SRDC II

OrangeRoshan Posts
By MatiasFx

SRDC Episode II

Hi everyone!! This is the extension of SRDC method Level 1 from the beginner's forum. When you are not familiar with this method, please click on this link: http://www.forexfactory.com/forexfo...4804#post144804 When you have been following this method, then rock on!! THREAD RULES: 1) Newbie question regarding this method should be directed to the SRDC level 1 thread at the beginner's forum 2) Charts posted must be using candles only and good contrast background, meaning no black background please (it is sucking my laser toner dry!) 3) I will not tolerate NEGATIVITY in this thread. Any big critism regarding this method i suggest you DONT follow this method at all, or post a new thread with your own critism in anyway you like. 4) Constructive critism on a positive trend is most certaily my friend. 5) Please be humourous 100%. Im a Sc-Fi freak. When you dont know STAR WARS or STAR TREK or BSG or ....., please watch the movies or simply stay in the deepest jungle of Borneo alone, that way, you will learn from Chubaka himself about all the characters we will be mentioning. 6) I forgot! Sorry....
Episode II

There is no documentation for this method, as this is just an extension. Level 2 There are two parts inside this level, I will post part 1 first, the second part will be posted later later later... after familiarisation of the part 1. As you may know, entry is upon penetration of S&R. The reason behind it is simply to understand one of the basics of Trader's Sentiment. In Part 1 of Level 2 the entry is far early than this and S&R are actually T2 or Take Profit 2. The biggest challenge in SRDC method is to know the trend short-term and longterm. This will be verified using MA CCI and Channel Trading. This method can harvest 50pips to 100pips easily, on a daily basis. But, unfortunatelly, this time Grandmothers cant trade as it is gone beyond simple.

Indicators: FX Sniper's Ergodic CCI & Trigger settings: 2 10 1 2 ______________________________ SHI Channel D1 (daily chart) BASIC ENTRY RULE: - Put entry following the trend shown by CCI EXIT RULES: - Take profit will be divided into 3. T1, T2 and T3 - T1 can be any desired pips - T2 can be either S&R of the previous candle - T3 Can be anything after that. Please be cautious as this carry minimal lots, say 10% of the original lot size How to spot the TREND CCI - Blue on top of Red will mean BULLISH Trend and Red on top of Blue will mean Bearish Trend. SHI Channel Enable the period saperator. This will draw vertical dotted line outlining a period of 1 month. There will be 3 lines. The TOP, Median and Bottom. The candles behaviour are very predictable. Spot the pattern. The candles will move from MEDIAN, (TOP or BOTTOM), MEDIAN, (TOP or BOTTOM), MEDIAN and so on. Based on this behavious, a Jedi can assume where your mother in law will be tomorrow. Opps sorry I mean the candle. Say, the Candle is hitting the TOP trend line, theres a big possibility it will move down to the MEDIAN. When the candle is at the MEDIAN, theres a possibility it will move either back to the top or go all the way to the bottom and so on...... Practice and know your pair. This will filter the CCI and it help with your decision on the trend. STOP LOSS A safe SL will be 50 - 60 pips on the GBPUSD. However, this can change depending on your Trading experience.

Worry not, my Padawan

The Morphing SHI Channel is not really a major problem when it is drawn on the Daily Chart. The Daily candle is current at the Median. Its Decision time for a trend to continue or not. The best way for this is to look at the 1Hr chart. There you will see the the 1Hour candle just below the Median. Lets wait for it for the next candle to form: -When it form under the Median, its a sign that its bearish -When it formed over the median, its a sign that it will bullish (some guts) -When it formed and touch at the Median, wait, its still indecision. Best make coffee or go do your backtesting. -When the imperial Army is near the Asteriod belt, pinch yourself twice or slap you face 3 times. Chances are you are dreaming because, the Imperial army was never shown near any Asteroid belt in any of the Episodes. Attached Images

Ez like 1 2 3 Quote:

Originally Posted by compro99 Jedi Roshan, May i know the currency pairs that u have traded with this SRDC 2 method ?

Dear Jedi Compro99, I would recommend only the same 3 pairs at the moment. It works with any pair, but with SL and TP. It boils down to knowing the pair again. Stick to your fav pair or pair that gives u better result. May the Pips be with you always
Getting there Quote:

Originally Posted by Tiki Trader Looks to me like it's topped out and dang better be ready for some kind of a drop !!! Cause I sure am ready !!!

Right on! Ready and anticipate. H1 gives a short-term candle movement and D1 is the ultimate and real trend. Mary pipping
Never too late Quote:

Originally Posted by fjfx [QUOTE=OrangeRoshan]The Morphing SHI Channel is not really a major problem when it is drawn on the Daily Chart. The Daily candle is current at the Median. Its Decision time for a trend to continue or not. The best way for this is to look at the 1Hr chart. There you will see the the 1Hour candle just below the Median. Hi OrangeRochan First and foremost, many thanks for your kind sharing all the way from SRDC Level I. I've got a question about the SHI Channel. Setting up on Daily chart isn't a problem - looks just like yours. But, when I switch time frame to 1H, it redraws itself base on 1H bars, and doesn't remain the same as the daily chart (like yours). Is it the indicator settings?? Would appreciate your help. Thanks.

The indicator is correct and so are the settings. H1 redraw the current 2days trends which is pippingly ranging. It gives you anidea what the market is doing in short-term. When you dont feel comfortable with the channel size, stay side-lined for the time-being or activate SRDC level 1 strategy. Either way, You PIPS. Hope that pips
Long long time a go... in a chart far far away

After I posted the H1 chart that looks like the D1 chart. My H1 channel changed to the tiny winny size, indicating a range market.

Its normal! Rock on!!

Entries

The channel doesnt look too convincing at the moment as the Holiday attack the forex market. In my charts, i put a possible Long entry just as an illustration only. I wouldnt take this trade as Market sentiment is very Holidayish. But in a normal situation, I would wait for it to bounce from the Support and Long to add extra pips. In My Daily Channel (blue), the candle looks like its going UP in the long run, thus penetrating the Highs of yesterday (SRDC I). But again, its holidayish, even I could get it wrong. Sentiment is just, should I say, "too much Turkey on the plate!" March on, as the Imperial Army are getting near!

Practice Practice!

The BLUE CHANNEL is a new channel drawn after a few months on Daily chart. But, the old position of the BLUE CHANNEL is the BALCK DOTTED LINE. How the Black Channel is drawn I will draw the Equidistanst based on the lows (left to right), then the parallel top line will follow automatically. Then draw the Median. Look at the Rectangle The Black Bearish candle, 19th APR is on the edge of the Lower Channel line. Below The Black Candle, the CCi shows a Bearish Trend. So, I waited to see where the the 20th candle is moving. I check my 1HR and its going towards Median after a dip. -As the CCi cross and confirm a trend change (Blue top of Red) -As the H1 Channel shows the same and confirming a bounce from the Low Channel. -I Enter long and assign T1 = Yesterday's Open (70%) T2 = Yesterday's High (20%) T3 = The Median of Daily Channel (10%) Moving my SL to Breakeven on the 1st entry point, not Takeprofits as it might trigger early exit. This is a total of almost 200pips. It could have done the 230pips, but give away 30pips for CCI confirmation. Many Asked me How i can do 300-500pips a day, consistently? This is one of the methods im using. Its not rocket science, but we learn to read what the big boys are thinking, and we anticipate their move! Learn it, and soon you will find out, its no big deal. Im Serious..... not like spock but more like data. Attached Images

Quiz!!

Hi All, Guess where this will go? Clue: GBP Reached a new year High and hitting the Top Trend. Clue: What Happen when you hit a STRONG STEEL WALL at 130pips/h Clue: EUR is out of the Trend due to GBP announcement. Do you think it will stay out? 1,000,000 Jedi pips for those who get it right!

Daily cable

Daily euro

I DO LIKE Mondays!! No need to tell me why!

Everybody Cheats!! Noone dare to answer the quiz!! Everyone is waiting for the candles to move! Shame on you guys!! The Prize is now reduced to 500,000 Jedi Pips!! THE WEEKEND CANDLES Now here are weekend candles that i cut and paste (a bit of work, I know!! Thank you, You are welcome). These are the last 2 and a half months weekend candles.

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What do you see? What can you Spot? Anyone? CLUE: Pls erase the idea of FOREX Trading is not easy money <-- Inviting Critics... Attached Images

Smarties Quote:

Originally Posted by nerolink Besides from the fact that there's a small candle followed by a big candle and mostly in the opposite direction. Anything else that I missed.

YESSSSSSSSSSSSSSSSSSSSSSS!!!!! I told you the force is with you!! Its 9/10 chances!! Go look at your charts!!
Loving it Quote:

Originally Posted by hensch

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Place a buy and sell stop at S/R and let your money grow? Easy to start a trade from short range candles? Big move follows? Henry travelling at warp speed......

Close!! Nero got it 1st. S&R is T1 now as outlined in Episode II Excellent Observation!!
Monday is derived from a Latin Word: TO MAKE PIPS!! Quote:

Originally Posted by sirwolf Small moves on Sat/Sun candle followed by larger moves on Monday. If we used breaks of Sat/Sun S/R as rules for enetering Monday trades we would reap many Jedi Pips? Is my observation correct Master Orange?

Remember the song by Michael Jackson and Paul Mc Cartney? Ebony and Ivory... live together in perfect Harmony..... Side by side AT THE WEEKEND CANDLES, O TRADER CANT U SEE!! Remember it? Thats exactly how the Weekend and Monday candles are. Upon the opening of the Monday candles, Immediatelly PLACE TRADE OPPOSITE TREND TO THE SUNDAY CANDLE. SIMPPLY PIPASTIC!! 9/10 you will get it correct. Dont believe me, Go check your charts now!! I sense more Jedi and Padawan will love Mondays...
Good Family Value is a MUST!! Quote:

Originally Posted by senbanda 50% it will go long 40% it will go short 10% no proper direction Senbanda

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LOL.... Brilliant Observation. But look closely, The Monday candle is 9/10 Inverse to the Sunday Candle. Hows that for a new 600SL Merc..... Honey.......!!
Long long time ago, in a room far far away...

It was many many years ago, while people was telling me, there is no such thing as 9/10 winning trades; I for once refuse to believe that. I use Graph paper and HB pensil to draw candles manually every single weekdays. As we are 8+ GMT, it can be very tiring to follow NY trading hours. But, I was a determined Jedi. While I was drawing the monday candle, The Song Ebony and Ivory was playing..... Black & White in perfect Harmony.... there I saw it!! The Many long hours were worthed. Hence The Perfect SRDC method was born!! Like I said on Episode I, Its use to paste any losing trades in the weekday. Simply Pipastic and I am humble by its discovery (which I know I maybe not the 1st). Thank you to Al Mighty God! Now, when anyone want to critise this, you better have 14yrs trading experience of the Monday candles to prove it doesnt work. Otherwise, Learn it, be quiet and stay humble. Nahhh... ive given it for FRee..... Pipastic!!
Pipstric Quote:

Originally Posted by rojam what I see is all the monday candles are reversal from the direction of the tiny candles

Correct!! But Nero got it 1st. There are 2 candles that doesnt inverse. One on top left and one below middle. The top left is a losing trade. But the below middle is enuf pips to harvest at T1 & T2. So no worries! I sense many will become Jedi...

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Pips anyone..... Quote:

Originally Posted by rojam were those trades loosers or near loosers because pending on stop entries were made only in one direction? is it better to enter in both directions with stop loss in place?

Good Questions: 1 is a definite loser but with SRDC Level I, you can still catch that. The other one is also a near loser, but with T1 at yesterday's lows at 50% and the other T2 at your desire pips, It is still a winner!! This is why in Level 1 I taught traders of cathing 5 pips, this is to be use in defensive trading SRDC way. Regarding placing 2 trades in opposite direction that my other system your are talking about HDC, Hedging The Daily candles which i wont have time to teach here, One at a time. But 2 trades can be placed: 1) Following the inverse pattern (90%) 2) Upon T1, a new trade is open based on SRDC level 1. Hope that may pip your accountS!!!
Jabba is the biggest gangster in the universe (in bodymass of course) Quote:

Originally Posted by jest1081 GOD! Hell yeah your so freakin right! this soooooo GRAIL STUFF!!! Well thanks for the daily SHI. Good area to guage resistance yeah! Now thats channel trading!

Right on Jest!! I met Jabba the other day, and he too confess that the Monday candle is inverse of the Sundays'. He said,"bugga predict giggu wakka loss rose wikki balu money". Translated, "He wont allow anyone bet on it, he will lose money coz its too predictable!" well..... Thats Life... told him not to gamble.....

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Take Profits Quote:

Originally Posted by compro99 Jedi Roshan, Do u mind doing a full run down example of the trade with a pic example. With 3 Take Profit, we need so called 3 'units' of entering market. I think yr above example is based on reversal of candles for 2 days but what if it carrys on the same trend ? That would be a slight different scenario and Take Profit..???

Jedi Compro99 Below are your Jedily request on Entry and exits. Study it and I hope it pips. This level and the previous level teaches Exiting on the same day. However swinging it on to the next day is another story. These are sets of rules that will be disclose on Level 2 Part 2. I sincerely hope this pips! Attached Images

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Which Broker? is a classic question.... Quote:

Originally Posted by Lou G I'm using sbfx and have no weekend candles. I've searched the options and it doesn't seem to be something that can be selected/changed as it can be on OANDA. Do I need to change MT4 providers? Thanks OrangeRoshan - I will be many long hours digesting all this new information and modifying my EA to use it. Lou

I dont want to be Bias, but its better to open a demo on IBFX and trade based on that signal manually. When it is a concerned of EA, then use brokers that speak the same language (when you know what I mean). I would like to test your EA on this when it is available. I can help to include some variables to make it even more profitable.

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Piping the Galaxy

To Stoploss or Not To Stoploss...

I emailed a very popular website yesterday and told them that I didnt usually use stoploss. As expected, they replied me with 2 words, "GOOD LUCK". I of course smile and understand why they said that. As a further understanding to those who wants to know about stoploss, here are a summary of it from the trading room of OrangeRoshan: STOPLOSS It has many definitions. Generally, as the name suggested, to stop your loss. The reason why I said it has many definitions are because, different methods have different techniques of reapping pips. Here are examples and definitions of Stoploss. 1. To Minimise losses on a losing trade As professional and as good trader you can be, there are times when your trade is totally hopeless A stoploss is set to minimise or move to minimise to a new price where further loss is minimal. Eg: Say you are in a trade, with a normal fix stoploss. But, the trade is going against you, and fundamentals shows, its not favouring your trade, but a slim chance says it will. Rather than exiting a trade, a trader will tightenen his/her Stoploss, hoping should a trend change to his/her favour, the trade will become a winning trade. But on the otherhand, should the losing trade continue (most probable), it will be out of a trade sooner than schedule, thus minimising loss. This is also called, "Managing loss". 2. To set a win/loss ratio Many times traders went into a trade with a proper win/loss ratio. The idea is even when you lose more, you still keep positive pips. This is because, your winning pips are higher than your losing pips, which is in this case, the Stoploss. Eg: a 3:1 ratio. Meaning 3 loss is equal to 1 win. Say TP is 60, therefore SL is 20. When this trader wins twice and lost 5 times, he/she will still keep 20pips profits. This is a classic. Many traders out there thinks this is the only right way to enter a trade. I jedily disagree. 3. To keep a winning trade a winner In defensive trading, when a trader is in a winning trade. A trader may do the followings: a) Exit part of the lot, say 50% and move stoploss to breakeven. This way, when the trade turned against you and touch the new stoploss, the trade will be exited and harvested certain pips with half lot size. The remaining lot (50%) is at breakeven. b) Same like above but instead of moving stoploss into breakeven, the trader move

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the stoploss into a few pips higher than breakeven. The stoploss is now change to Profit lock. In most platform the profit lock can trail the moving profits hence the word, Trailock. Should the trade goes against you, the remaining 50% still harvest positive pips rather than breakeven. 4. To guard a trade against temporary Dip or bounce In this type of trading, A stoploss is usually not in good ratio. A losing trade can cost a trader 2 or more winning trades to recover a single losing one. A wide stoploss will be use to catch a trend not propotioned to the winning target pips. A stoploss is use here to guard a traders from a massive sudden trend change only. So, in this case a stoploss is positioned to keep a losing trade open until the trade becomes a profitable one. This is usually practiced with proven method systems and very experience traders. A high winning ratio, like you know what.... 5. No Stoploss? As crazy as it sounds, there are professional and significant traders out there who seldom use stoploss when entering a trade. There are reason to this: a) Their WINNING method gives very high probable of winning compared to losing. A stoploss will probably get this trader out of a trade sooner before the trade change to a profitable one. However this proves very unpopular and requires a big equity. It is often critised and not very duplicable. I would'nt try this at home, Itsssss berrrrryyyy.. dangeraus...... Unless you are in the Jedi council, of course. b) In a carry trade, such as buying GBPJPY. It gives a very profitable swaps and the pair moves in a very predictable trend. A stoploss will usually becomes a nuisance as a trader will have make more money in swaps rather than in pips. Keeping the trade open for a considerable amount of time will even guard the trade from negative pips. Imagine a Trader buys GBPJPY since April 1995 (over 10,000 pips) or Sept 2000 (over 7000 pips). Why would he want to put a stoploss? The Swaps alone accumulated over the years is worth 10 times of the pips he accumulated!! A day swap is worth more than a couple of pips! ----------------Now, after that brief explaination, i think it is quiet clear what a stoploss is. Therefore, dont be suprised when you see a trader that has funny takeprofits or funny stoploss. It all depends on the methods used and level of experienced that traders has. Coming back to SRDC, since we are trading the daily candle, a combination of the many definitions can be utilised to fit our objectives. Mastering Taking profits techniques will definitelly be a must when professional trading is part of the goal. Until then, please use a proper stoploss. Messa think, message too long...

