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Old 08-01-2007, 05:33 PM
Nicholas 2001 Nicholas 2001 is offline
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Quote:
Originally Posted by Archie 2000 View Post
Thanks very much for the links. They contain a lot of useful stuff!

Can you clarify the meaning of this phrase as you are communicating with this person?

“Different levels of resistance / support CLEARLY correspond to different types of trends (when you consider 4 types of trend – then 4 networks of levels of resistance / support correspond to them ... if you use 5 types of trends for analysis – then 5 types of networks accordingly).” Masterforex-V : Three books about FOREX. Trade secrets from the professional trader.


What are kinds of trends?
What are the 4 grids of resistance and support levels?
You could write yourself the question directly to him, honestly, I was asking him the same questions and he advised me to look carefully for the answer in his book.
The answer to the first question I found in the first chapter of Book 2.
In particular, classical literature authors messed things, without giving a precise definition.
Masterforex-v was thinking long time on this issue.
And finally withdrew his trend classification that I’ve been using so far, as his findings are not theoretical but practical.
So the trend definition:
"Trend is aimed price movement between the two turn figures on the opposite sides. Movement on every trend is zigzag - after each wave of momentum is a wave back. The ratio of momentum and a correction shows the direction of trend."

This is a simple truth, not described in any book available to you.
Trend classification:

1. Intrasession trend emerge in the trading day, it is usually monitored on the 15 minute time frame.
2. Weekly trend is within a week, monitored hourly and 4 hour time frame.
3. Few weeks long Trend can be seen on the daily time frame.
4. Few months long Trend of weekly and monthly timeframes.

That means when we have all 4 trend the same direction then we have currency movement potential during the day on GBP / USD of at least 200 points.

What are the 4 grids of resistance and support levels?

It is not yet in his online book I have only learned this from personal correspondence.
He uses Fibonacci numbers to define support and resistance levels.
Grid levels are: 11.8, 23.6, 38.2, 50.0, 61.8, 76.4, 88.2, 100.
Each grid level corresponds to resistance and support level.
The convergence of different nets around time frames increase importance of the s/r level by many times.
See Figure…


I think was able to give enough explanations.
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