hour =>1hour =>30min

reversal trend daily gbp/usd 29/05/2009-29/01/2010

2.trading Plan I will perform weekly weekend analysis to determine the Pattern and Trend and record what to look out for the coming week.

3. trading Plan I will use 1Bar Trailing High/Low to enter a 2 unit position only when the Dual Time Frame Momentum studies correlate, i.e. If the Daily is Bullish I will trading enter on the next 60m Bullish reversal.

4. trading Plan I will trading only risk maximum of 3% only capital exposure on any trade.but trading is sometimes 10-20% when trend Be obvious That the highest risk.

5.trading Plan I will only close the 2nd unit manually if there is a compelling reason to do so. Other times the SL will be adjust to allow the market to take me out as per the Price and Pattern.

6. trading Plan When trading Forex 4H system. I will trading not take counter trend trades.

4hour

7. trading Plan I will trade 1H Pattern Forex System and take only well formed trading Morning Stars and Evening Stars that correlate to the overall trend direction, i.e if the trend is up I will wait and take a Morning Star or Bullish Engulfing setup.

8.trading Plan I will trading not make any trades on Interest Rate decision day or Non-Farm Payroll days.

9. trading Plan If using trading 30min and 1H to enter a 4H MACD Trade, only take Trend Continuation(TC) setups.

1hour

10.trading Plan I will also set a Target Price when sleeping.

11. trading Plan Always wait if I miss a 4H entry, trading enter on 50% pull back of next 4H candle only. Otherwise no entry.

12.trading Plan Try to make trades that have less that 60pip or candle after trading breakout 30 min =>1 hour => 4 hour =>daily Stop Loss. Any more split positions or reduce stake size.
13.trading Plan I will looking trading reversal trend at a chart daily only breakout, double bottom, double top, head and shoulder, tripple top, tripple bottom, and trading at 4hour pullback with 1 hour and 30 min must be candle morningstar evenningstar enguling pattern end of the same. All the pullbck same
14.trading plan i use for currency eur/usd=>look usd/chf gbp/usd=>look gbp/jpy but look resistant support and Patterns other of usd/chf gbp/jpy don't trade

15.trading plan i look all currency at time frame daily only donwtrend or uptrend must more 3 months look candle bottom or top be morningstar,evenningstar, bullish engulfing, bearish engulfing only ,note candle breakout even more credibility,divergence or divergence three trading

daily downtrend usd/chf 23/04/2009-4/12/2009 divergence

buy 1.0150-1.0170 stoploss 0.9990

eur/gbp daily 17/03/2010-30/06/2010 divergence buy0.8160-0.8190 stoploss 0.8060-0.8085

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(Symbol yellow)

breakout pullback ,Perfect very good ,usd chf daily 27 04 2010 breakout30min Breakout candle trading 30 min 4 hour only and This system can filter out many errors to 90%. I would like to speak about breakout trades on the Four Hour MACD system. I don't think we have really gone into detail with breakout trades. I, myself, I'm not a breakout trader. I don't think that's... It's a bit risky, but there are times that you can do it. We had it on the British Pound on Friday. You can see that we've used the one hour for a pullback to that breakout level, and then it moved away.

30 min 08/7/2010 breakout candle evenning star ,macd tc,volumes very much,ok all very good ,but don't trading because resistance daily wait candle for daily evenningstar

sample daily gbp usd 08/7/2010

weekly gbp usd 8/07/2010

But there's some other stuff you can look to as well. If you look at the picture I've posted. The inset plan, that's your four hour. It's very important that you can see that TC, trend continuation pattern that the MACD has already given on the four hours time frame. But what happened is that specific candle ran into that top resistance that has been tested previously. You can go on your own chart and make it a little bit wider and see that it has been tested. So, it's a very strong TC signal because of that engulfing there. It's a very nice engulfing candle, but it ran into that resistance, so how are we going to trade that? We expect the price to go up due to the fact that it's engulfing there. It found support on that bottom line. We're just above the 89 as you can see there as well, the blue moving average. It pulled back to the 21, and it moved away. So, all the rules have been satisfied for an up move. If that were not a resistance line there, that would have been a perfect entry. But, because of that resistance line there, how are you going to treat this?