Whassssap...

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Quote:

Originally Posted by hensch Master Orange, 1) If my observations are correct, Level 2 is based on the relationship of the daily candle to the channel lines (Bottom, Middle, Top). But, what happens if we have some candles in "no man's land"? Switch to 1hr and from that period perspective By that I mean, for example, candle is above median on the way to the top channel line, however it takes three days (three daily candles) to get there. My point is, should we wait until a new candle touches any of the channel lines and see the reaction at that level? Therefore, no Level 2 trade for three days or use SRDC rules to enter trades until price touches any channel line? Use other time periods From there we fine tune our entry with the one hour chart? 2) When you follow the one hour chart... is that the SHI channel 60m or do you draw the daily channel in the one hour and see the reaction of one hour candles to the daily channel lines? Definitelly Hope my questions are clear. I'm in the middle of a galactic battle, shooting my laser gun with one hand and typing with the other. Henry

Study the other periods, mainly the 1hr. As you know my way of teaching is step by step. Whe the Part 2 of Episode is introduce, it will become clearer. Throw the mouse at him...........
Pipping your way thru the channel Quote:

Originally Posted by Lou G The EA for this will take some time - SHI_Channel indicator is not coded to be easily referenced externally and will need to be re-structured. I will keep you posted. One question - would SHI_Channel suit your purpose better if it did not redraw during the current day? Think about it and let me know - easy change to make while I am modifying the indicator anyway... Best, Lou

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Yes make it draw once at the early hour (GMT 1). The adjustment will come only once a day. When ever the trend change, its better when the channel stays until the next day. This way we can see the candles are not obeying the channel hence, easy entry. Hope that pips
jedi meeting! Quote:

Originally Posted by Lou G One more question, this time referring to the chart you sent me showing the difference between your hand-drawn channel and the shi channel - in that example your channel covered a period of about 4-5 days and appeared to be the correct one to me. As the indicator is working now, it will go back only one day on a 1 hour chart. Should it go back farther for best results?

The further the days it covered the better!! Usually 2-3 days is very accurate. What I mean is, instead of an indicator that draw every hour, it need to draw once a day. Next day it will read the new candles and draw a new one and doesnt change it until tommorw and so on. This way, EA can read and determined point of entry easily. Otherwise our mighty computer will get confused and their point of reference keep changing every hour!! What are your thoughts!!
Klok klok klok Quote:

Originally Posted by Lou G Here is how the modified channel would have looked at 00:00 on Friday 11/24 going back 2 days. If this is okay to you I will go ahead and start making the changes to have the indicator usable for an EA. (see attachment, my browser won't let me cut/paste and I don't want to take time to fix it now). [img]file:///C:/Downloads/eurusd.gif[/img]

Ok, you channel is correct, but it only covers thursday trade. Actually, thats my chart on early Friday, but GBP broke the trend extensivelly. We would expect a correction, hopefully it happens, unless momentum continue (as it has to come back to the channel). But what happens when it doesnt? In this case a new channel must be drawn taking Thursday and Friday into account. I enclosed a Thursday & Friday channel as draw by SHI. Say we draw Thursday only leaving Friday due to strong momentum, and monday

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comes, I wonder how will the EA calculate the position of the Friday's trade? Hmmm... Do a channel that draws at least last 2 days minimum. What do you say? Normaity will resume tommorow, I suppose. Damn Bird!! Attached Images

My Fault, NOT!!

Where is Dollar taking the candles? SRDC I/II Trader's Analysis: - The Long Entry using Level I looks promising, however momentum may be weak,

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so it probably touch the top channel, but 5-10 pips look doable. - SRDC I Sell entry looks a long way, unless the American are MAD and want to correct Thanks Giving Candle, - Lets wait for the Sunday candles, and see what it says? Then Use Level II entry - Could the dollar strengten? and push the candle to the lower channel? Here is what I would DO (at your own risk) I trade GBPUSD and candle is similar to EURUSD, but movement might be slightly different: - I would inverse the Honey I bought 600Sl candle - SL 50pips - For LONG when sunday is (black), T1 is 1.9349 (Friday R), T2 1.9366 (H1 Median) - For SHORT when sunday is (white), T1 is 1.9293 (20pips), T2 1.9239 (mid of T1/T3), T3 1.9186 (Daily Median) - Should my Sl (50) got hit, I will reverse the trade. Allocation of Lots on Exit - LONG T1(50%), T2(50%) - SHORT T1(50%), T2(30%), T3(20%) The Illustration below is EURUSD and LouG drew his channel with this pair. Attached Images

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I love MayBach!! Quote:

Originally Posted by compro99 Jedi Roshan, I am curious... in this kind of situation. How will u trade it ?? Example: How do u trade GBP using SRCD on 23rd Nov 06 ?

Pipastic Question!!

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I only got 20+ pips that day, quiet a dissapointment. T1 was 1.9166. All the other Ts were carried forward to 24th and made almost 200pips. Thats more like it!! This is the beauty of SRDC, be it Trending or Ranging or even Holidying, it still pips. The motto is,'Dont leave any pips behind" I open a LONG trade at 1.9142 using Level 3&4 strategies (Yes, thats right, SRDC level 4 actually open a trade on the 1st tick of the day!!). One of my Padawan from Hong Kong like to say,"Iinsssssssaneeeeeee....!!". Damn right!! May the Pips be with you, Always!!
Pips anyone? Quote:

Originally Posted by compro99 According to yr experience in SRCD, do u always let trade rollover to next day when target is not met ?? Personal qns, u have so many padawan overseas, do u own a hedge fund or know lot of bank traders worldwide ?? I'm also from GMT +8... singapore

In my discreationery trading, it all depends on the fundamentals & Technicals. When it says, the trend will continue, i will let it ride to the next galaxy. But my EA (Commercial puposes) will end some trades on GMT 17:00, where the candles is usually at its peak! Yes, Im a Fund Manager since the 90s and also know a lot of bank traders in the Milkyway. I managed certain percentage of their funds (trust me, you dont want to kno). My investment empire is Invisible to protect my clients from their clients. Its hit your elbow to elbow thingy!! Many has become good friends to me and also we learn from each other. Im a simple man with simple trading method that works. Hope that pips in your pants! sorry I mean pockets!! LOL
Anyone wants to become a Jedi? Quote:

Originally Posted by compro99 Jedi Roshan, With yr credential as a fund mgr, i think alot of people will sit up and take a good look into the mind of a great speculator. I always sit straight up 90 degrees when reading yr post... with interest. Ok.. enough of polishing yr boots... haha. Let the

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Jedi saga continues... i meant the training.

Take it from me. Its no big deal. Anyone of your can make it too and probably bigger than me. Im the poorest amongst them. Discipline is everything! "Its not what we know thats makes us successful, Its what we do with what we know, that will make us successful" - Doug Wead (Economic Advisor to the Oval Office).
Pip Managing Quote:

Originally Posted by compro99 Just curious, do u trade just FX only ?? What kinda strategies does the other fund mgrs employed ? All based on daily candles ?? Just curious... because i have nvr been in professional trading settings.

I traded Commodities as well. Things like Gold, Nasdaq, Crude, ETC.... Just in case we go back to the gold standard again. Hmmm... Most of them are Fundamentalist, and they know their stuff very very well. But, when they draw charts, its mostly Daily candles. I think this is also mostly due to previous practices where electronic charting softwares were not readily available yet. Many professional Fund Managers do carry trades. They seldom have daily pip goals. Its more on buying on dip and at bounce after an exaustion of momentum. Well, the reason is probably, they are mostly working for reputable banks and govermnets! Not many like I do, Managed and own my own private Fund Practices. Happy Pipping!
Short? Yes, Yoda is Short Quote:

Originally Posted by Mr Smith Master Looks like there will be srdc 2, shorts, after sunay candle is a up candle, any reason why this is not a valid entry to short? may the pips be with you

Yes, I short my orders and HIT T1 on SRDC 2 making around 50pips. Sweet!! Ive

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move to Breakeven. No matter what happens, -ve pips will stay away from me today. __________________
Bouncer anyone? Quote:

Originally Posted by AlexFX Hey, I thought the channel drawn on the H1 should reflect the chart on D1. This is so we can get an idea of where the price action is at a lower level based on Daily candles, someone correct me if I'm wrong. Alex

Yes and NO. The true trend is Daily chart. H1 chart shows the daily movement of D1 candles. We use H1 to catch the dip and bounce of the daily trend. May that pips __________________
50 jedi pips is good!! Quote:

Originally Posted by Mr Smith Master Jedi So i took the sunday candle method, i took a short, and t1 got hit, i then moved stop to b/e for rest of positions for safety as i'm new to this stuff, b/e then got hit, do you move your stop to b/e on remaining postions after t1 is hit, or do you keep the 50 pips stop, if so at what point do you move to b/e, or do you do this differently depending on the circumstances and price action. Thanks I'm starting to get some easy pips. Today was so easy.

Market is still holidayish. So its uncertain. Take what you have and rest for the day. Like I said, 50-100pips aday is doable with SRDC I & II Pips anyone? __________________
Lets go...

Yes GBPUSD I entered at 1.9404 based on the H1 Trend Line. Thats the point it hits the Top

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Trend. When I see the Gap, i expect a correction, so I waited then enter a short trade and exit at T1, Yesterday's High 1.9350. My T2 was at 1.9309. based on H1 lower trend. Now its bouncing Up to the median again. Pipastic!!
SRDC way

I entered at 1.9404, T1 is at 1.9305 (yesterday's high) and moved my SL to Breakeven (1.9404). Then get my T2 at 1.9309 which almost touches the lower channel. See the charts!! I have other trades going on but based on other levels!! eg: Reverse the trade at my T2 (1.9309) and exit at 1.9378 (median). Isn't it Fantastic!! Attached Images

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Loving the pips, come baby... Quote:

Originally Posted by compro99 I got to salute u...!!! U got it almost perfect... mainly that was good planning and experience at work. Thanks for the clarification, Jedi Roshan.

No problemo. Anyway, right on last weekdays, Ive explain to everyone to reverse the sunday candle, This alone made about 90pips!!

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Look at the movement of the H1 candle. Its dancing along the High trend, median, Low trend, median....... just as expected. Its not rocket science!! Its simply how the big boys play the game!! In other thread, many months ago, i explain, harvesting 100++ pips on a single candle. This is it!! Pipping the SRDC way!!
Dancing in the Trend!!

Hi All, Look at the candles, its always dancing between the trend. It will usually settle at the median almost every end of the day. Thats a very powerful piece of Jedi Information. One that can get you to the next Milkyway. Never trade at the Median, Thats TP. Wait until it touches the Top or Bottom Channel, than trade reverse!! I hope That helps!! Attached Images

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Pipping the Daily Chart

The RED is sell, BLUE buy and GREEN is TP. Look at the charts!! Isnt it Pipastic!! When you know how the Big boys think, its very easy. They got so much too lose compared to many. So they play by the rules. Breaking the rules will cost them their investor's money and eventually their reputation. They play golf together, lunch, dinner. They went to the same club and they acted collectively. They play by a set of rules, that is dancing in the Trend!! Althrough, News or fundamentals change trend, but most of the time, Trend is more powerful than news. But, should a trend is broken and a new wave of channel is forming, thats the time, when the really big boys told the big boys, "Hey, we are changing channel, wanna follow?' They are the ones who made the TREND!! Really Big Boys: Banks & Govt Big Boys: Big Fund Manager Boys: Jedis Freshmen (who got bullied): Newbies who read a few books, run on demo a few years, and opened a mini account and think they know everything!! Which one do you want to be??? Attached Images

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Go Jedi Go!! Quote:

Originally Posted by Mr Smith Thanks Master Jedi for that pipastic new info! Ok now we got cci triggering down trend on daily, bearish bar at top of shi channel. But we have hourly price at bottom of hourly shi channel, also we have hourly support at 9305 area, do we wait for hourly shi channel to break and 9305 area to break before taking shorts based on cci turning over daily. Thanks Junior Jedi

Ok, im quiet confused about your question. Sorry... But im expecting a black candle tomorrow, bearish GBP. The reason is Todays candle on D1 is entering the channel again. I would expect it to go back to the Median of the Daily Channel. When it doesnt, then today's move is a correction from the Big Boys follow by tomorrow and a few days after that the really big boys may be buying GBP and shop at Harrods!!

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again, the Twin channel (Part 2) at the CCi are showing indecision!
Yes jedi? Quote:

Originally Posted by sirwolf Can someone please paste the candles the chart with the weekend candle and todays? I am see same color candles - looking at a daily chart. Maybe I am missing something. Thanks in advance!

Daily Chart on GBPUSD. Hope this will give you the force!! Attached Images

Saber!!

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Quote:

Originally Posted by hensch Jedi Roshan, Once again I need your wise advice. On your post #112 - SRDC way, you show a 1h chart where you play both sides short at 1.9404 and reversed the trade at 1.9309. So far so good. Then on your post #117 - Pipping the Daily Chart, you gratefully show us how the Big Boys dance inside the channel. Just for clarification, since we still do not know the next levels details of the system, do you recommend to take trades only in the trend direction of the Daily chart? Thanking you for the knowledge received, Henry

The real Trend is Daily chart. But, on 1 single daily candle, there are a lot of movements. To see it, you switch to H1 candles. You can catch that too. Both charts speaks the same. The formula is the same. The dance is the same, Only the pips are different. The daily candles, when you follow the dance, it will give you 1000+ pips in a week with a single trade, but when you dance with the H1 chart, you can get the range (100-200) of that pair everyday. You can trade both, as your equity allow it. Thats the difference. Another thing, Daily candles will show the ultimate trend, so the dance in H1 chart can be decided to a macro level. Level 2 Part 2 is more on confirmation and safety net. Hope that jedi stuff is not confusing...
Please dont sue me.... Jessica me instead!! Quote:

Originally Posted by llambert3 Question - you are saying in your opinion either way tomorrow should be bearish? If the daily candle is entering the channel again, tomorrow should also be bearish to get it there, but WHEN IT DOESN'T, you still think tomorrow should be bearish before the big boys may be guying again? Is this correct?

