The Theory of Everything: In Forex

Hello Guys
I am about to start a new thread telling all the things you need to know (which obviously are only a handful of things to trade this market. This will be based on my experience of trading this market. You also may think sometimes that you already know things but "There is more than one way to skin a cat."

To start with I would like you to know the following things:
1) I am a price action trader and I use some of the common patterns which are present in possible your dictionary also (like tweezers, pin bars, harami etc).

2) Always know that trend is your best Friend. Never go against it if you fell it is going to happen. Only go against it if you know its going to happen. But always remember Forex is a game of probabilities but not certainties.

3) Always follow S/R lines/Zones. View them as zones and not as lines because price is not going to stop at a certain point(It may or it may not).
http://img228.imageshack.us/img228/930/supportresistance.jpg
These zones are followed to evry extent and goes with every time frame.

4) Never risk more than 5% of your amount on a trade. Never means never. You may see http://img801.imageshack.us/img801/3776/moneymanagement.jpg how it can blow away your trading career and make you broke.

5) Never ever play it as a game of poker. Use your knowledge and keep emotions out of the market because when you poke you are broke.

I know probably will get bored reading all this nonsense stuff (saying what that hell is he saying. We already know these things and this is another one those new guys saying the same thing. But better apply these things and success will be yours). This is just like a suitcase full of money hanging above you and you just have to stretch to get to it. In case you are not fit then use a ladder:rofl:.

Now I will end all my nonsense and post some amazing results later which all can easily achieve. Please post your queries regarding anything you want to know and I will be obliged to answer you. And please also post something you want me to know or learn because I am open to it because knowledge increases only when shared(you may be thinking how? easy answer is you will tell/ask me something and i will ask/tell you something in reply and we both learn).

I hope some of you become members of this thread started to help people

All the best for the new thread...

Hello There,
I don't know you yet,but hope to know you better.
I myself am a price action trader,and would love to contribute my charts.
I would be obliged if you post some of your opinions on my charts as well.
And don't take my last words seriously but i must tell you this:
There have been only a few handful of people on this website, who have stuck to their threads, i hope you will do the same and not abandon it.
I am a great Pinbar fan, i use them all the time.
Hope to see your charts with pinbars etc soon.
Regards
Taz

Thank you very much Edward Ji.

It is very good to know that there are still people like you who are eager to help people out of their problems.

I will be looking forward to your contribution on this thread and will be highly appreciated.

Hello Carmin,
I am interested to know,do you use inside bars.
See you later
Taz

Hi Guys

First of all I would like to discuss a bit about trendlines. Ya! you read it right. These are one of the basic things in Forex or any other Financial Market which any Big Player (Private Investors,Hedge Funds etc) or speculators like us use.

Then we must first know what a trend is? It may be an uptrend, a downtrend or a sideways movement which you can easily identify by following methods:

1) When the graph on your screen moves from bottom left to top right of your screen it is an uptrend.

2) When the graph on your screen moves from top left to bottom right of your screen it is a downtrend.

3) If you still have confusion then go show the chart to a 5 year old boy, He will tell you :rofl:.

Important question now arises is how to draw a trendline
1) In an uptrend join the supports formed in the higher highs and higher lows. Try to join as many supports as possible. The more the better.

2) In an downtrend join the resistances formed in the lower highs and lower lows. Try to join as many resistances as possible. The more the better.

Now that you have identified what a trend is and how to draw a trendline so now is the time to tell the Common Mistakes one may commit while drawing a trend line.

1) A trendline must join at least 2 points in of that particular trend. If not then your trendline is incorrect.(see attachment)

2) Once trendiline is broken does not mean that the trend is finished. We will discuss about it later.

So guys i cannot write anymore, my fingers say its enough :lol:, So next we will talk about later. I assure you that I will tell you just everything that you need to know when we start to see some excellent response.

If you have anything that you want me to know(to make me learn or to ask something) then post on this thread. I will be more than delighted to know something new or even answer your queries.

Hello Tavnaz
I am obliged to know that you also are a price action trader. I also am a great fan of pinbars and love to use them from time to time. Hope that i get to learn some new things from you. I have seen your thread, its excellent:thumb: and your strategy seems to be somewhat similar to me in some points.

I will be more than happy if you post some of your charts on this thread also.

As far as inside bars are concerned, I use these but not to a larger degree. I hope you do use them.
Please tell me if you have some rules to entering a trade when you use inside bars.

Carmin,

Hope to see one more gem of a thread.

Regards
Raghav

Hello Mr. Raghavcc

Thank You very much Mr. Raghavcc. I will be looking forward to more of your contribution to this thread.
Regards
Carmin

Re: Support and Resistance Zones

Hello Everyone
Now I am fervent to discuss about the Support-Resistance Zones, which are one of my best to use in this market.

When you trade you should always be aware of the Support Resistance Zones which are near because Price has a habit to stick around them and if it breaks then the zone will turn into support/Resistance depending on the trend. It is very easy to use.

When I scanned through some of the threads I saw a thread "Bouncing Balls Pivot Theorem and Retrace Play" by Tavnaz which has great charts showing how they do so. I hope Tavnaz doesn't mind this linking to his thread, which is great thread to learn the game of Supports and Resistances.

Regards
Carmin