Thanks GE,
what are those BUY/SELL buttons?

What is CNX thanks

its currenex

Thanks for posting your trading screens Randy. They must have taken years for you to develop. I have enough trouble working with your waterfalls/fans and your Randy Candles on two charts with one currency pair. Here's my question if you choose to answer.

You say you've noticed that all big moves begin on the 1 minute chart and develop from there. What I see is that the better trades are those which agree with the direction of the 25 sma on a higher time frame.

The question: When you first started did you begin at the 1 minute and work forward to stay in the trade or did you use the higher time frame to determine the direction of the trade?

Cheers

Hi GE,

Firstly, I have deleted my two previous posts as I realised they did not add any value at all to the discussion or development to the randy candles. I apologise.

Secondly, after looking at your screenshots of your trading monitor I have several questions going thru my head, but the ones that I can put to the keyboard at the moment are:

- In your original posts you had said that you take the trades off the 5M or 15M candles. Is this still the case?

- When you say that you are watching the 1M waterfall sma's etc. is it after you are in a trade on the entry candle, obviously the candle after the alert canlde? If so, are you just waiting for a pull back on the 1M chart to go in the direction decided based on the alert + entry candle. Hence, we are not entering on the close of the candle after the alert candle?

- I remember you saying that the best alert candles are the ones that close above the 6sma. Now, with regards to the 25sma, do you only take trades in the direction of the 25sma? ie you could have an alert and entry candle to go long, that move thru and close above the 6sma, but are below the 25sma. Would you take this trade? or wait for it to move thru the 25 ma? The problem with shifted ma's is that they change as time moves on. They might be show an upward move on the 6ma, but by the time that period comes, if the candles have moved down, it will not show that particular upward move.

I look forward to your replies!!

Regards,
K.

Guess I'll pick up where I left off before:
To those of you who trade the GBP/JPY.....
How many of you did well at the beginning of the week (especially Wednesday)?

If you review your charts, see if you find that when the GBP/USD and the USD/JPY are in "sync" it becomes "easy(er)" to trade the GBP/JPY.
When they are arguing with each other and moving opposite each other it becomes difficult.

From a fundamental analysis, look at it this way:

If the "market makers" (i.e."them"/"they") are selling the GBP and buying the USD (only), then the USD/JPY will be moving opposite of the GBP/USD. It makes trading the GBP/JPY very difficult, for obvious reasons.

If they are selling the GBP and buying the JPY, you will see ALL 3 Charts (GBP/USD, USD/JPY and GBP/JPY also EUR/JPY) move together in the SAME direction.

The charts I posted, (within reason) began to synchronize and move the same direction at the same time in the beginning of the week (selling GBP/buying JPY), and strongly reversed on Wednesday(buying GBP/selling JPY), and they became disconnected on Thursday/Friday as the markets focused more on the USD.

They (market makers) were (simultaneously) STRENGTHENING (then weakening on Wednesday) the DOLLAR and the YEN at the expense of the GBP.

When they are strengthening the DOLLAR ONLY, it will be at the expense of the YEN (typically) and the charts move opposite.

To put it simply from the technical analysis side, the best time to trade the GBP/JPY is when the GBP/USD and USD/JPY move in
the same direction.

This is why it is crucial to be able to simultaneously moniter the USD, even if you are trading the GBP/JPY.

Picking your points of entry and exit still requires all the things (RC's/Waterfall patterns/Stretch Candle exits) as discussed before.

__________________
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Thank you for expanding on that Goldenequity.

Cheers

TraceJ

My bad for taking so long to get back with this, I have been in awe of all those charts that GE is able to watch at once.

I use the default settings on the squeeze indicator, I have found it works well in default mode across all timeframes.

but if you set the last macd trigger4 to 5 it gives you a nice macd crose to watch. I have never done well trying to catch a macd cross so I leave it default.

I thinks this indicator made a good combination with RC's/Waterfall patterns/Stretch Candle exits.
Thanks Goldenequity for your effort to introduce RC's Waterfall patterns to us.
I made more pips with this system.

Attached Images

gbpjpy.bmp (1.86 MB, 494 views)

I only use the RC and MTF Stochastics / Fibs when I am range trading. Otherwise I hold positions for many days. We have been ranging for about 3 weeks on the GJ so I thought I would try and give you folks something you had not discussed. Coming from a institutional trading environment we usually use channels and fibs. If you add channels to the RC formations you are using you pick up a neat target warning area.

Some points on channels: Use Linear Regression. Keep the channel below 250-300 pips wide. As long as price action stays inside the channel do not update. Trend directions is determined by the channel direction. If channel is up - trend is up. When price action PA breaks the channel at the end of the day do one of 2 things: If price broke the channel in the direction of the trend. pull the channel forward (i.e. update). If PA breaks the channel in the opposite direction of the trend then pull the channel forward AND pull the back of the channel forward to current day minus 1. Most of the time your channel will be 2-4 days long. When you have TIGHT ranging markets for many days the channel will not be updated and price will keep inside the channel boundaries. I only update the channel at the end of each day (period separator). The biggest moves (the start of a trend) will occur when PA goes to the channel wall and hesitates there for several bars, then explodes and continues on out of the channel. These are usually the start of the 500-2000 pip moves. Practice and Have Fun !

Attached Images

rc & channel.gif (36.1 KB, 421 views)