Yes, I expect the big boys to sell GBP and buy Dollar (bearish GBPUSD). We look at todays candle on D1 chart. When its black, then expect the whole week the candle to

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move downwards to the median. But, when it doesnt (D1 candle to move outside the D1 Channel), that means the correction is over, a bullish GBP will start to commence. Dont know what the really big boys are going to do. As for now, we follow the big boys, thats bearish a little, Daily range maybe small to medium! Use the Light saber at your own risk!!
Time Machine exist? I wish! Quote:

Originally Posted by colnc This is FANTASTIC! I have been following the SRDC level 1 since the begining and have done well with it, now I am reading level 2 and am starting to understand it better. My question is about brokers also. I am in Idaho which is mountain time. My broker is Oanda, they are on NY time so my new daily candles open at 12am NY time or 9pm Idaho time. I have MT4 charts that I base my trades off of, but those charts are 7 hours ahead of my mountain time. These differences make it diffucult to trade trying to make sure of the opening of the new candles. So now to my question, is there a custom indicator that changes the time on MT4 charts to either my local time or NY time? Or am I better off changing brokers to a MT4 broker to get their charts and use all the indicators required for this system? Thank you Orange for your willingness to share and above all your willingness to TEACH!

Hmmm.. this question keep warping betwwen the same milkyway... Like this: Say, Mr. Bulls, opps I mean Mr. Bush wants to apologise live to the whole world for killing more Iraqis than the whole of Sodom, opps I mean Sadam's regime. Do you think, we at this part of the world (GMT 8:00) will get it 8hrs earlier? Of course not! Its live, everybody will get it at exactly the same time. But, of course Mr. Bull, (ouch... why cant i get that right!!), i mean Mr. Bush wont do that!! LOL Same with Broker's server. I bet they didnt know where you are. They just send the feed and you receive them. The important part is, What time they start, in the case of IBFX, its GMT 00:00. Thts the GMT, im basing my method in, in terms of Price action, candles. Without looking at the Honey I bought you a new SL600 candle, any broker will do actually. I just woke up, I hope i wrote it correctly!
Do i have a rolex? Yes of course, i bought it in Thailand Quote:

Originally Posted by behof Hi Orange !

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May be I missed something but can you tell me the settings for the SHI Channel on Daily, 4h and 1h chart ? My settings are as follows : Daily chart => AllBars : 240; BarsForFract : 0 4h chart => AllBars : 240; BarsForFract : 6 1h chart => AllBars : 240; BarsForFract : 24 Am I right ?? Beside the Daily and 1h chart I prefer to use the 4h chart as an additional information ! Do you agree in using it too ? Happy Pippin Yedi !! Bernhard ( R2D2 needs some oil... )

To tell you the truth, i never check the settings coz who ever is the creator of that indicator, he is truly a Jedi!! I just use them. It works and help many padawan.... Regarding any other time frame. of course you can. Time frames are time frames for candles according to the period chosen. Think outside the box, i notice, many traders, used only certain time frame that goes with their indicators. Nothing beat pure price action. I usually use 1hr, Daily, weekly and monthly for SRDC extreme (carry trades). Any timeframe is fine, as long as you know how to interprate them. Hope that pips..
Kiss me is a popular sweet in the east! Quote:

Originally Posted by jest1081 Master Jedi, You really have a mediclorean rate higher than YODA and Anakin himself! I'm not good with the SHI Channels and the CCI. I dun really use em since i don't know them but your channel trading system has given me a better wavelength of setups to trade. Qn1 : Since the system targets to look for SRs from a parallel channel line, can I apply Regression Channel instead? Its mostly use by option traders. Yes you can, it helps in defensive trading to takeprofits on the lines.

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Qn2 : You said that the channel is best drawn to indicate 2-4 days in of a trend (correct me if im wrong). This would not be possible to draw on a daily bar (since im using regression channel, i will prolly end up with a week long channel) Just just a channel, like a pitchfork and add 2 more parallel lines, to look like a dynamic regression channel but when i converted to the hourly i get good SR points with it, 3 days worth of trend. I will then revert to my 15 mins and draw a minor trend using the regression. Am I doing it right? When you get good pips, why not? otherwise keep it simple. Qn3 : Is it okay for me to stick with MACDs and RSI, i've used CCI a few times but i just dun work well with it, i think it has got to a point that it has become psychologically damaging. Divorce and marriage is a big subject. We all want to get married happily ever after, but when it doesnt work out, a divorce may seems to be a good option. I hope that im really not changing anything from you system. I think the essence is there but each Jedi prolly have their own type of force, yours with the higher mediclorean of course... I will need the master to steer me to the right direction.

I remember when we were on the Millenium Falcon with Han Solo, he was panicking when the Imperial army was behind us. I simply said 4 words to him, "KISS - Keep it simple Solo".... and off we went... May the force be with you..
Another Good Jedi Quote:

Originally Posted by aha It's for daily charts only, calculates the number of times Monday bars are in reverse directions of Sunday bars, as well as the percentage. The search range is the bar in history buffer. You may increase the range by zooming the chart out to the maximum and press page-up key until the chart stops moving backwards.

Fantastic!! This is where Win/loss ration come to play. A single daily candle in GBPUSD is ranging from 60-200 on average. When you have a SL of 50-60 on this pair trading with the %probability of the Sunday candle, there is no way you cannot fatten your account every month. Do your math everone... c'mon dont be lazy now... Thanks Aha...

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I like the English channel better Quote:

Originally Posted by traderlismiss There is something I don't quite understand. I am using the 1hr SHI-Channel and I am going short once the price hits the top trend line. Then after one hour the channel changes and my original trade does not touch the line anymore. First, does that matter? How do I know which ones to get into and which ones to leave? Thanks,

I made 3 pips yesterday!! because the H1 SHI drew a ranging channel, so I went short, then the candle shoot up.... hitting my moving SL. Phewww.... Damn SHI!! Should have drew my own channel... Anyone can make it static? My Jedi power cant be use for special gain..... May the trend be your friend
What is parallel and has a sense of humour? Quote:

Originally Posted by llambert3 Roshan can answer, but would it really matter? It is staying in the channel (until now). The channel could change to be upwards or the eur/usd will go back towards the median of the downward channel. BUT maybe I missed something in my studying.

Aparently the channel has a sense of humour. Until a more static channel can be used, then for now, lets do it manually... May the force be with us
Price have legs you know...

Why and where candles move the way it movess.... 27th Nov We rightly reverse the sunday candle. Why? Because it is at the top most channel, so down it goes. 28th Nov This one was tricky. The Channel did one of its morphing tricks, then after a couple of hours move back to the channel like below. Since the channel is at the bottom, wait for it to test the bottom trendline, then Blast the dark jedisss..... Up up and away.... 29th Nov (today)

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Yesss.... its up there, naturally it is bearish.... I hope this pips..... Attached Images

Jadet lisa by: jedi Da Vincci

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Quote:

Originally Posted by traderlismiss I don't mean to ask the same question but here goes. Which channel is valid? Should we draw one for the day at GMT OO.? Should we draw a new chart when NY opens or London? This is important although I did make a few good trades in the channel yesterday, I am second guessing myself. Lady Jedi or Jedet in training.

es, the Final Channel is ready by 00GMT where you will know where the candles will be going as the candle start to appear. Never change a channel while in the middle of the day, let the candle break the trend when it has too. Take advantage of it. Draw a new channel after end of day 23:59GMT. Thats a Jedily advice for a Jedet..
I search every galaxy, nothing.... Quote:

Originally Posted by rojam Master Mentor, On H1 ,I use the MT4 function Standard Deviation Channel then expand it for 3 days on the chart.I then activate the channel unit by clicking on the middle line so that dragging is possible.If you drag this as a frame to the most recent start of the last 3 days,the top and bottom lines are now in the right location.Use the trendline drawing function to extend each lines into the future.This set up on H1 does not have to be changed when going from H1 to D1,W1 or even M15. On an other subject,can you change the color of the channel that you post,they appear pinkish and are difficult to print. Do I get spacial Jedi pips for the above? rojam

Rojam. That really sound good!!, But unfortunatelly, I cant figure out what you mean my stabdard deviation from MT4. The only standard deviation I have is a moving average line drawn on a saperate window. How do u draw the channel, and drag wat again.... Can you tell me precisely where in MT4 a standard deviation channel is? When true what you said, 1000 jedi pips for you, guarantee...

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Messa very confuse... Hahahaaaa.... got it!!!

Yippie..

The Linear Regression is easier for me to use. Brilliant!! Guys, I think Jedi pips will be easier to harvest now!! Never bothered to check all the functions. So used to look at the chart and know where the trendline channel are... 1000 apologies.. __________________
I love monday, Of course Quote:

Originally Posted by sirwolf Has anyone else applied this indicator? I applied to the 3 main pairs and all show around 65% winners. Is this correct? I thought it was closer to 90 percent for the weekend candle method. Thank you fellow Jedi

True. 90% is your winning, infact higher. At 65% is what the computer sees, but with the naked eye, you will see 20-25% difference. Eventho its not inverse, but: Some candle, let you get away with 20-40pips on bounce or dip. Here are the math on GBPUSD: 65% correct / 35% wrong. Based on 120pips wins / 60pips loss (SL) 65x120=7800pips 35x60=2100pips nett: 5700pips!! Trading the sunday candle alone is profitable and never have to have anymore long face even you hit a SL. Pipastic!! Now I got everybody's attention: Study the Channel carefully (Dancing in the Trend). To add more winning, not by just blindly inverse the monday candle. When the opening monday candle is at the top of a bullish channel, like the 27th Nov (c'mon dont be lazy, look at the chart 1st), any child knows, that candle is bearish even in a bullish channel, but usually settle at the median at the end of the day. Should the candle on the 27th Nov is at the bottom channel. Forget Inversing it, use SRDC fully, it should be a bullish candle.

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But, naturally, the 27th fall on the 65%, so a more confident short trade can be entered! Thanks Sir Wolf. I was waiting for someone to asked me. Swwwweeeeeet Monday
Yeeeeeeeaaaaa Quote:

Originally Posted by sirwolf Sorry just a Jedi Trainee here, have to make sure I understand When I add the SDC (standard deviation channel) I am doing in on the daily chart. I put it on the 3rd candle to the left and dragged it right. Ok, now when I extend it back in time the channel widens and changes angle. How far back do I drag it to get the channel I need? Can you possibly post a current channel for reference? Also, when do you use the LRC and how is that used and why? Thank you!

I use the LRC on the longest possible trend i can find. Preferbly on near average daily range (1H). Then I extend the channel manually to the nextday and see when the candle is following the channel or breaking it. After the trade is over, then i extend the LRC and draw another extension again..... But, unless a significant trend change is happening, then I will draw a new channel, and extend with imaginary line for next day trend. Look at GBP, exactly, a new bearish trend. Jedi pips up for graps!! __________________
Show me the pipsssss Quote:

Originally Posted by Westie This is my lrc drawn on the 1hr chart, Hope this helps, if somethings wrong with the way I have drawn it pls let me know master Jedi. Or any advanced Jedi trainees. Thanks

Almost 99% perfect!! Try use black and white candle.

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1000 jedi pips for westie __________________

ABC-123 Quote:

Originally Posted by sirwolf Orange, Can you please post your current GBPUSD LRC so I can see what you mean? I put it on the 1 HR and mine is at the bottom and lookes Bullish I am struggling with what seems like a very simple concept. Maybe a simple step by step instruction - or maybe I am the only one struggling with this important channel drawing. SDC and LRC

See today's GBPUSD. Its breaking the main Channel and started a bearish Movement. When 30th Nov candle follow the bearish channel, then that will show, the trend has change. Dollar is strengtening. No problemo? p/s See the candle settle at the median of the new channel. Predictable!! Attached Images

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Er Quote:

Originally Posted by monty ok, ill put my hand up?? you can call me jedi thicky of the jedi training school, i know you all know most of your stuff in jedi arena, i know you said no stupid newbie questions on this thread, but when i look darth vader in the eyes, i want to know which way his light saber is going, up or down, i can only determine this by feeling the force is with me, at the momement i feel nothing except turning the light saber off, and joining the local convent?? I want to be an orange jedi, i am not going to another jedi training camp, or worse, dont make me go to the dark side, please, please.

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remember master and fellow master jedis, trainees like me fight with our heart not our brains, these jedis can be most dangerous against the dark side. shi channels, then equidescent channels, then liner regression, now standard deviation, im totally lost, srdc 1 ok, srdc 2 part 1 now ive lost the plot, and theres 4 parts. i need to know where my mother in law is tommorow, if you new my mother in law, i know you would help me, jabba knows her and hes terrified??

Aaaaaaa.... Nurse! Please take special care of this one for me. I told him not to pull Chubaka's hair, while asking him that sensitive question, "Have you seen planet of the Apes?" but he wouldnt listen. Sad.. Imagine I showed SRDC full level all in 1 go. Doctors gonna have a fun day!!
Orange's Believe it or not! Quote:

Originally Posted by traderlismiss Thank you again Rojam, One final thing, I promise. Is there away to get this channel to extend on because I can't get my trend lines to line up on the daily like they do on the hour. Mainly the center line.

Believe it or not, I use trendlines and do it manually. LOL Old habits die hard!!
Want some candy? Quote:

Originally Posted by sirwolf DO we only use channels on the 1 HR? I thought we used them on daily too?

Apply the same thing to daily. When pounds goes any higher, Kilo will be upset!! The Daily candle is just a day to end of the month, and its still a long way to the median. I want to see a long bearish candle to the median. Lets hope the fundamentals will agree too. Friday is take profit day for the big boys.... lets wait and see.... Warpspeed to the next milkyway!!

Jedinacci Da Yoda

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Quote:

Originally Posted by accrete Since we are on the topic of "Channels" and MT4 tool useage. . . my 2 JediPips worth (i never thought i'd say that in a post, but guess it's a prerequisit to mention Jedi in every post here. grin). Here goes:

OK, in MT4: Step 1) i place the LRC on the longest trend i can find on the 1 hour chart. In the case of the image posted here, the entry is at Oct16th/1.2380ish level. Then i draw up to the open of the close of the previous day. On this chart the LRC is represented as the solid blue lines. and is set to "draw as Ray" Step 2) Now i like to see various levels within my channels, call me a detail nut, but i think there is so much information yeilded on nicely placed levels. Here is how i get them: I place a Fibonacci Channel (represented as black dotted lines) with the following "levels": These represent the levels inside the bands: -0.125 -0.25 -0.75 -0.875 These represent the levels outside the bands: 0.125 0.25 -1.125 -1.25 As you can see this application yeilds some additional useful information. For instance, part of an entry "filter" might be to wait until the price closes below the 0.125 % line after bouncing off the upper LRC channel as shown in the image above.

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OK, so how do i like to trade the channel? Set up as above, i typicaly take any bounces from the upper R line to a bounce back toward the R line off the -0.25 as a trading range. Reverse this if at the S line. Once the price breaks out of the inside 25% levels toward the median with momentum this is a nice heads up entry area. . . be sure your light saber has a fresh batch of eveready batteries ; ) Hope this is a help to the Jedi Padawans out there : ) Cheers, Thom

LOL Thom, welldone. You just opened part II of SRDC II (i was about ready to goto sleep, its 848am here, 10q ...). But thanks for the RAY bit, LOL, LOL.... im truly a newbie with this platform... 618 jedi pips for you...now now, spend it wisely thom.. My Fibo is between the Support the resistance. See how the candles nicely settle at the fibo lines. Big boys use Fibo, why? Who made the most famous RED handmade car? Who's name was use to have THAT food delivered while bz trading? Who made the finest suit? Who make mooncakes? (opps sorry not this one!!) Italian...... Fibonacci Da Jedi is from the little town of Pisa. He is so increadible, even the tower bow at him!! Thats it, Im going to sleep. Now (cant say today), i will explain SRDC II part II in more details when i wake up.... Off 2sleep I go..... Honey... Im ready..........!! Honnneyyyy.......... Damn, shes off to work already... should have gone to bed early... May the Fibo be with you. Attached Images

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To Pivot or not to Pivot Quote:

Originally Posted by njfx Hey Master Roshan, You mentioned the imperial troopers using Fibo # for prices, I have also heard of the pro's using pivot points. I have been playing with a daily Fibo Pivot indicator on the 1hr chart. Have you played with pivot points before? East Coast Ewock

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Yes, at times. But i will not mentioed so much. Support & Resistence / Fibo are already powerful tools. Wen you know how to use it, by all means, use it...
To Pips Or not to pips Quote:

Originally Posted by downunderdave40 Greetings Orange, Are you using the SDC width settings that Rojam is using or are you using a different width settings. I would like my channels to be as close to yours as possible. Easier to follow the Masters lessions that way. Dave

I use Linear Regression Channel for my trend channel drawing now. There is no settings. Just click and paste them. Its self-adjust. Pipastic __________________
Pips Pips Pips Quote:

Originally Posted by downunderdave40 Hi JL, I guess what gets a bit confusing is the length of time that one uses to draw the channels. What I was trying to find out was how far back should you draw the channel for the 1 hr, 4 hr and daily charts. I've drawn them according to the widths you mentioned in your previous post. I just wanted to know if they are the widths that the Master is using????

