Immy's Corner [The Setup The Hunt - T20's and more]

[immy]

Typical London Open for EU today... nice veyr nice ...

Nikita! thank you ...

Update on the EJ. It appears that taking off half at 1:1 and leaving SL at Entry Level was a good decision. EJ is brining in more bread and butter home... haha

EJ Concluded with (+42 + 100) = 142 /2 = 71 / 20 (sl) = 3.55%

[immy]

EU is EU M1 is M1 and M5 is M5 but H1 is H1... its all what it is ... what am I saying, I don't know really, I just started hitting the keyboard with the tips of my fingers... all of them...

Here is picture story of EU this am.
First Picture M1

15-01-2014 08-24-59.png

A Look on M5. It was indeed a Double Setup.

15-01-2014 08-25-09.png

the rest of the slides... below

[Nikita]

Brilliant!
No words - only emotions.
And now i mentioned, that it worth waiting on M5 to W5 hit TZ1.
You often noted that W5 usually do this)

[immy]

Some thoughts on how I some times trade towards purple

[immy]

Here is the Gem of Friday the 17th of Jan 2014.

[immy]

A Chat session I'd like to save here.

Zain: M1 too choppy today 9:19
Immy: its moving up, can't agree if its choppy Zain with apologies 9:20
Zain: yes its moving up with lots of up and downs if i was in it i was stopped out many times wink 9:20
Immy: though I'd agree since its a corrective wave on h1, and corrective waves dont have bigger wave length, the waves on m1 are not "under the umbrellas" of impulse wave hence lacking "luster" and glitter. 9:21
Zain: quite true immy 9:21
Zain: also EJ M1 5th wave was with 1-5 9:22
Immy: H1 wave analysis could be useful but then again if you get stuck in it, you'll lose sight again. in trading keep it dead simple is not "only" good, its a MUST 9:29
Zain: yes immy H1 analysis helps a lot 9:31
Immy: and as such some may say, when it comes to how you see your charts, the colours and lines and indicators, the proponents of naked charts amy argue, that your chart is still not SIMPLE, with gators, and aims boxes, and dots and stuff, but... they fail to mention that when they view a naked chart, they constantly keep drawing studies such, S/R lines, triangles, and flags and blah blah, making it "not simple" again. Keeping it simple is not just how your chart appears and hown many indicators you have, making it simple and keeping it simple is also a "mind" status and setup. 9:33
Immy: The fact of the matter is , make it simple means, BE CONSISTENT with one approach. SIMPLE means, understand one thing and stick to it. this is my definition of simple. based on nearly a decade of charting. 9:34
Grant: you are wrong... tongue 9:35
Immy: all IMHO. 9:35
Immy: who poked my Knightly Stallion , i'm on the ground now 9:35
Grant: its over a decade.... big grin 9:35
Zain: Good words IMMY 9:37
Immy: big grin I'm not that old mate 9:37
Zain: i want to know in the seed indicator the daily open line what is the offset 9:37
Zain: timezone offset 9:37
Zain: it is 9 by deault 9:37
Grant: it is 9 by default 9:38
Immy: though you could be right, since my first exposure to "charts" was not for trading purposes, we did that for "marketing analysis" "market trend analysis", product analysis etc etc, when i was completing my MBA more than a decade ago big grin 9:38
Zain: but it is London open right 9:40
Immy: Best to have it at Frankfurt open or London Open. FO good for H1 charts. LO good for M1/M5 eu gu. but its just another line. and should remain that way, unless you decide to define your t rend off that line then it becomes more important. 9:40
Zain: okay now i understand thanks 9:40
Immy: You're a quick learner big grin 9:40
Immy: more longs for EU? 9:41
Zain: i would not be looking at the moment and will wait for m5 to setup 9:42
Immy: I think more longs for AU 9:42
Zain: i am already in on AU 9:42
Immy: good one Zain, M5 seems to say, wait for m5 wave 4 to finish 9:42
Zain: thanks wink 9:44
Immy: Quickly, Grant, whats AU ADR? 9:44
Grant: 97 9:44
Zain: 97 9:44
Immy: statistically then we have some pips left 9:44
Zain: yep around 50 9:44
Zain: i am targetting the H4 red line 9:45
Immy: if you check m5 chart, you wont want to take entry at h1 break though. 9:45
Zain: on AU i am only looking on H1 no M5 as i want to trade only H1 on Au 9:46
Zain: but wave 5 on M5 9:46
Immy: then you're going counter trend mate. 9:46
Immy: but then again as I posted in my journal, one CAN if they want, trade back to purple on H1 and above. 9:47
Immy: such is the logic behind FRUIT too. 9:47
Zain: yes because it has dropped too much also i read you journal post 9:47
Zain: purple was far hence giving it a try for 0.5% 9:47
Immy: fruit gives you earlier entry, and S1 slightly later, but a great addon if started with a fruit. 9:48
Immy: as a rule of thumb, when taking an entry, the box must be 4 times smaller than a pairs ADR. 9:49
Zain: the present AU Box was 31 pips its 3 times smaller 9:49
Immy: or 3, because that way u can be profitable in the long run. 1:2 with 50% accuracy or even 40% 9:50
Immy: which makes it relatively big box. 9:50
Zain: EJ M1 was a nice S2 entry 9:51
Immy: and that will be further proven to you upon inspectiion of M15 or M5 chart. 9:51
Immy: lets suppose we want to know the "underlying" market of an H1 chart. we want to know the "anatomy" the structure of the current 5-10 h1 candles, how do we do that? 9:52
Zain: we will lokk at M5 candles for H1 9:52
Immy: we break them down, thats how scientist ber cern do things, and in fact all particle physicist do it. they break things down by smashing them against each otehr 9:52
Zain: as that will give a good view of the wave on H1 and also the structure of H1 9:52
Immy: we don't have to smash it, we just click a button. 9:52
Zain: yes 9:53
Immy: I don't think it will give a good view of H1, because you wont be looking at H1, you'll be looking at M5, but you'll understand how market moved while it was creating the H1 chart, everthing starts at ticks right. 9:54
Zain: yes 9:54
Zain: if there was a up move on H1 normally we can see the structure how it moved on M5 9:54
Zain: just like todays move on H1 of EJ 9:55
Immy: now looking at m15, I see sharp move up, then correction, and then another move up. suggesting, that in order for my H1 entry to be good, that is 30pips move up so I can turn it into a FT or profit, the probability points to lower odds, it must create a NEw Wave 3, for htat we need further market action, 9:55
Zain: morning EJ fomred S1 below purple that was the starting of wave 3 9:55
Zain: i will just back in 10 mins 9:56
Immy: or it must go sideways and then try again, we could have assumed all this "under ground" information simply by checking how tall is AIMS box, and thats how we started trading M1/M5, we knew that if you can define the max box size, you will do all this analysis in a fraction of a second. 9:56
Immy: hence, Rule 2. Box is Tight. 9:57
Immy: meaning what appears as sideways, breakout market situation on Current Time frame, does not have Impulse wave structure on the lower time frames. It is a proper breakout when Current and lower time frames are sideways and create a sideways range, and then it must breakout in the direction of higher time frame trends. thats when its Higher Probability and Higher profit trends and trades. (on current time frame)... 9:59
Immy: i've eaten too many chocolates. 9:59
Immy: and i must leave now. 9:59

