Hi Phillipe,
Soz about the delay mate, have been playing on other threads...
In a less than ideal world, yes, a scalp would have seen me exit as you say at around 6518, based on the one minute chart... in a more ideal world, i would have been using the one minute chart for entry, and the five minute to hold the trade...
Doesn't always work that way as I get a bit twitchy, but if you look at both the one minute and the 5 minute chart, you'll see at the time there is serial divergence on both.
Running a 21MA on both, you'll see that on the fiveminute, price barely pierces the 21MA before resuming or maintaining the downtrend. This first kiss is often a resumption of the down or uptrend and should be expected, also gives a good point to pyramid, ala WatchandLearn's strategy.
The ideal point to exit would have been around the 6480 mark, where, on the five minute, price pierces the 21MA and holds above it for the next 5 min bar...
IE, with both 5 min and one min saying major turn, 1 min for trade entry, then 5 min to hold the trade as long as possible.
That is ideal though, and Can get a bit nerve wracking when the pair is volatile and spiking like it did through the drop. This is where i need more time-cycle practical knowledge, as I beleive one can have an expectation for a particular trend to last for a certain amount of time, but am yet to get a good ahandle on this.
Another method I use is to add a 200 period moving average, and use this as a target for where price will go. If you add one to the 5 min char on the time we are looking at, you'll find the target was...6480..lol.Scarey coincidence.
On the one min, it gives around 6500.
Hope that helps
;)
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