Zoom out the charts and see where the trend starts and drag the LRC to the current day. LRC is drawing trend lines, so naturally we look for trends. Hope that pips __________________
For the love of God..... Quote:

Originally Posted by traderlismiss Thank you for the post. I do hope OR will address this because it will determine profit or loss in many cases. Some have advocated drawing three days, others back to the last trend. Some are using the SHI, new and old. I hope we can get a clearer

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definition of what to do here. It would be great if OR could tell us the time period he used on the three pairs we are trading when sets them up at 23:59 GMT. I don't want anyone to do my work for me but there are at least four or five schools of thought here and I would like to have one from OR who's method we are using. Thanks all,

Shi Channel is an indicator that automatically do it for you. The rest is Semi-Auto or even Manual. It all serve the same purpose. Drawing trendlines, in the old days, were manual as most of you can guess. With 3 same charts, and 3 pros drawing the channel. All three drew differently, but with 90% similarity. My point is: Practice Drawing it, Practice, Practice and send it here for clarification. Thats the only way, It took me months to master it, some took a day. Some Never (I still dont understand how that come about). Never assume, you can master it, immediatelly. Its a part of Jedily skill that need time........ OK. In this case, I will post a blank chart and everyone post their version. Dont cheat, dont look at others. I think this will pips. __________________
Lets Draw a Channel using LRC 101. Lesson 01

OK, This is GBPUSD. From 22nd Oct 2006 to 3rd NOV 2006. Use the LRC and see where you will draw it. Post it for everyone to see. Dont cheat and You shall never learn. Keep in mind this thread's Regulation & Rules on Charts. Time -17:00GMT or -12:00EST Answer in 1 Hour Attached Images

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ANSWER
The Channel is Drawn from 24th Oct until 31st Oct. The 1stNov is included inside the LRC Ray. Look how it move away from the channel (Dancing OUTSIDE THE TREND) after 6days of Bullish Trend. Find the beginning of the Trend and Double Click the Median and pull it to the desire Day!! Simple Attached Images

Try again.. Test 02 Quote:

Originally Posted by hensch 22nd Oct channel - 1 hour chart

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You miss the trend on the 31st. I know why You didnt include it, coz it went out of the channel, BUT only for a while then, it went back in. JUST LIKE GBPUSD today!! Welldone. Is it HARD? __________________

Dancing in the Trend 101. Paper 01

TIME: -19:00GMT or -14:00EST Answer in 1 Hour pls

Dancing in the Trend

Look at the candle on the Left. A Channel is drawn Based on the previous day. The Channel you is the extension or RAY!! Nether the less it creates a good probable movement of the candles in question.

Questions 1. Do you LONG or SHORT? State your entry price. 2. Draw Arrow on the empty channel the most probable Dance in the Trend. 3. Whats your:

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T1 (breakeven point) T2 (final Take profit) 4. Stoploss. State the Pips and SL Price. May the Pips be with you....
Attached Images

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Bobokus
Junior Member Dont Laugh

Join Date: Oct 2006 Posts: 31

Am i doing this right ? First attempt with equidstant Attached Images

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Clap clap clap Quote:

Originally Posted by Bobokus Am i doing this right ? First attempt with equidstant

Yupz, Thats a jedi's chart!!

101 Class cancelled.

Here are the answers to my question on Dancing with the trend. I saw many post about confusion on trend drawing lah, channel drawing lah, and of course dancing in the trend. But, its quiet sad to say, not many participate, in learning and getting it right (I mean those who complain, that channel drawing is hard). I really think, its more on discipline than method. So, the 101 class will be scrap. Anyway, Aha got it right!! Congratulations, 42,618 jedi pips for you. I will continue with SRDC II Part II tonight in a few hors from now. Make sure you know how to use Fibo. Attached Images

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A Jedi motivational talk Quote:

Originally Posted by Lou G It seems to me that, no matter what type of valid channel (whether it is based on past highs and lows like SHI or best-fit lines like LRC) there will always come a time when the current data blows out through the top or bottom. These times, as we all know, are called reversals and cannot be predicted with certainty. If one uses SHI (which keeps on re-drawing thoughout the day) it's like shooting at a moving target much harder to hit. If we draw a channel at midnight for the following day the market may change direction and leave the channel altogether. Since all channel methods are similarly flawed, I hope we can all agree on one usable

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method (preferably one that can be created by an indicator) - we still have some distance to travel with SRDC 3 & 4 still to be revealed. I don't like it any more than anyone else does but there is no Holy Grail of channels...

As far as I can remember since I joined FF, Many here are Indicator addicts. Not many bothered to learn price action or channel trading. Then when I started this thread, many think its too difficult to follow. Well the fact is, its actually trading in this rawest form. Anyone who want to learn trading, must actually first learn from basics, which is Support, Resistence and of course trend lines. Then the channels, Fibo and so on... only then, technical indicators like the many used and programmed to work with many excellent methods. When its learned the other way round, it makes price action trading a boring and a sillest thing to do. What I notice, many, even in this thread, dont know how to do trendlines. Its like driving automatic gear car all their lives, then when asked to drive manual shift gear, they said,"Its too difficult". Hence I opted the Semi-automatic alternatives, like SHi and LRC. Another reason why I opted to use SHi or LRC, semi automatic trendline drawer, is for the purpose of EA use. Channel trading when mastered (actually very easy and i've never seen any successful traders who doesnt know these basics. But I saw traders who made money not knowing these basics, and after a while dissapear. Just like rockets, it blast-off faster than aeroplanes, but also fast dissapearing into the atmosphere), will definitelly be a proper skill and an advantage. Then learning other technical indicators, will compliment and confirm entry and exits. Not the other way round. This is the reason, why I taught SRDC in stages, slowly and steadily. In the hope of showing newbies the proper (or the forgotten) art of trading. Each stage is not a complete system, therefore it is foolish to assume it doesnt work. But rather a tutorial to a reach a proper thinking and discipline into trading with the basics. When mastered, and adde with indicators, it WILL be very powerful. Eg: Basiclly, everyone knows, when the cloud is black and wind blows faster than usual, its a basic indicator that a rain might start. Then you chaeck you indicator, which is the barometer.... TV and Radio, to confirm it. Q: How many times TV and Radio got it wrong? Basics are important and its simple. Anyway, going back to the channel. There is no way a trade can be won 100%. A breakaway from channel is a sign of changing trend. A loss might be incured, but profits have been won many times over during when the trend is developed and followed. Surely that is a clear strong WIN/LOSS ratio. It is not a flawed, its part of trading, in fact a vital information that can be use to make more profits (more in Level 4, codename The Impeccables). When losses are incurred during a trending market, within a channel, many times over, thats a sign to show, that the channel is working but the traders is NOT! It

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goes back to understanding and Discipline. This is the reason why many traders, switched methods because they think it doesnt suit them as it doesnt work. The method work, Its them that cant make it work, because they still dont know how to use it! Instead of leraning more, people gave up and searched for the holy grail. There is no holy Grail in methods. The holy Grail is betewen your ears!! Attitude and discipline. Now, this thread is gear towards, people learning step by step. Not gear towards having a succesful trading experience in 2 weeks after trying it and make tons of money after that. Even after level 4 is revealed, I bet many will still cannot make pips. When you are a pilot, would you skip lessons? Like reading instruments? All lessons must me mastered, then only a good pilot is born. Like here, we are in the middle of a many lessons. Losses means two things, (1) Part of trading, (2) Traders discipline and understanding. Stay disciplined, yes its hard, thats why only 1% of the traders learning from this thread will be a pro. It could be you. Fear lead to misery and misery will lead to the dark force. __________________
From $48 to $170,000++ in 7 months

Just for fun to show how succesful Channel trading really is. The Engine in this EA is SRDC 1&2 part 1. Its not even a full SRDC method. A programmer send it to me by email as a gift. May 06 to Nov 06 at 90% modeling. What he did in this EA was, putting price action in its rawest form without any indicator, not even CCI. Its like putting most of what I have thought in SRDC I and II into a computer language and teach MT4 platform to trade. Its a medium power EA, one that could easily won the EA championship. Its traded on less than $50 account. The reason is, it exceed the mini account maximum 50lot per trade when traded with an initial balance of more than $50! Its also put to money management risk 50%, just to show it can withstand huge loss. Now after you look at the strategy tester report, who wants to have a similar EA, one that might even be more powerful? Thats what this Thread is about, so that no matter how indiscipline you can be, still can have a machine make $$ for you. But sadly not many programmers wants to participate. Here it is for your enjoyment! Many Jedi pips here... Lets do a new ea that beat this one!! This is one by one guy, with team work, we can put this ea to shame. The Full strategy tester report is 2.2 MB, excedding the maximum allowed for posting. So I just showed the Graph in acceptable size by FF. LOL Attached Images

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Wanna hear a true story?

The inevitable will happen, that is death! As good as any trader can be, this will happen to anyone. I for once believe this. This is the reason for designing a powerful EA is to replace us. I know many Traders think ea trading will not work. I totally disagree 100%. Here is what I think: There are not many Good traders out there who are good programmers. Programming EA is not the same as actual trading. Many discreationery trading must be translated properly, not directly code to code, in a manner which the platform can understands, by using its limitation to your advantage. Now, when a trader designed an ea to translate his method and discreanory trading, I bet, the reason why the EA failed is because its not coded properly or backtest in the wrong environment. Many typical ea programmer, do some backtest and found out it doesnt work. They go around tell people, it cant do the job properly. In making Ea, it's not just making the coding, but the creator of the original method must participate and backtest the result VISUALLY (this is why the Russian upgrage the new patch to strategy tester because they know the importance of this point), not once but until the ea is coded to the trader's satisfaction. This may take hours and usually days and weeks. Looking at the visual and taking notes when the EA is executing the trades correctly and address the problem to the coder again and agan until 100% satisfied. Not, look at a method, write a coding, test it a few times and said, the method tho profitable, but it cannt be EAed!! This is the biggest mistake. I could say, A SKILL IS A TERRIBLE THING TO WASTE! When a method is working and the ea is not, then fixed the EA and find the answer. Before I open the SRDC I thread, I emailed more than 7 top notch programmers and asked them to collaborate with me and even teach me coding. Guess what, none replied!! I saw their name in the championship complaining he tested his best EA many weeks and he dont understand why it doesnt perform! (wen you know his name please dont mentioned it). Has it not occured to him, that he may be one of the best coders around, but he may use the wrong method to be EAed as he is not a professional trader!

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What happens when a PRO, collaborate with team of Excellent coders. He give away his method and a team of coders code and test the EA relentlessly together? A Very powerful EA, one that could make you a very rich man. Btw, I already have 3 EAs that has run for more than 1 yr, performing as expected. Who say ea doesnt work!!
EA, the future of forex. Quote:

Originally Posted by blewmoon Just to thank Master OrangeRoshan for his patience to keep this thread alive with his great trading experience. I have been a manual trader for nearly 8 years, but it is my belief that an EA can do nearly everything that we can AND work 24 hours, which I can't. Unfortunately, I cannot do much with programming since having a stroke a few years ago, but I can still trade [one handed!! ]. I look forward to more insights of the Master's knowledge and prossibly 'we' [meaning goods guys like Lou G etc] can get the EA working. All the best to OrangeRoshan and the fellow traders/Jedi Knights and may the force be with you.

I am sorry to hear about your stroke. Dont let it ever stop you from trading. As I mentioned before in my previous posts, EA work (when designed and done properly), Here is a fine example why someone need an EA. Ive met many Professional traders and quite a few has died. Ive yet to see their children becoming a Pro like them or making the same money like the pro father. My point is: This is a skill where it is not easy inherited. Many excellent trading skills and secrets are left buried after the traders death. What a crying shame. Forex internet trading is growing really fast and its quiet a new business opportunity. Trading driven by A.I (Artificial Intelligence) is even newer. Much like computers in the 70s. Many skeptics, even amongst the pro. Well, Let me say this. Wouldnt it be nice when an EA could capture, even 10% of the trading skill of a PRO, which will generate PASSIVE or PORTFOLIO income for the owner and their families? Develop excellent EAs that can replace you!! Dont said,"What happens when it doesnt work?, asked, What happens when it work?" Technologies are rapidly changing and growing. Do it now, follow the dreamer not the skeptics. Blewmoon, Dont give up!

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Revise the thread again Quote:

Originally Posted by spmaon Hi orange, 1. I've a question about the channel. It do not create a channel like Vegas (of course there are not the same thing...) but is this what your channel suppose to do? it just plot just part of the chart? Be patience, look at the thread again, you will see the channel is for determining the movement of the candles like dancing in the Trend. It is also a good tool to check early sign of trend change. 2. When we trade the channel do we also use the Shi treu channel in the 1 hr TF? When do we use the equidistant channel? Is it in the 1 hr TF? You may use anytime frame, but i recommended 1H and 1day. I use SHi and LRC for easy drawing 3. Could you add my ym? i need to discuss further redarging this method...mine is fairosmohtar@yahoo.com.my

I seldom chat, as you can see, my time is limited. But, you may email me. Lets catch some Jedi pips
Whats with the underwear?

The use of FIBO

Hi jedis and Padawan and Trekkies, I must apologise for this late post. Ive been caught up betwwen Nabula and a blackhole. The Fighter I borrowed from Luke stop in the middle of sector 9. The Trilithium chamber must have been still wet after that training with him. Darn, why did I put it in the lake! Very Bright! Below is a 1H chart showing a channel with FIBO lines. Please study it carefully and put the same drawing on your GBP chart. The White spot showa how the last week's candles have been bouncing on and over the fibo lines. Without the Fibo lines, the price movement and candles might look very random at first, but after you put it on, suddenly you can see the neighbour's underwear hanging, I mean the predictable candle movement. Now you can do breakdance in the channel! Got what i mean? No? Study it again!! The Fibo is set from TOP to Bottom of the High and Low of the channel on the 27th November. Isnt that Pipastic? May the neighbour's underwear, I mean the force be with you all. Attached Images

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Powerful stuff Quote:

Originally Posted by Bobokus I follow

Pipfect!! Look athe candles in the whole week, it hardly retrace the fibo lines. It just penetrate up and bounce on theline and up again. What will happen tomorrow monday. We wait for the sunday candle and see where it is, from there we will know where the price will go next. Remember, the big boys are also playing by the same rules. The really big boys will initiate the 1st move on Monday. Its quite difficult to the candle to penetrate the upper trendlines, and maybe its too embarassed to retrace the 261.8. It will probably walk along the 261.8 first, take a few steps and maybe jump up or dive down. This week has been a new landmark, and sentiment are unpredictable. But it may

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break downwards the retracement of 261.8, there is a chance USD strentening again. Look at the fundamental, is there big announcement for USD, one that could move the candle? Wait for the announcement and see the price action and act accordingly. Digest this, and you can see things more clearly __________________
Any Saber will do! Quote:

Originally Posted by aha Here are the channels I draw, not sure which one is more accurate. If I have to choose, I would choose the dashed channel. because the up trend line was confirmed 5 times before it was broken. And after it was broken, it acted as supports for the last a couple of bars. While the solid channel is obtained from the recent 3 days, and the up trend line wasn't really confirmed by peaks (except the last peak). For the fibo levels, the high low I used is the start and the end of a retracement of current trend. In the up strend, I draw from high to low.