don't trading Figure 30 min So, now, I would like a breakout trade. What is the purpose of a breakout trade? For me, the purpose of a breakout trade is: Because price has been confined into a certain pattern, like a triangle or a flag or whatever you want to call that pattern, whatever pattern is at that specific point, when the price breaks out, it means it's... I want it to carry on in the direction that it broke out. So, I want to stay in the trade as long as possible. But, I don't want to take it the moment it starts breaking out, so I want to have a bit of a confirmation that the breakout trade was true.

And, if you go and look at that 30 minute breakout one we've got there, I've marked that candle there with a little circle that I said was the pullback, but two candles before that was already a pullback. So you could have entered where that green number 1 entry was. On the one hour, it was very nice. It showed it very nice. But, look what happened at entry number 2, that I've marked there. That is a very strong trend continuation pattern. You get an up move and then three little red candles coming down and, then, a very big engulfing candle. Entry number 2, if you missed the first one, that was a sitter! And you sit in the trade as long as possible.
breakout pullback pullback ,Figure onbreakout

breakout 4 hour

breakout very good ,aud usd 4hour 10 06 2010 ,Figure on

breakout usd chf 4hour,Figure on
Right. If there was a breakout on the one hour, it pulled back to the breakout level. It moved away, and then it came down again to almost your entry level. I think you must have... It came down to two or three pips below the entry level number... Not number 1, but on the previous post that I posted there on the thread. You can see there. It came back to below, just about entry level. But the purpose, for me, of a breakout is not to take my stop loss away, to break even very quickly. I will bring it to just below the breakout level, so, if it comes inside and takes me out, well, that's tough luck. But that's the way that you can trade this.

My aim for a breakout trade is to stay within that breakout as long as possible. They're going to try and take you out around just after it broke out because that's the way they do it. That's why they pull it back, because they know there's a lot of breakout orders lying there. They pick it up. Sometimes, they run the price forty pips up, and then they bring it all the way down forty pips, and even more than that because they want to scare you. Where you were forty pips up, now, all of a sudden, you might find yourself fifteen or twenty pips down. But, as long as they haven't pierced the breakout level and brought it right back inside, you're still okay. That's my sign. That's what I'm using.

breakout pullback macd tc ,candle morningstar,Prices across under 89 sma ,Perfect very good , gbp aud 4 hour 9/02/ 2010

But, I wasn't there. I was a bit late. I was out, so I did not follow this breakout trade live. I wish I could have so that we could have discussed as it went on. I saw it. You can read it there that I said to the people that they must wait for the pullback and then the move away. But, you can go to a one hour and even a thirty minutes chart. I won't go to the fifteen minutes, but the one hour and the thirty minutes might give you better insight of the motion of the market. There you can see. Trade number 2, it pulled back to just, almost to the 21 and, then, moved away with an engulfing candle there. There, you could have entered with your eyes closed.

But, it's very important. The four hours must have already shown the direction. That's what that trend continuation pattern on the MACD has already shown, that it is going to be (not going to be). The probability is good that it's going to be a long signal and that it's going to go past that resistance line.

It's unfortunate that that resistance line was there. One cannot leave it out because the price has already found resistance against it previously. We're still within that triangle. It hasn't broken out, but we are also... That triangle lies within a channel, which gives the impression that the price might go above it. It was, actually, sort of a rising wedge. I think we talked about it on the EURUSD as well. You can see that. I also wrote there that I think it's going to break to the top, which it did. So, there were a lot of indications, yesterday that you could have followed and seen that the price went above that resistance, even on the EURUSD . Switch to the one hour and the thirty minutes, wait for that pullback, and then you are on board, and stay in the trade as long as possible