[immy]

The Gold Trade thats' still running...
Posting the Fruit/Seed Template pictures here

[immy]

The Gold Trade thats' still running...
Posting the Fruit/Seed Template pictures here

You gotta love gold, it moves so nicely. And I've not so chuffed about a trade for a long time. This was really exciting stuff. loved it.
Below, the spiked too my two sell entries out. Closed for a lovely profit and then it formed a Buy Seed signal. Love those seeds.

[zainfakhan]

In EJ after a move down , on 22 and 23 Jan, the market was ranging and also the purple was inside the Aims box , so i bracketed the trade , after some loss on buy and sell trade , i moved to H4 to watch for aims level. Then again on those I lost.
Today seeing it i have come to know its a P5 , but is there any way to avoid these types of losses. I know paying rents is a part of trading still i need your opinion.
I want to know what you have done on H1 in this situation.

thanks in advance

[immy]

In EJ after a move down , on 22 and 23 Jan, the market was ranging and also the purple was inside the Aims box , so i bracketed the trade , after some loss on buy and sell trade , i moved to H4 to watch for aims level. Then again on those I lost.
Today seeing it i have come to know its a P5 , but is there any way to avoid these types of losses. I know paying rents is a part of trading still i need your opinion.
I want to know what you have done on H1 in this situation.

thanks in advance

A good question, which deserves a very good answer. This is a fundamental question in the minds of all, but mostly, beginners. Before our minds switches to "pro traders" mind set we have to go through a phase where we need answers to such questions. So I appreciate that you're asking. Unfortunately the answer is a simple and straight forward one and not very pleasant, but then again, it really is pleasant if you knew what it means.

There is NO way to avoid rents. If you start with the mindset of reducing the "number of times you lose" you will lose even more number of times. If you come with a mind set of trading an "edge" and go with the probabilities and focus on "creating profits" you will lose but you will win more than you lose and thus eventually you will win. All beginners look for a way to avoid rents, but the only way to avoid rent is to "own the house" and to know this house, we have to own the worlds banks and the money in it but thats not the end of it, we must also own the minds of hte millions of traders that change every fraction of a second. So i'm afraid we have to pay rent.

Having said the above, I must state that there is always a stage in trading where you're learning, you're considered as a beginner and of course you will gather more losses than experts because you will make more mistakes than experts and thats what describes being a beginner. A beginner has compratively lesser amount of knowledge and experience. The only way to minimise rent is to keep it atleast twice less than your average winner. So the end verdict is this, keep a 50% win/loss ratio (which really is not important to track) keep a minimum of 1:1.5 rent to profit ratio and you'll be successful, hugely successful. But don't get sutck in stats too much. Enjoy trading and let it run as much as possible without killing the power of extracting the profits too much out of it. (closing part and closing part of part and part of that part because thats a scared lefty making you do that).

I hope this post makes sense when I read it tomorrow "sober". cheers