Aha, they are both accurate. The dotted lines are more of a long term and the shoter channel is shortterm. Yes after doing the 1st eek fibo, do a fibo for the last day. It will give you a more macro candle movement prdiction or sentiment. Pipastic!! __________________
Lets go deeper into space!! Quote:

Originally Posted by compro99 Jedi Roshan, Please help to correct if i drawn the fibo of channel H/L correctly. Thanks. Do we always draw fibo on the 1st day of the week ? Is the fibo used on 1hr chart only ?

Pipfect!! I drew Fibo on the 1st week (longterm) and everyday (shorterm) just to see what the big boys are doing and will do next. Do you see more clearly now, with the channel and the fibo to where the market and why the market moves the way it does? CCI shows indecision but more to the short side.

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Do this: Draw Channel on the CCI from the same date as the charts, and draw a fibo on the lastday (friday). What do you see? Anyone? __________________
I dont believe in luck: Luck is for the unprepared! Quote:

Originally Posted by Bobokus I see that the 261.8 from weekly fibo is the same as the 100 fibo of friday Is this correct ?

yes, but that is largly dependen on the channel size, which varies a bit (not a problem) due to different method of drawing. But, what I want you to see is the dance of the candles within the smaller fibo. Now attach the Fibo on monday, based on the channel projection and you will see more fibo lines that you can use to see macro candle movements. The 100 is forming a triangle with the top channel. This is the area that uauaslly tells the momentum will stay or not. With fibo on Friday, do you see the 100 forming a triangle with the upper channel? This is momentum area, and should it stay in the triangle (monday, with a new fibo), this will tell us that momentum is still strong for GBP. To get the feel of fibo with channel. Do this: - Do a weekly fibo starting monday lastweek - Do fibo on everyday of the week and see the candles breaking and bouncing off the fibo. - Get to know this pair, it tell a lot about the market sentiment or what the big boys are doing. - Get a feel of it, and when you can find the rhytm, thats when you have winning trades. its not luck, its anticipation and skill.
Thank you big boys!!

Remember: A penetration of Channel or Fibolines is only confirmed when the full candle is forming. Simple price penetration is just merely a test. Example on 30Nov. The 15th Candle: It penetrates the FIBO 161.8 -Enter long at 1.9589 -Then the next candle test the Fibo 100. -It cant maintain the momentum and fall under the Fibo 100. Take profit here as it shows momentum dropping.

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-Final TP at 1.9669 at the closing. 80 Jedi Pips - Buuuurp!! Not bad!! Attached Images

Wooooohaaaaaaa... Quote:

Originally Posted by accrete I just posted a reply about creating a multi-level channel and it might be applicable for what we are attempting here. Just thought i'd give you a heads up. It's a hack i did tonight after the question was posted on if it was possible...always one for a challenge. . .i did some doodling. This is what i came up with:

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feel free to download the indicator if you wish to check it out. You can set it for any number of hours to look back on the chart it is placed on. It will then adjust itself when a new hour arrives. : ) Thom The happy doodler

Yes Thom, that is the many ways fibo and trendlines or multi channel used in Trading. When everyone can see, what thom is showing is, a consistent pattern which sjows how the big boys are thinking and doing. Get to the same frequency and you can anticapate their every move. Thats why I said, trading in basic is a must skill to be aquired. Only then let what ever indicators or method you have becoming a confirmation to this. Thats the way forex is traded!!
Why Not! Quote:

Originally Posted by Bobokus Master, I see the fibo lines tracking practically each candle from fibo line to fibo line. I apprectiate the time you spend to teach those of us who are still fairly new to forex, most have to pay for this type of information. Me personally i have already gained more confidence in the trades i make, and see some of the mistakes i have made in the past.

Pipastic isnt it? Learn it deligently, while its free here, as im just keeping my promise to god to help as many as I could. Forex skill is a business that can be shared that doesnt make you lose even a single pips. So Why NOT? Thanks Bobokus!! __________________
Mumbling.... Quote:

Originally Posted by lietuve Lou G, and Orange Roshan (of course!): I am looking at this thread for few days now (reading from the begining), and the more I read, the more I like it. From now I am an ardent follower ! Also; I am not a MQL programmer, but if needed I can do function or two some old fashioned mainframe experience). So what I propose: , (have

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In mainframe programming environments (which are huge) nobody does the whole programm. Usually single programmers work some small assignments, which are incorporated into a big programm. Do you wanna do the same with an EA? Any EA can be divided into functions: like iterations, trade orders, buffering, whatever... all that is needed is a general flowchart, the incoming data and the data(data type and variables names) to be released for another function. Of course that should be supervised by the most experienced person. Also the parts/functions might be compiled separately. I don't know if I expressed myself clearly - but if you understand what I am talking about - think about it. I am sure there are plenty of people (including me) which would welcom the experience, and a work load when divided would be not big at all, because everybody can work at the same time, - but independently. Should I also sign for some jedy procedure? Gee, I didn't grow up with "Enterprise" sometimes I even don't know what you guys are talking about, (I am more of a type of "Dancing Li Wu Masters"), but it is a lot of fun and well, - whatever you say "jedies"

Right on!! This is what im talking about!! First things first: MQL is not that complicated, so many subroutines on many things already existed. The Fun part is translating discreanary trading into mql. Coding it in many different ways to do the method correctly. Aha has already initiated the indicator calculator and Lou G doing the SHI. The indicator must be perfected to calculate the best SL & TP for each pair, so that the EA will mimic discreatonary trading when some situation occurs. Lets call it, a learning EA. Now, SHI channel is another thing. We are still testing the right one to be use, so that the EA will trade the right channel. Another challenge is to teach the EA how to recognised where the candles are when inside the channel and calculates the most propable move by the candles based on range, Fibo and so on. For now: (1) I would suggest all coders to find the best way to check the position of the candle inside a channel. I like LRC better. Can we use it for this EA? Im sure there is a way..... (2) An indicator first then only EA. When all these indicators are coded and perform properly after a vigirous test, then we put the pieces of coding and make it into an EA. - An Indicator will include calculating TP points and SL as the LRC moves - An Indicator to forcast and act when the candles moves inside the channel dancing between the fibo. - An indicator to draw CCI channel and gives out reading that translates as confirmation...

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...and so on... These procedures must be tested and verified before putting into a finish EA. This way, only we know, the EA is properly doing what it is designed to do. Do I make any Cents here? Let me know who are in, and I will layout the types of indicators that needs to be designed that will make a complete EA eventually. The more the Merrier..
Anyway goes!1 Quote:

Originally Posted by hensch Master Roshan, Can you please clarify the following: I have drawn the fib lines, weekly and daily, like this. 1) This is the way AHA's did it, from the top Monday to the bottom, end of Monday, like a Z shape. Same daily. We can see how accurate both fibo projections are.

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2) This time I've drawn both fibs for TOP to Bottom starting at 00:00. Here we can see that the projections are somehow more "sloppy".

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Therefore, I assume, that the first one, Z shape, is the correct one? Henry

There are both correct. Both gives different interpretation, and different pips. There are no one way of doing it. Use the one you feel most comfortable and that gives more confident to you.
Seriously doing an EA Quote:

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Originally Posted by aha Just threw it out there. . Any comments are welcomed.

Fantastic!!! First Task on the LRC: See how MT4 drew tha channel with LRC. Can we mimic that. - it finds a trend - that correspondent to the last day of trading. - A LRC channel has 2 areas, the top and the bottom, draw a TICK on the right area to show where the candle starts. This is just a test that it correctly iddentified the candle first appear. Additional task on this indicator will be added after it is done. This will enable the EA to LONG or SHORT accordingly on the breakout of the candles over yesterday's candle. Regarding the EA optimisder, i didnt depend much on it as we foundout, it didnt really give the result we really wanted. Maybe a bug or limitation. So we made indicators and use the findings to optimised our settings. Later, you will notice, a script of AI must be included to optimised the EA in the long run. We want 100% mechanical. Can an EA be taught to read certain format of instruction from email and process them. This could be helpful for adding fundamentals so the EA will react to it. This is the final pase tho. Thanks. May the pips be with us.
EA is my middle name Quote:

Originally Posted by aha Hi Orange, Get a lot of questions but here is the first one: When we draw a LRC on the chart. We determine the time period in which the LRC is calculated. That's discretionary. So for the indicator you are talking about. does the indicator has to find the best time period to draw the channel? or does it only consider the last 24 1H bars? or will it have two input parameter to allow trader decide the time period? aha

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Good Question Aha. I dont know how you are going to do it, but i know you will. - When it is me, I will look at the last trend change and start to draw the LRC from there. - I only draw a new LRC when the trend changes. - or I draw a new channel wen there are already 2 days ranging, so the third will follow a new LRC drew based on the 2 days range and continue until a new trend change. I bet thats peanuts for you. LOL May the galaxy be kind to you __________________
Basic + Expansion = Success Quote:

Originally Posted by Lou G Not really my business to ask, but why not set up SHI (original) and Ergodic CCI on an H1 chart and use that? I had several good trades last week using the SHI median as takeprofit and the channel lines as bounce/entry.

When the SRDC I Special Sauce is completed then we will concentrate how to harvest pips 20% more catching bounce and dip. This is where reading the channel & Fibo come in handy. Lets do it a step at a time. Btw, Please give me full input and constructive critism anytime. Dont be afraid to say it, coz im ready and willing to listen. I will agree and disagree for learning sake. Jedi is open minded to true Padawans.
Warp I ... Quote:

Originally Posted by traderlismiss According to Aha's win loss indicator on the daily trade it becomes a loser based on his numbers. My indicator today on the Aussie shows from 7-14-2006 there were 87 trades taken, 70 were winners and 17 were losers. Sounds great right? Not so fast. 70 winners times 5 pips = 350 pips won. 17 losers times 35 pips = 595 pips lost. That is a net loss of 245 pips. Ouch! Obviously we now know that we either have to get more pips on the winners or less on the losers. In other words we can not use these settings and walk away from the computer. Or maybe I am just missing something.

Correctly pointed out. Actually we wont target 5 pips only. Those indicators will come

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in handy later for optimisation purposes. But say anyone insists just to get 5pips only, Yes you can with almost 90% wins, that is to harvest it only in a trending market or when a candle is small. We can do an indicator on this just for kicks..lol Thanks
Pips anyone? Quote:

Originally Posted by cgldsmth Orange - you teach that we should take the opposite trade to the weekend candle when monday's candle starts to form at 00GMT. Will this still apply today when GBPUSD has already surged to 1.9825? the whole world and his wife is GBP bull, do we still take the contrarian trend in this but with a small TP (5 pips)? I noticed tonight that IBFX have started trading at 2300GMT. Presumably their new candle will start at 0000 and I will take the opposite of this small (bull) candle of only an hours duration. made 20 pips on it anyway.

Should have trust the force cgldsmith. It went down more than 5pips. even GBP is on a bullride, but the candle opened at the top (near top channel), so it is most probable, that it will fall 1st when it want to continue the bullrun. The reversal theory happens today, and a good defensive trading (move SL to breakeven/Trail, when the candles is near the Median) will catch at least more than 25pips (Fibo 61.8) But, when it doesnt, pips and pips and more pips is what you will be getting. I hope that pips
Jedi doing his math Quote:

Originally Posted by AL4715 Hi Orange, Based on what you said about the daily Price Revesal from Sunday to Monday, I did a quick analysis on GBPUSD and here is a summary of the results. It shows that from Nov 05 to Oct 06, there were 48 weeks where both Sun & Mon data were present (maybe either Sun or Monday data were missing due to Market Closing on Holidays?!). Out of 48 weeks, 30 of the Mondays reversed from Sunday or 63%. And the Total Net Gained on PIPs were 668 or monthly average of 56. I tried to apply 50 or 100 TS on Mondays but weren't able to do on the Excel

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because the even some of the reversing days have 50 or 100 pip on the direction of Sunday (couldnt tell if the reversing days would be profitable or SL first) I've attaced a simple Excel file that I used to calculate. Thanks for all your work. Al

Based on 2:1 win/loss ratio. 30 x 100 = 3000 pips 18 x 50 = 900 pips Total = 2100 pips (+) 2100/48 = 43 pips x 4 weeks = 172 pips a month Imagine with 3:1 win\loss ratio which is usually the case.
Entry Indicator Quote:

Originally Posted by aha Thanks Compro. But imho, Orange was asking us to test the idea in last week to see how the price in last week react with the fibo drawn in last week. So if we actually use the idea on this week, the fibo should be this week too.

Simply Brilliant!! I love that indicator. A little comment on the Fibo. The Weekly Fibo should start at the Beginning of Monday, not at the End of Friday. Another Indicator: Purpose: To Show a Buy and Sell Signal on the Quadrants. Buy: Green Arrow Up Sell: Red Arrow Down Monday Trade: Blue Arrow showing the Direction of the Trade Q1 Q2 Q3 Q4 Top Top Middle (near Median) Bottom Middle (near Median) Bottom

Bullish Trend: Q1: Sell

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Q2: Buy or wait until it enters Q3 then Buy (Arrow + Q#) Q3: Buy Q4: Buy Bearish Trend: Q1: Sell Q2: Sell Q3: Sell or wait until it enters Q2 then Sell (Arrow + Q#) Q4: Buy This Indicator will help learning faster for many Traders in the SRDC Thread. It will also be intergrated later inside the EA. We can check the EA accuracy on Entry as we follow the Trade everyday. May the Force be with you. __________________
Compass to success Quote:

Originally Posted by compro99 Just to clarify further, on Monday, we have only one Fibo (used as daily and weekly). On Tue to Fri, we have weekly Fibo (Monday static) for weekly fib and daily fibo drawn on daily 0000 GMT every new day. We forget about last week Monday Fibo. Is that right for above ?

Yes, correctly pointed. Should anyone want to keep all the previous Fibo, it will be permitted under 1 condition, that is please dont Jessica me, I mean; dont sue me when you start to see everything double. Hi Honey, let me hug you............ Where are you going? Im right here..!!!! All this fibo are making me itch!! __________________
A journey of a thousand miles started with a single step Quote:

Originally Posted by aha The trend detector of this indicator may not be very reliable during the trend reversal period (I guess that's even tough for an experienced trader). But I will implement the bull sell signals anyway, and improve the trend detector later. A question though (For Orange): Which bar will be the best bar to put an arrow on? The first bar close/open in a Q zone? May the force be with you.

Entry at 00:00GMT for IBFX, but some broker start late. So its the opening price of

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the first candle of the day. Brilliant!! Keep it UP!!

Fibo? Him? Noooooo.... Quote:

Originally Posted by accrete AHA nice work on the LRC indicator : ) Orange, i've read every post from a to z and have followed the thread each day and am enjoying the study. I have a Q pertaining to the fibos that are currently drawn on the LRC. What thought/reasoning is behind drawing the fibos from the extremes of the channel on a given day rather than drawing the fibos in the traditional sense from "A" to "B" on actual price? What exactly are we trying to indicate by such unconventional drawing of the fibos? THX in advance, Thom

Good Question Thom. Going back to my history, I am actually self-taught in forex. Only after some years, I stumbled upon many pros, who are more experience than me. On one boot camp of Pro traders, While we were doing a live trade, I drew my fibo the way as i taught here. Quite a number raise their eyebrows and start looking at my screen. I simply said to them, I have been doing this for many years, and it help me in catching dips & bounce. They agree! My point is, my most evident trading skill is always been in using Support & Resistance using a channel. And I found out, drawing fibo between the H&L of channel (trend) suit my trading style, with very positive results of course. Then on, I realised that, there are not 1 single way of drawing Fibo lines. The moto is, as long as it pips consistently, thats fine, and Im yet still to learn many other ways... whenever possible. One trick I found out is, to adjust the FIBO placement, between the previous charts (1-2 days) and see, which way of drawing it that catches the recent move more efficiently. Then when you found it, use it. I think the explaination is, There are many types of Big boys out there. They trades differently with different sentiment and I think some fibo showed another group's sentiment and other fibo showed the other. Just a thought!
Relaxx... Quote:

Originally Posted by raheel23

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I thought it would be bullish but how come it go beyond LRC please .. help with this one .totally confused ..

