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

[immy]

Hi Immy,
Just a quick question as it may be a mistake I am making with things. I know we trade away from the purple line which this trade does, but is the purple also meant to be going in the same direction, or am I reading too much into the rules and making it harder for myself??

As always, thanks for your advise and help

Kyle

Hi Kyle!

We can take reversals of m5, but we take them on m1 with a proper Classic S1 setup. All 3 Rules were met and minimum requirement of trend confirmation was there too i.e. price on the correct side of Gator and Purple. Here purple was itself below the gator lines, meaning it was not perfect trending market entry, but we knew from m5 that it moved too far too fast adn reversal was order of the day at that time.

I hope it makes sense! may be i'm a trade-a-holic !

cheers

[immy]

Hope you all had a good christmas and boxing day!

I took a trade earlier just now, and I managed to take some snaps during the trade so I thought I'll share with you. I do this from time to time, to add to my journal (on my pc) so that I keep on the right track. Oh yes, one forgets "who they are" very soon. So you gotta keep reminding yourself who you are. Meaning "how you trade". Here is a picture below, how the setup looked like on m5 and m1. I was waiting for this 5th wave up, that kept me out of any shorts on m1. The TP was Set at 1.3280 as a 10 pip Target point, thats all I wanted.

27-12-2012 12-25-53.png

Stage 2. Move SL to +1, price action shows that if it comes down its over, but in the pic we saw it broke the highs of those small candles, saying to me, if I come around below that level i'm probably not going further up. So at this stage I wont tkae a -3.

27-12-2012 12-28-56.png

Stage 3.
Now move SL to +2 1 pip below the low of that area as above. Patiently waiting for it to hit the TP. Alot of people make mistakes here. This is very important to stick to your plan here. Cutting your winners by 1 pip in a TP target poing game could mean, making 10% less 2 pips = 2%. so we gotta be very careful, as it will long term effects.

27-12-2012 12-29-56.png

And Done

27-12-2012 12-30-34.png

Patience and Discipline! and Job Done. Now time to take some lunch and take advantage of NY 1.30pm news later.

[immy]

Well Job Done! The 3pm UK has been the Magic Hour all this year! When NY and Europe Join Hands! its powerful. But I only got 10 out of it! (shoulda woulda coulda) Got out only 30pips earlier... ( )

[Mdock]

Well done , always nice to read your journal Immy.

Cheers Mdock

[tmmbabs]

Immy, I love the way you trade, Such perfection at work in you. (wd)

[immy]

Immy, I love the way you trade, Such perfection at work in you. (wd)

Thanks TMM! I've just concluded my analysis of 2012 and found two problems with my trading.
1. Exiting before the market generated exit singal. (Feel for the market thing, sometimes I hit the top other times i left pips)

Conclusion: stick to a predefined Exit plan.
2. I sometimes trade improper setups (discipline is violated using the excuse of "i'm a price action trader, I know what price is doing, become aggressive and take trades based on intuition. The outcome is 50 50 , some I win some I lose)

Conclusion: Stick to Proper Setups.

3. Missed many setups based on "intuitive hits". Missed many rents, also missed many good ones.
Conclusion: Stick to Proper Setups

As you can see, the conclusion is only one. Stick to the proper setup. That also means stick to Trade Management Plan.
I believe, 10pip TP's are better than letting it run further. Why?
1. Keeps the stress level low. Less time in a trade better for emotional side.
2. Less break-evens, means mind remains happy and not anxiously waiting for next trade so I could hit the big one.
3. You know already your RR and win/loss ratio. So another reason to relax and enjoy your trading.

Cons: Adding on is not possible with 10pip TPs, so increasing ROI is not possible.
2. Missing beautiful lovely big home runs can some times cause frustration and make you take trades that are not really setups. (that has happened to me a fe times during the year)

I'll re-visit what I wrote again tomorrow.

good night! (yawn) I'm already 1.5hrs late into bed.

[Dave]

I've really enjoyed reading your posts over the last few days, great to see the forum gathering momentum again!
Looking forward to 2013!

Dave

[wiseambitions]

Immy, I love the way you trade, Such perfection at work in you. (wd)

Thanks TMM! I've just concluded my analysis of 2012 and found two problems with my trading.
already 1.5hrs late into bed.

Excellent analysis

I didn't expect to hear you speak of problems with your own trading and I suffer from all the mistakes and faults you admit too

October was my first month and I started off brilliantly. Nearly 700 pips from about 75 trades in 7 weeks. But I carried too much stress and need to eliminate as much as possble. I have shared a few of my learning points with Immy privately and what I woould add to his purpose to trade the setups and not act impulsively includes;

Setting a daily moderate target and not trying to be too greedy. The steady roll up of capital from modest daily gains eg 1c to 2pc can be spectacular.

Need to decide whether to let a trade run or kill it immediately if an opposite dot comes u still inside the aims box

Need to decide whether to enter a trade if the price action moves over the purple line when the original sell signal would have been towards rather than away from it. Many w5 surges come into that category

I need to learn more about recognising w5 and projecting usual fib extensions and decide on a break even reset to try and get many more pips out of these magic situations
In fact I need to do a lot more learning around wave formations

I need to decide whether to split my capital into smaller trades. I have seen it said that less is more.
Smaller lots could enable multiple entries and protect from some whipsaw

I am setting myself too many learning objectives but the basic one is refer to the rules and stay with the plan



The system worked for me in 2012. It worked for others previously and the principles are sure to hold good whatever the future market conditions bring

Good luck guys

[immy]

Thanks Ray for your insight!

I saw that EU had a 5 written on its m5 chart meaning it may have completed some sort of 1-5 and so the short bias was present. (but tbh, i was not sure which way, I checked with Erik, he was of the opinion, that it may go either way, I thought to myself, "weirdo" but I stand corrected, then the Setup with purple inside appeared. Looked at m5, it was opportunity to get into a reversal of m5 before m5 chart itself shows a setups. So this gives us an edge on m1, using the purple correctly we can get into m5 turn around before its sets up on m5. This allows u to take trades, aggressive trades on m5, that are conservative setups on m1. We don't take aggressive, reversal setups on m1, but what we do is, we take m5 reversals with a proper setup on m1. i hope it makes sense to you.

my VE_AIMS has 20pips as default, i was tempted to exit near the lows but the profit was not enough, 6-7 pips is not enough, its not enough because its not good RR and then i was tempted near the H1 but before i could do something silly it hit the TP of 20. I'm happy with it. I went for a tenner and got 20, what more can I want. Erik said, "We are in for an extra-ordinary new year". I agree. We are.

So this is technically a 1:4 gain. Goodbye Friday Morning, see you at afternoon (party) \:D/

[immy]

Can you guys ever even imagine trading with a 2.5 and 4.5 year old next to you? infact they were chasing each other like tom and jerry under the desk, while daddy was busy managing a trade? 8-}

btw: IMHO: The charts need a breather.... and its time to go away.