.. Roshan / Aha / Jedi

LOL, you just said the magic sentence,"IT GO BEYONG LRC"!! This is a clear indication of momentum slowing down or TREND change. You wouldnt know this when you dont have the channel. Jedi Advice: Wait and see tomorrow or come Friday. I havent taught trading in Range Environment, only trending. Its best to trade when a trade is already forming. May the pips be with You __________________
Wisedom: Wise + Boredom Quote:

Originally Posted by Lou G OrangeRoshan, I must admit that the above post is the last one where I really felt I understood what was being taught. Since then, with the complete change in the channel and the addition of lots and lots of Fibo lines, I just don't feel I have a grip on this method at all. I know you are a very busy fellow but could you, at some point, post a kind of summary of these many changes and a short explanation of quadrants, Fibo lines and why the channel is now 3 or 4 times as wide as it used to be? I don't mean to be thick - I deeply hope I'm not the only one who is confused

Hi Lou G, You didnt miss much actually. The only addition since that post was Fibo and quadrants. Fibo was explained in this post: http://www.forexfactory.com/forexfo...0&postcount=404 Quadrant was a special sauce I added during TeamSpeak. I didnt post it because I kindly asked Hensch (Henry) to post it for me on my behalf. The 4 quadrants are just 2 extra parallel lines that is added to the current channel to pinpoint the right logic for entry depending on the position of the formation of the 1st candle (00:00GMT). AHA did a wonderful job, creating the indicator for everyone to see the logic more accurately without having to remember the rules. Bravo Aha!! The past week and the coming week is a very busy week for me, as my company fiscal year just ended last November. So, many jedi pips to count and divide amongst the Jedis of the whole universe. Other than this, me and my team are now fomulating the right strategy to prepare for the 2007 sentiment based from 20 years history. The studies involved, Elliot Waves, Neuro, Fibo, Zigzag, monthly trendlines and of course Support & Resistence!

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Worry not Lou G. Keep practicing the current level until much Jedi pips are harvested consistently. Knowing Level III and IV is not so important when Level II is not mastered yet. I feel that, I must delay the other levels until next year, to give more time for everyone to practice and familirise themselves with naked trading techniques. Remember: Its not so much on what you know, but, its what you do what you already knew. That is more important. In the coming posts, I would like to see everyone to asked more questions and make posts of their trades with charts when possible, to enable everyone to learn together so that the spirit of helping each other is alive and kicking everytime, all the time in this thread. May the Force be with us! __________________
Quote:

My Official language is Jedilish.

Originally Posted by raheel23 I really . love the SRDC Concept and hv been following it very close keen to learn n explore it to any step .. beyond .. pips even ... Master Roshan .. Thankz a Tonne ! .. your hv inspired me alot with this challengin concept of such a Volatile .Sentimental Forex .. Market .. .. One Question .. ? lets say a News liek non-form payroll breaks out positive for USD what i am wondering is can i place a long entry order 15-20 pips ahead if it breaks positive ... or short order same 15-20 pips difference if it breaks negative so we know either way it will do .. how abt putting two such pending order one will be executed on news break resulting in a big .. spikes will not be less than 100 pips yea may be the pips with you ! ... all i wana knw is it possible if we can really try this without a risk i guess put ur tp liek 70 pips . from ur entry and get in and out quickly .. gaining profits .. news.. trading .. can be fun i guess.. but need to execute the entry just 2min before news break to get the momentum right for pending order execution .. May be the pips with you ! ... Happy Trading ..

This is what you call straddling the news. Straddling is a profitable method when your broker allows it, even SRDC I, can be considered straddling the S&R. But the only difference is, the pending orders are not necessarily place during newstime. It is quite risky to do so, as, most brokers can't honour your pending orders during high volatility, unless when you place them earlier (minimum 1min). This will result in, requotes or slippage to such an extend that it will hurt your trade.
The shield is working...

Does that make pips to you or is my Jedi english too confusing?

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Quote:

Originally Posted by aha Hey Lietuve, Can you tell me when you put the fibo channels on and why you put the fibo channel in a downward direction at the time (against the major trend)? Maybe I can incorporate your wisdom into the I-LRC indicator. aha [QUOTE=lietuve]

Good Observation Aha. Yes, Fibo placing will be bottom to top for downtrend. Im impress with the Arrow indicator. The trick is to draw the channel correctly (trend), otherwise the Quadrants will be wrong. I will leave this good problem in your capable hands. We must scan the galaxy for any Imperail Spies...
BlewMoon... I saw you exploding away... Quote:

Originally Posted by blewmoon aha, I put the Fibos on every day from the Channel top to the Bottom and Start the LRC from Monday.... Does this help? enc.

Yes, your channel is perfect!! Did you see how the Trend dancing inside the channel? Try putting the fibo bottom to top, and see when it catches the dip and bounce more accuratelly. Do what catches your eyes more significantly. Welldone! You really blew the moon away!!
I say Chicken! Egg cant hatch without a chicken!

It looks like we are on slow bearish trend on GBPUSD. The guidelines below might help you in deciding on your practice trades today: Bearish Trend: Q1: Sell Q2: Sell

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Q3: Sell or wait until it enters Q2 or Q1 then Sell Q4: Buy It looks like we are in Q3 today. Now, Before everybody panic. Should we go into a ranging market, below are the guidlines: Q1: Q2: Q3: Q4: SELL Wait until it goto Q1 or Q4 Wait until it goto Q1 or Q4 BUY

Which one is first, Chcken or Egg?

Go get em boys & Gals!!

Im Speechless and honoured by the team commitment to covey the method especially during TeamSpeak. Henry is doing an excellent job doing the charts and explaination. Superb, especially without my Jedlish. Aha with his relentless talent making the indicators, making it easier for everyone to draw those damn channels. Mellissa and Tradebill are superb innovator and host of TeamSpeak. Pipastic For the rest that I didnt your name. Your efforts are also very much appreciated and Im so happy, the team spirit of helping each other is alive. Quite true, my time is very limited now. 1,000 Jedi apologies. Will, try to answer PM and post as fast as possible. When anyone is truly want to be successful, learn the channel trading and understand it. Adding it with you other methods, you will pips. Amin! May the force be with everyone!
US in trouble...

When you trade today, I hope you guys are making tons of pips!! The day starts with Q3, where I waited until it jumped to Q2 and enter short (following the trend) at 1.9640. Then following the Payroll announcement, the candle bear about 50pips down to gain momentum before it starts a bullrun. Knowing the figure indicates a Weaker US data, so I exited at 1.9540 (just outside the bottom channel), accumulating a good 100pips and Start a LONG trade until now still riding. Im holding an equity from this long trade of about 180pips. Add with the 100 i banked in earlier, thats a total of 280pips. Not bad for a Jedi. It looks like the US economy is going to enter into recession... prepare a BULL GBPUSD. Lets see where the candle settle today and LRC might has to be adjusted this monday. As I suspected, Monday is usually a trend change day (check the charts).

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I will post my trades later, when i get back home. May the Pips be with you. __________________
Welcome back to the trend!!

Thanks Aha. Here are the charts I did to represent my last trade. RED - SELL BLUE - BUY GREEN - TAKE PROFITS As I type this, the candle is BEARISH back into the trend. Is this a confirmation that the TREND or the CHANNEL is stronger than the News? Maybe. Its a sign that the Big Boys didnt agree with the Really Big Boys. Maybe we should keep the channel after all. Pity I didnt short the last candle... but then again, who would know that right? LOL Im entering TEAMSPEAK now, just in case my fellow Jedi PANIC!!! Heeeeeelp!!!!...lol Attached Images

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The force is strong.. Quote:

Originally Posted by Westie Hi Jedis, Just wondering which were the important no.s to show the USA weakness, the payroll numbers were up, but the others were slightly down, which one was the important one, If you get a chance could you let me know Orange, or any other Jedi that knows.

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thanks

Hi Westie, The data shows a weak dollar hence the bullsih move on the 1st candle (GBP more favourable). It initially went down to the lower channel due to building momentum, a normal reaction from candle before going for a strong pip push up. As the candle follo the news, it went abov the trend but momentum was exausted and it went back into the channel and back to the original trend. This shows the trend is more favourable than the Fundamentals. The REally BIG BOy's influence was temporary as the big boys group together and used their equities to pull the prices down to the trend where they feel more comfortable (we too). The moral of the story is, Channel beat the News!! __________________
The way to success is as simple as ABC, Change of thinking Quote:

Originally Posted by Westie sweet stuff orange, I'm using aha's lrc indicator with fibos built in, it seems really good, using version.3 Looking at the dailiy chart, it seems we may have some more bearish days. one question, it is stated not to take trade from median, im wondering is that for daily as well, so either we wait for price to go back to q1 ond daily or q4 for a long? and if I wanna trade in mean time, take trades on hourly channel? Thanks

You are not trading at the median, but the candle is going to the median. Yes, better use Hourly at this stage until you gain more experience with the dances in the Trend! Have a nice weekend!! __________________
The 4 Quadrants Quote:

Originally Posted by downunderdave40 Hi OrangeRoshan, Just to clarify your trades on post 694 so that jedi apprentices don't get confused. The sell trade in quadrant 2 is not part of SRDC II. So far we jedi apprentices have not learned the lightsabre technique that allows us to trade in quadrant 2 or 3.

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Hi Dave, It is Level II Trading. Look at Jedi Henry's PDF page 16. My total Pips for Friday during the payroll was 872pips on GBP alone, using Level 14. I was trading the 12 monkeys yesterday. Post 694 only describe Level II trades. Happy Learning, the Jedi way. __________________
Important Important Important

Hi Jedis and Padawan, As we progess in developing an EA for the method. Which we all know, it will become the most powerful and reliable SHAREWARE EA ever created. A few issues come to my mind that I think need to be address. But, First the good news: - The basic EA, good enough to retire you and can challenged any PRO's trading results, WILL BE FREE with special conditions (non-monetary). - Its only available to Hardcore members. Define Hardcore? A core that is Hard!! LOL - It is only for those who believe in the method and the EA. When you are skeptics, save your critism, you dont need this method and the EA (Messa not interested to hear your Jibberish Dark force comments). It will only slowdown progress. The EA will be code protected to avoid abuse, such as: - Heard about it, come to this thread once, download EA, then become rich tomorrow. - Never bother to learn the method behind it, just expecting a free ride. I do want to help a lot of people, but freebies of this magnitute will make someone turned to JaJa Binks! - Its Insulting to the authors I will need co-operation from all members to test the EA at all levels to ensure its realibility, intergrity and standards. The first step to prepare yourself for this are: - Update your MT4 to the latest build, currently build 200 - Update you Historical Data using Alpari's data with GMT shifted to 00:00 - It must be at least 90% modelling quality - When anyone has other platform or tools to backtest other than MT4 will be a great advantage. - Additional and realiable Historical Data will be much appreciated. When possible, shared within the extend of the copyright law. The finish EA will not be posted here, but rather on a protected website, only accesable to Hardcores for downloading the protected EA for testing puposes. The results will be shared here as new posts or maybe a new thread will be open.

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Due to the reason above, anyone wants to volunteer to setup a website for this purpose? It should be: - Simple - Certain pages is restricted to Hardcores or registered (manual approval) members only. - FREE. Nothing that will put a hole in your wallet. Email me with your suggestions and volunteering offers. My email is available at the profile section. I know the unity in this thread is very matured and strong. I like to keep it that way and look for ways to enhance that even further. Other words, Deeply rootifying it!! I dont know about you guys, but i have a feeling, this is gonna be fun and life changing experiences. Others made wars and propagandas, we made pips and unite to make this world a better place despite our differences in many things (our differences made this world a colourful planet, love it not hate it). The way it should be and its not too late. We can start from here. Love & Respect, OrangeRoshan __________________
Channel Trading Quote:

Originally Posted by compro99 Jedi Roshan, Seeing the big spike on NFP, updating the LRC to suit the spike will make the channel very loose. What is yr suggestion ?

Good point. Do 2 channels. One until Thursday and 1 until Friday using rays with different colours. See what happen on Monday and Tuesday, which channel is worth following or more accurate. But, following the recentone will be easier, as channel define movements and range. Next week trading will follow this range. May the pips be with you.
Friendly Sparring Partner Quote:

Originally Posted by colnc Hi everybody! Thanks to all those that post in this great forum! I learn everyday! Thanks to you Orange for teaching all of us. I personally like to trade manually, I

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want to learn and then also to teach, if a computer is doing everything for me then I don't feel that I am growing as a trader, so even though I don't fully comprehend everything yet I study at least 2 hours everyday, so that when I do know it like the back of my hand I can do what you have done here at FF and that is to teach it to the next generation of traders (my kids)! Many pips to you (even though you probably have enough to go around ). I will continue to follow everything that comes!

LOL, Let the EA do the work, and we trade manually as much as we like. Otherway, $$ will be still be generated, less stress. Or, use the EA as your sparring partner. Beat it everyday for 20 days consecutive, to see how your manual trading improve. May the Force be with you __________________
Brave New World Quote:

Originally Posted by aha Hi Orange, Can you change your decision in your post #722 about sharing the EA? I have been thinking a lot about the method you told me and built some small indicators to verify the results, not the whole system, just some of the elements ... wow! What I am gona suggest might bring a lot of critisims and make me an axx on this thread but I have to say this: don't share the EA. Many hardcores who have already seen the power of SRDC may agree with me that this is too good a system to be ruin. Not that I don't trust our hardcores, but even just one copy of this EA is exposed to the public, it may bring unexpected/devastating results to your method. We don't want that to happen. I am sure we can find a better way to benefit our hardcores, but not like this. Besides, to translate your way of trading into cold hard logic is not as easy as it seems. I am expecting a lot of hours we spend together just to make sure we understand each other and that's the only way to ensure the quality of the EA. I have shared many of my hard work on FF, but sharing this in this way is simply an insult to the authors (not that I am suggesting to sale it, nop). I think our hardcores may understand what I am talking about. For newcomers to this thread, I may sound like a commercial guy. But whatever. aha

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The weekend was one of my most extra ordinary weekend ever. Since my last post, I have been receiving more than 100 emails!! All of you are just so kind and so very helpful. The spirit of helping and sharing is truely in the thread. Keep it up. My decision on having who will setup the website is actually not that important, as a true Padawan and Jedi to this method will carry-on their plans by extending this method to the other universe with or without me. I have given enough materials in my 2 threads that will keep a trader buzy and profitable for life! I dont mind anyone extending this techniques everywhere in the Internet as long as it is NOT commercialised. A consent from me will be needed when the later is the case. The reason being, you will want my support one way or another. Market sentiment change! I got emails from a CEOs who wants me to train their fund Managers for a couple of days, where some of them have been trading longer than me. The price was very good, infact higher than what are offered to many pros in the market. I have individuals who also requested a 1-1 training. My answers are simple. It is not a question of money, but Time. When my schedule will allow it, then I will do it, but that may be a rare occasion as my schedule is fully book until April 2007. When I look at the Padawans and Jedis who have been using this system, I can tell, many are already self sufficient. You dont need Level III & level IV that soon. Learning takes courage and patience. That is the next discipline you must master now. In the meantime I will add post on other subjects such as money managements and risk management at my own time. Please continue Teamspeak as it is a very powerful tool learning collectively. I may not be in teamspeak that often, but you never know, I may pop in when you least expected. I would expect the Jedis to help the young Padawans with their training. Give, like how you received them. Now, regarding the EA. I cannot force you (Aha) to share your work when you think it would jeopardise my method and the trading skill of many Jedis and Padawans here. I will respect you decision and understand your concern. It was infact address to me via email from many traders. But, should anyone wants to have a workable EA based on SRDC engine, my suggestion is, code it or get another coder to do it for you privatelly. There are enough information here for anyone to create a succesful EA. These efforts can be discuss here and on all the websites dedicated in learning the SRDC or the channel Trading. I will dropby, once in a while (when my time permits) to add flavours to your discussions. For the meantime, Practice Practice and Practice. A clue for those who wants to be succesful in this method, "Dont reinvent the wheel". Look at the 2 methods carefully and you will find more secrets buried right under your very nose. MAY THE FORCE BE WITH YOU!
Amin.

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Hi Everyone, Ive read and digest all the posts and I call tell you guys are fine and Growing. It was my post promoting the EA that started the comotion, my 1,000 apologies. I myself have to think very deeply after Aha email me with his thoughts on the EA. I talk to several highly technical people and I think Aha is right to change the way how the EA should be released. I think he had found a solid way for people to have it without exposing the ea publicly. Check-out in TS, the answers could be available there. Now, Im still overwhelmed by such unity and offers to have the website or domain reserved for SRDC methods. Thom has made a very nice page (in Orange, my fav colour) in his domain and I really appreciate that (618000 Jedi Pips) and am very impress with the efforts. Beside Thom, many others (you know who you are), that made such preparation to host the SRDC websites. Thank you from the bottom of my heart. _______ Now, as we move forward into the 2nd-3rd week of December. Practicing the methods will be our main goal. Here are some pointers on how to get the feel of what you have learned here: - Know the rules of the methods - Understand why the rules existed, backtest. - Enter and Exit trade with a goal in mind - Enter and Exit without FEAR. When you still have fear, then i suggest you use your demo account first. After making excellent winning trades consecutivelly for at least 10-15 times then only use your live account. Trading it with your live accounts without 100% confidence will hinder your progress and skill. - Proper risk management. - Unlock the hidden key inside these methods. Those who found it, I suggest you keep it to yourself and let the others find it on their own. Only this way, a skill can be mastered. Its right under everybody's nose! Now, lets concentrate on learning as I may not be able to answer all the questions. Let unity, love and motivation fill the thread. Make it a condusive and the best team spirit environment that we all want it to be. The market has no mercy so learn to understand it. Significant in FOREX is attainable to anyone who wants it badly. MAY THE FORCE BE WITH EVERYONE.
Follow the system 100%

Hi Team, A new channel is evidently forming since yesterday. Trust the System and the Rules. Take small TP until market regain its sanity. US economy might go into recession. Trend is Bull since Monday. The really big boys wants the big boys to follow the new trend. Lets see who wins. For the meantime, either way, its dancing in the Channel.

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Happy pipping!! Attached is my Demo trade Attached Images

Is that The Millenium Falcon? Quote:

Originally Posted by accrete Orange, i looked at the code, what did you have in mind? Quadrant lines or similar goodies? Here is my 10 min doodle that added the quadrants...what else do you want? http://accrete.com/fx-srdc/indicato...n_Channel_2.mq4 : ) Thom off to work during the Asian, be back tonight and hopefully in TSroom also.

Thanks Thom. I didnt know your spaceship can do wap 9 too. But unfortunatelly, you

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miss the location of the Red Planet. The Channel is too wide. The Red line should be where the Red dotted line is. Which means a smaller channel. Draw the Default MT4 LRC, and you will see the true size (bottom LRC = Dotted red line). Thanks, I await your spaceship!
SRDC Channel Quote:

Originally Posted by traderlismiss Starting today, Rojam will post pictures of the new channel at the beginning of the day (gmt day). People are coming into Teamspeak with channels drawn in a variety of ways and we spend quite a bit of valuable time discussing which channel is drawn correctly. We have chosen Rojam to draw a channel and post it and it will become the official channel of Teamspeak daily. This is not to say that anyone must copy this channel and we certainly invite others to post their channels as well and then members can choose one as a guide for themselves. This is meant to be a service so that when discussing the channel in TS or in this thread, we will have a reference. Thanks,

Yes, I agree with Melissa. The Channel is the engine of the system. Get it right and learn to adapt with the sentiment. Learn to spot and draw the Engine correctly. Keep the TEAM spirit united and positive. We are all learning, everyday....... Stay teachable! __________________
Microscope! Quote:

Originally Posted by BillGates Yep, but chart examples will be much clearer for most freshmen like me. Picture worths thousand of words as the saying goes.

This is the example of Micro Channel to see the Dance. Pipastic!! Attached Images

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As per Requested Quote:

Originally Posted by cbrock5000 Cci

How do the big boys decide? Look at the exact candle on the 15mins. Attached Images

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Its FRiday!!

Hi Team, The CCI on the 5mins really catch the trade of the day. Look at: The Highlited area Look at the tiny support trend lines being penerated down Look at the opening of the candle below the trendline. A confirmation of short entry Look at the CCI, it tell you to ready to short earlier Look at the CCI bouncing on the Support line!!

Pipastic!!! Attached Images

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Another trade idea

How do you know when the candle is going back up or going down penetrating the Median? Draw a trend line and see when it follow or penetrate it. Attached Images

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Lokk at this!!

Scalcing the Mini LRC after the Big move...Swwwwweeeet!! Attached Images

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How do you know?

How do you know it will move up again? Look at the candles, will it open above the trendline? Attached Images

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A wakeup call to the newbies!

Dear Traders, I want to take a few minutes of your time for a moment here. I think this letter will help my conscions. As you all know, Forex is a ZERO SUM business. When another trader wins, its another trader's loss. Over the years of Trading, I have made many consistent pips, and in the process, took some of you account undeliberatelly. It has cause many of you a lot of stress and sufferings. Because of this, I like to apologise to those involved, and to those, starting this monday, I may take some of your money in your accounts (when you lose pips). Please dont take it personally. But charge it to experience.

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However, when you start following this thread and learn deligently, you may be sheilded from my trading skills as you may also make positive pips. When you come to this level, I also encourage you to post a similar letter to let them know that, the intention is not cruel at all. I hope this will open your eyes to learn the method more seriously, otherwise, "I AM SORRY". Yours Sincerely, Orange Roshan p/s Have a nice weekend! LOL
Homework

Hi Team, Learn to draw trendlines. - Spot at least 2-3 candles that shows a pattern - Draw trendlines following the pattern - See the candle breaking out from the Trendline or obeying them This is good to spot DIP and BOUNCE. Master this basics as the BIG Jedis are using the same thing.
Daily Candle Analysis!

Hi Team, Notice both channels (July & Oct) are parallel to each other. Doesnt that tells you something? The last 2 weeks candle was on a downtrend hitting the Oct Channel at the median? Now, Using with what you have learned, do you know where the Monday & Tuesday candle will be? Down or up? I will leave this question for you to ponder and discover. May the Force be with you. Attached Images

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What did Solo Said? Quote:

Originally Posted by behof Hi Orange and all the other Pippers Regarding this amazing Friday 12/15 session on teamspeak I have to thank all guys and of course our jedi master for this tremendous lesson !!!! During the teamspeak session you told about trading on the 5 min chart using CCI and trendlines. You're settings on the FXSniper were => 2,10,1,2

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Referring to this settings I've attached my 5 min chart with the following FXSniper settings => 4,8,5,4 When you look at the attached 5 min GBP chart you can see the following : 1. When you look at the brown trendline on CCI you see that its broken at about 13:25 GMT to the upside !! 2. Also the LWMA 50 line was broken to the upside (Thanks Rojam 3. Furthermore the RSI 19 penetrated the 50% line to the upside !! (Thanks Rojam again ) 4. We also had a divergence on CCI to the upside !! You see we had a confluence of 4 events at that time !! And now look at the magenta trendline and see when the downmove was predictet...... Orange perhaps we should discuss these settings on CCI more detailed Just my 2 cents... Happy Pippin Bernhard )

Well, Its cool with me baby. Its a Zero Sum equation anyway. Use what works for you guys. Im teaching price actions and market sentiments. The best way to learn is from you own mistakes. Read all my posts again, you will see the answer you are looking for. May the force be with you. __________________
I Love Monday

Hi Team, Dont you just love monday? As I type this, im 17+ pips. I could exit now, and smile all the way to bed (I havent sleep yet). Today, I will update the channel. Mine is updated only until End of 14th DEC. I didnt pull it until Friday because movement on that day is too Jabaish. I prefer a sort of average price range kind of LRC. My LRC, still reminded me of the TakeProfit party we all had last Friday. When I pull it until Friday, the channel will cover the excess price movement.

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The trend is still good and Monday is usually quiet. However, pulling the LRC to end of Friday doesnt make you wrong. Its a matter of preferance and .......... (figure it out)!! Happy pipping and dont forget to use proper risk management on your lots. Attached Images

__________________
Follow the Rules

Hi Team, Its an easy day today (unless you make it complicated!) when you follow my teaching as I have endorse them. We start the day at Q4.

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(What do we do when we are at Q4 with a bearish channel?) LONG. Draw a trend line as shown to see when it will start to follow the trend again. Look at the daily fibo. The price penetrate 61 first, then 50. Testing it, then drop back at 61 (Median) and bounce up again entering the 50 for the 2nd time. It didnt have enough push to test the 38 and eventually dropped and broke the support. This is an easy 50+pips (What do we do at Q2 when the CHANNEL is bearish?) The candle penetrated the support and the median. A new candle forming below the median confirm the down trend. It tried to push up again and hit the ceiling (median) and drop down following the trend. A new Resistence is forming. The candles slipped down until around 1.9492 and break the resistence. This is another easy 80+pips A total of 130+pips when you guys give it a KISS! Muuuaaaahhh!! Next post I will explain why today bounce is shown by the market already since Friday!! Use what I have taught very strictly. Take my guidance with 100% trust. Otherwise, "I AM SORRY!!". SRDC, Im Lovin' it!! Attached Images

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Bored? Scalp the Mini LRC then...

Hi Team, Before I post the mystery sign given on Friday. Here are the obvious mini LRC as I have taught them on TS the other day. This technique, can easily harvest another 100+pips using the original SRDC Episode II trading rules together with the earlier trades. Thats a total of 180pips + 100+pips = 280+pips for today. Burrrrp!! Any doubts? Attached Images

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__________________
Trendlines

Hi Team, Remember I gave you guys homework to learn and spot Trendlines? Did you guys practice? Look at the chart below, it tells a lot of story whcih will sheild you from my trading skills. May the pips be with you!! Attached Images

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__________________
Good Observation Quote:

Originally Posted by accrete Hi Orange, the below image is taking place real time as i post and i am not trading this situation, but am hoping for clarification. I posted the question in the TS room but there was no reply and would like your input. Here is a chart with a magenta trend line drawn outside the LRC on some low points over the past week. I recall sometime last week you discussed looking for such areas to draw a trend line at such occurances. I know that in this situation, being so late in the day, London 15GMT that it can at this point also bounce up to the Median. Just wondering if the basic set up is a valid trendline possible breakout setup. THX, Thom

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Yes, Of course. I also have the same line drawn. Find any points that create a pattern even when it is weeks, months, and years away. These are market sentiments. May the force be with you __________________
Homework is Research!

Hi Team, Remember I told you guys that the big boys are not that creative? They have to follow the previous history of candles hence the phrase, "HISTORY REPEAT ITSELF". Here's the answer to the ONE TRILLION DOLLAR QUESTION.

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Take all my questions seriously and I dont have to say IM SORRY! Attached Images

Mirror mirror on the chart!! Quote:

Originally Posted by Bom-Bom LOL...cgldsmth....the SRDC1, it never fail to give us 5 pips constantly everyday... ....trust the system, it works ! Wow...I guess many jedis on this thread get their mines today..... To Master Roshan : Thank you for your clue about parallel trend line on July 2006 and October 2006. It is happening now that monday formed black candle as it tried to test lowest channel and tuesday...it is now forming white candle, as shown on your chart on post #1087 at page 73 !!!!! Even more, It is breaking the upper channel of Daily LRC when I wrote this!!! I never analyze that chart as You did, never know that "right under my nose", there will be a theory of "history repeating itself" on that chart you posted. What a great lesson you gave since 16/12/2006 'til today !!!!

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Regards

Welldone, at least someone too the research seriously!!

The Channel

Hi Team, Apart from the history repeating itself, Ive always emphasise that the DAILY CHART is the main trend. Yesterday's candle was clearly touching the Bottom channel. Based on the 2 informations, it is no mystery why today's candles is bullish. There are no mistakes, only a learning process!! Attached Images

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Pips! Quote:

Originally Posted by downunderdave40 Hi Orange, It is not always clear where you start your channel from. I started mine from Nov 27 and pull the channel to monday Dec 18 my lower candles never touch the bottom channel. Now if I start the channel on Nov 27 and pull it to Dec 14 the lower candle just about touches the bottom of the channel. My question is how do we know from what point to what point to make the channel? On monthly, it is to be the begining of the month, but now it can be back to mid November. On hourly, from monday to current day. Not sure what the rules are.

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Always have a few channels drawn, just in case. But the most important channel is the start of the current trend. May the channel be with you
No Indicators!! Quote:

Originally Posted by behof Hi Orange ! First of all I apologize for posting my charts here in this thread. It was just my point of view and I'm erning some good jedi Pips with it Referring to your educational posts I've done some homework...... BOY I NOW KNOW WHY YOU LET OUT THE FRIDAY 15 SPIKE IN DRAWING YOUR TRENDLINES !!! YOUR MENTOR MUST BE A VERY EXPERIENCED GUY, BECAUSE THIS IS THE WAY THE BIG BOYS DID IT BEFORE THE INVENTION OF THE PC Just my 2 cents Orange Hope to read from you soon master.. Bernhard

That chart with channel you just drew has a trillion words embedded in them. One that can take you guys a long way..... Practice Practice Practice. Thats more like it. Trading at its rawest form!! __________________
Want some chocolates? Quote:

Originally Posted by Tragapips Incredible 223 pips range at the moment of this post. Never thought this day would be this way. OR says we must learn to draw trendlines... a bit confusing have to say sometimes. Take a look: red trendlines and green horizontal high and lows on 1 hour.

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Now see on 5 min how price plays with this lines and respect the new LRC

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Note: I used 5 mins to remark how price plays with trendlines but remember our timeframes are the same 15 min, 1 Hour and Daily charts.

The British would say,"Thats Bloody predictable old chap!!" and the American would say,"Aint that soooo predictable!" and I say,"Its right under your nose!!" __________________
Nice setup today!! Quote:

Originally Posted by Tragapips Master OR Please some advice is needed. Today, price goes through two old resistances and i think they play an important role in price action today. According to the LRC I drew price is at Q1 and depending on price action a sell would be the next step.

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Question: is safe to go short with this 2 trendlines still so near to price? and can you confirm this LRC (Blue one) PD: Forgot to mention price reach 161.8 fibo level (not shown in the chart). Thanks in advance

See what happens by 00:00GMT. Follow the SRDC rules religiously!! __________________
The OrrangeWay

Hi team, Here is how I harvest 400+ pips today. Orange, Full of Vitamin C.... Good for you

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Attached Images

Drawing Channels

Unless OR scratches this post, what I'm posting now, should be considered the "standard" rule to draw the 1 hour channel. I hope that by doing this we will all be looking at the same charts and channels, avoiding many questions and confusion. This morning while we were in the TS session, and because the market was really slooooow, I decided to test the 5 min. After almost going crazy with the test, I realized that since we introduced the micro channel 5 min. we've been drawing micro channels in the 1 hour too, thus missing the real direction of the main trend and making it almost impossible to understand because, sometimes, we all have a different one. Let's put it this way, as of now and as long as there's is no clear trade in the 1 hour, I consider the 5 min the "kiss of death". Use it sparingly! The 1 hour channel must be drawn as is stated in the manual, this is, from previous day 00:00 to beginning of the new day 00:00. Reason is simple, this is the main trend going on!

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In days like yesterday, where price went outside the channel, we can/must draw a micro-channel to follow price or pull the channel as price evolves in the chart, as it's also explained in the manual, but at 00:00, starting the new day, we have to pull our 1 hour "main" channel and all makes sense again. See these examples below:

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Hope we all agree! Henry PS: Lou, great work!! PPS: Wilma, this post is for you. You were right with your channel!
The magic of the 6th Candles!! Quote:

Originally Posted by ptejerina Hi, I'm learning from Roshan's latest postings that it is important to see the big picture and paint the trendlines. With this I mean that it is useful at the beginning of the trading day to zoom out and see past action and patterns. Good luck, Pablo.

This is how I harvest 428pips today. - I use the last 6th candles on the 15th Dec and drew a trendlines which guided my trades since then, and especially buying at the top of todays trade - The candles were forming and as expected bullish for a while but cannot penetrated the 3days trendline, so I short and exit at the trendlines started by the 6th candles of the 18th Dec - Long and exit at the touch of top channel (parallel of the 15th Dec trendline - Scalp with Mini ORC, trading with the dance - Bought at the breakout of the 6th Candles of the 19th Dec. It became a support as I expected a retracement (yesterday's move overtook 3days short). - Exit at the lowest of today. - Buy at the bounce again exiting at the Median of the Mini ORC. - Then I got so tired and guilty from emptying so many non-SRDC trader's accounts, so i stop trading for the day. I hope that pips. Attached Images

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Want some pips? Quote:

Originally Posted by Westie Hi master Im sorry for such a dumb newbie question, Im just wondering how you get 400 pips when pound didn't move 400 pips, or does 400 pips include multiple lots, for example, 100 pip move time 4 lots? etc. Pls explain how you calculate pips, as different people do it differently, and it gets confusing. Thanks master

It was chart pips. Trust me you dont want to know how many lots I traded with the 400+pips. I scalp from top bottom and bottom up, and have a trade from the top to bottom and a short at certain LIII point. I used to call this the Maximiser. Harvesting more than the Range of the day by scalping every possible dip and bounce. Take what I taught seriously, there are many good trades, right under your nose!! Force is strong!

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Observe! Quote:

Originally Posted by downunderdave40 Hi Master Roshan, You surely are a gifted teacher and trader. I hope one day to have 1:100,000 of the insight into the force that you posses. I know many of us old people are having difficulty in making out the details of this all important chart. This is an hourly chart I assume? Is there any way that you could possible send this chart to accerte so he could post it on the resource page? I think it would assist alot of us if we could see the chart in more detail.

DoNot assume. Look at the number of candles between the two time saperators. Doesnt that tell the timeframe? Everything I did has a purpose and for a reason. Its the only way to the highway. Pips always..
Learning is an adventure... Quote:

Originally Posted by Bom-Bom Master Roshan, I hope what I'm about to say will not make you angry. Would you please post again your chart in this 6th candle lesson? I can not see the trendline you draw clearly cos its color is not contrast with the chart background. Even to print out will not be clear as its background has a grey color like a book cover. I always archive every chart you posted to study and I don't want to miss this lesson in my archive. Please post again Master, Thank you. Warmest Regard.

Use my Yodish explaination as your guide and draw your own chart. This way you will learn more. Trust Me!! When you still cant see it, Try again. When still you find it difficult, I will send you to Jaba for a week at his desert hometown. Try again until you understand the message. Jaaaabaaaaa.... where are you....? I have someone for you... __________________

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A little exercise!!

Hi Team, How to see the game the big boys are playing. Setups: 1) the famous 6th last candles of the 20th from the 15mins chart 2) the 17:000 GMT 21st Dec. Draw 2 horizontal lines, then look at how many pips is inside the box (the 2 parallel lines). Add another horizontal line above the 6th candles line with distance of the same pips. What do you see? They are really bored!!
Explaination

Hi Team, Its a straight horizantal Channel. The candle is moving between inside the box for a while. They are really bored. The bottom horizantal line is derived from the high of the 17:00 GMT (ive been talking about), and the green line is the last 6candles of the 20th Dec (ive been talking about). Add the same width between this 2lines, we have another horizontal line (top). Did you all see how predictable the high of the current candle and the previous candle hitting exactly the top horizontal channel? READ THE INSTRUCTIONS, KEEP IT SIMPLE! Attached Images

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Predictable!!

Teamspeak guys/Gals, Here it is. GMT0000 chrts. Attached Images

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__________________
Discipline Quote:

Originally Posted by downunderdave40 Hi Master Roshan, I have reveiwed this hint over and over and I still can't figure out what marker you can see from the 17:00GMT candle. I can clearly see if you draw an LRC on the 15 min or 1 hr chart from 17:00GMT to 00:00GMT you have a nice channel to trrade the asian session most days. You can't draw a channel based only on the 17:00GMT candle. If you wait until at least 3-4 hours after the 17:00 candle you can draw a channel to see the possible trades in the asian session. I've looked back through several weeks and I don't see any particular pattern with the 17:00GMT candle,

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sometimes the 18:00 candle is in the opposite direction but it seems rather random to me. I understand the channel concept and it appears to work when you draw the channel to the start of the next day, but I am still not understanding what the marker is with the 17:00GMT candle. Can you please help a confused Jedi to find the force.

A marker is a perculiar candle or a series of candles. It is not necessarily on the 17:00 GMT although, in yesterdays case it was. The most probable one is usually at the last 6th candles. Ive coloured some of the obvious markers at yesterday's trade. You can see it better in 15mins chart to the exact candle. See how the High, pause, low and end of day for yesterday's trade was already mapped out. Again, please dont think you can spot is today and become an expert. That is naive. It took me many years to master this, until to a point, I can spot it even by a glance. Therefore when you want to learn and master this, take time hours and hours drawing trendline, S&R on pass charts and see what the market tells you. Hey!!! Go and decorate your Christmas tree, its holiday time.... LOL Attached Images

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Way too confusing for many. Quote:

Originally Posted by downunderdave40 Hi Orange, I have soo many questions. I see when I draw my horizontal lines that 90% of the candles are contained within the lines from the 6 candles on 20th and the 17:00GMT candle on 21st. I am not sure why you had us draw another horizontal hine the width of the channel above the channel top? Pay full attention. Observe and analyse its significance at least a couple of days before saying you CANT SEE it. The answer to this question is very obvious, it hold as a buffer before it penetrates up and same buffer when doubled in size signifies yesterday's high (fibo rule). And I did explain in TS yesterday. There is very little price action in that sector. Maybe that is why you had us draw it? Drawing these lines is a great excerise to see where the price action lies but my question is..how do you determine what points to use to draw these lines? Like I said, YOU DONT, until you practice and practice and practice. You will not understand it immediatelly.Are the times significant, 6 candles = 22:45-00:00 and the marker at 17:00?

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In search of the answers....the force eludes me. only when you allows it to.

I feel this studies are way too difficult for many traders. I have warn everyone of not too sound too get dishearted for not understanding it immediatelly. Give it time to matured. In light of this, I will refrain from exposing anymore of this level until the basic of Channel is mastered. This will take maybe months. For the meantime, start to learn the basics again. May the force be with you
You are getting there Quote:

Originally Posted by jest1081 Hi, I would like to add as well, the 5pm candle not only showed the bottom.... OR this is amazing, how do we KNOW these candles?

Know the range of this pair and the candles will guide you. This is my last post on this matter. Concentrate on candle dancing in the trend.
Think outside the box Quote:

Originally Posted by downunderdave40 Hi Master Roshan, Do you have any set rules you use to draw trendlines. From my experience there must be at least 4 different ways to draw a trendline depending on how you were taught. I was always taught to draw the TL underneath or above the wicks. I see some people draw TL through the wicks but not the candle bodies and others draw them from right to left using 2 points (DeMark - I think). Can you enlighten us as to how the pros draw them???

I dont know about how other drew their trendlines, but mine has no particular rules and I think it is more effective Dave. Like most of my methods, it is different than the conventional way, eg: Drawing Fibo.
Simple Observation

Hi Team, I zoom out the Daily Chart looking for the Support and Resistence after the holiday.

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My trendlines dated back from 2005. You might asked why im using these trendlines? Well, its not rocket science. Its the only trendlines that are perfectly parallel to each other that touches the top and bottom of the Dec bearish channel and the Oct Bullish Channel. Let me repeat again: Its the only trendlines that are perfectly parallel to each other that touches the top and bottom of the Dec bearish channel and the Oct Bullish Channel. The first guide is the highs of June 05, May o6, and Aug 06. By using equidistant channel, i adjust the top EC to this year's high. This way, all the 3 top and bottom channels, and their median touches each other. continue at the next post... Attached Images

Continue...

Hi Team, When we have all 3 channels intersect with each other, now we have a high probable setup for the next dance of candles.

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Unfortunatelly, this doesnt tell the next direction of candles. That is another lesson, but armed with knowledge of Candles dancing in the Channel, I think you can hearthe market is shouting to you where it is going next!! May the holiday brings you more wisdom! Attached Images

The 3 Musketeers!! Quote:

Originally Posted by Lamdun I've asked this before but i got no response, so here goes again. Why is Orange using Cable, Euro, and the aussie if they are so highly correlated? If one trade goes in the wrong direction, won't all three open trades go wrong?

Trade each pair saperatelly without any bias on the correlation. On 19th Dec EUR was showing sign of breaking from the channel earlier before Cable. But this is left to your experience. The 3 pairs are for SRDC I mostly. They are not very volatile as JPY pairs.

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However, it is wise to study one currency only which is Cable as Episode II takes more experience and understanding in execution of trades. Happy New Pips!!
Keep looking Quote:

Originally Posted by jest1081 Hi all, Yesterday was definitely a fruitful session for me in TS. I'm gonna discuss the 1700 candle analogy which OR has mentioned abt once. What i presented below is just my analysis on SR lines. I have taken some days to look hard into it and i feel that big boys do leave their trail...almost every night...yes. There is a way to recognise these candles, i might be wrong on how i predict this and i am only gonna say how i recognise it if the master is agreeable, but one things for sure, these candles are profound. We just have to keep looking, its like a treasure hunt. No wonder OR always says...i know where it will go but i won't tell you. http://www.thefreeimagehosting.com/...12500gbpusd.gif

You are on the right track. __________________

Dancing in the trend

Hi Team, Yesterday was indeed a good day. The candles was dancing in the channel as usual. The retracement at 13:45GMT was so predictable. Why? - Its a bullish channel - The candles cant go any higher than the channel - So it has to retraces back to the median. I didnt trade, but its exciting to see how the channel as usually, DID it again. Moral: Get the right channel direction, and your trade cannot lose! Pips, Indeed. Attached Images

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Micro Channel

Hi Team, While waiting for the retracement from Q1, its sometimes nice to scalp the pips using the maximiser, which is the micro channel. Setup: - Draw another ORC stating 00:00GMT. - When it broke the top channel (following the big channel) adjust the micro ORC - You will see smaller dance in the channel following the same rules. - But, when it broke the lower channel going half the length of the micro channel. Create a new Micro starting from 1 to 1 half hours before the highest candle of the day. - Now you can scalp the retracement while having another trade going short. - Trade with caution Hope this pips. Attached Images

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__________________
Orc Quote:

Originally Posted by downunderdave40 Hi Master Roshan, I hope you won't take this the wrong way, but I find the chart you posted a bit misleading. Yes, after the fact you can draw this up channel and see the candle dance and it looks like the channel captured it all. If you look at my chart from the 28 Dec it shows a different picture. You have the blue channel whcih is the down channel from 20 Dec which contains 99% of the price action at the time. This is the channel most of us had pulled to the begining of 28 Dec. If you were following the rules for drawing the weekly channel you may have had the up channel (aqua)

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drawn from the begining of the week starting on 22 Dec to 28 Dec. This is what the channels would have looked like just before the break out of the 20 Dec down trend channel on the 28 Dec. So for those people trading in realtime this is what they might have seen on their 15 min chart. My question here is what channel are you looking to trade from??? You state the retracement at 13:45 was so predictable, can you explain why it wqas so predictable??? At the time the price was on it's up move, the weekly up channel (aqua) would not have been drawn like it is on your chart.

Hi Dave, Thats a good question. Im not using LRC, but rather ORC (Orange Roshan Channel). Its drawn manually using equidistant channel. I start drawing them from the top of 6th candles before the holiday (22nd), with the low of boxing day (26th). I treat boxing day as Saturday & Sunday candle (expect a reversal, especially the downward trend is more than 3 days already. So a retracement upwards would be probable). The rest is history, yesterday confirm my analysis. I hope that answers your question. __________________
Analyse this!!

Hi Team, Look at the chart below. It is very rare to have a trend continously for the whole month. In between weeks, theres always a retracement or a pause. The final week of December is not excluded as well. Im not teaching crossing of MAs or MACD or any typical indicators. This is price

analysis. So make a lot of analysis. It wont happen in 3 weeks. You will make mistakes along the way. Thats OK, I did too when I started many years ago.
Who thinks the downward trend will continue forever must be cousin to JajaBinks!! Of course it will retrace. Retracement and Pause (Ranging), usually started on Monday or after a holiday. Analyse. How do i get the angle right? Well its not ROCKET SCIENCE!! The uptrend starting on the 19thDec is not normal, so I took a conservative angle, which is between The Steep 18th DEC-20th DEC bullish angle and 20th DEC - 26th DEC bearish angle. The 6th candle of the 22nd also helps, and confirmed by 27th DEC High. Learning takes patience. Positivity is the Key. Thanks jest! Attached Images

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__________________
Channel Drawing competetion Quote:

Originally Posted by accrete Woe, i'm starting to think that if you placed 10 traders in a room and asked us to draw our "Channels" there would be at least 9 different outcomes! (i'm grinning big, but i know it's serious) I've looked over the last few days charts, mine included, and even using the same rules we seem to be coming up with different channels. Crazy? I'm not trying to raise an issue, just sharing what IMO is an observation. : ) Thom LOL...my 1,100 post...couldn't of taken place in a happier thread!

LOL.... When everyone can draw the right channel evertime, everyone will be rich. The channel is the engine of SRDC. Learn to analyse and draw it. When in doubt, draw 2 channels, and split your lots. MT4 allow hedging. But, when a trend is confirm, it will pips the rest of the week. Btw Thom, is you pillow speaker the same model? LOL

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Roadmap for 2007 (DAILY CHART)

Hi Team, As the year 2007 closely approaching us, I took the liberty of doing some very basic ORC analysis. The last 6th candles of November tells us something about the size of candles at the end of 2006 and early 2007. I drew a channel parallel to this Trendline and it gave me an early warning of a breakout. When the candles is bearish, it will most probably obey the bearish channel, but otherwise when its a bullish Tuesday & Wednesday candles, it will follow the Bullish channel. I wont tell you, but heres a clue. Study the pattern of Dec candles. Use the force.... Attached Images

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Want some Candle? Quote:

Originally Posted by glenn5t I would wait for it to break the trendline and a new candle to form, to confirm the move. but on the face yes a possible dt.

The British said, "Well Put Old Chap, the bloody pound is getting horribly high. Its bad for our exports. Now, who in their right kind of mind will buy the British Rolls Royce? Good heavens! I certainly would'nt want to see American Cars dwelling around Downing Street". The Americans will said, "When this trend continues, we are gonna have a recession. Thats not cool, isn't it?" The Japanese then responded, "Suzuki Toyota Aji No Moto Mitsui Sony Toshiba Sakai Sushi?" Dont Predict the move too much, let the market make the 1st move and tells you where it is going (breakouts). Just keep your umbrella ready. Keep watching the skies. You dont have to walk around with an open umbrella. Only when it rains you take the umbrella out. Either way, you will not get wet! But the next candle is so deadly predictable! I cant help saying it! I wont pay much attention to the fundamental news at the moment, it is more political and technicals. Remember, the channel usually wins!! __________________
Simple logic Quote:

Originally Posted by downunderdave40 Master Roshan, Why haven't you widened the top of your channel in post 1755 to include the last 3-4 candles in November? I am not sure why you chose to place the top of your channel where you did?

What is a channel Dave? A channel are 3 parallel lines where the distance of the botom channel to the median and the distance of the top channel to the median is equal. I got the median derived from the 6th candle. When I widen the top channel, the lower channel has to be widen as well. But the bottom channel (trendline) need to touch a candle somewhere. WHERE?

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---------ALL ORANGEROSHAN POSTS TILL POST #1965----Thank u very much Orange and all of u on the forum guys.. Hope u find this file useful Matias Matinez

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