To start I am brand new to Forex. I have only been trading for a month now and in the month i have turned a 100$ account into 7$. it is currently up to a whole 20$ and i would like to share what i have learned so far currently involving the EUR/USD pairs current movement.
1:M's and W's and slanted M's and W's
after sitting in the trading view Forex chats i notice that after we reach the top (probably) people seem to be doing one thing here.
Going long and going short with tight stops. everyone seemed sure that it was either going up or going down and wanted to "get in" then we got 3 M/W patterns. looking at historical charts i see these in trend change area's often and I believe they are simply exist because large players can somewhat reliably guess the new trend direction and want your liquidity.
2: how yesterdays psychology hit today and where its going
most people in the chat seem to think its going to go up or go down and as we know retail traders (myself included) and 90% wrong. in this case its because as i have noticed from the chats the general consensus is that its either going to go up or down. In contrast very very few people argued with the preceding uptrend. In yesterdays case most people where still 90% wrong either way the M's and the W's today knocked through most of the lines we are trained to up our stop losses slightly above or bellow. Seems most of the people going long got stopped out just as well as those going short myself included.
I personally believe a bearish trend will eventually break during London after a quick break up this is because the last bullish trend broke high enough above the resistance line today and triggered enough stop loss liquidity for larger players to go short.
3:My Strategy
* Strategy's should be based around trends in my opinion every time I start trying to Guess trend change I lose 100% of the time.
1H no clear 1 hour trend as such i recommend not holding a position to avoid whipsaws until a strong trend is apparent.
15M scalp long with tight SL at the bottom of quick large bearish candles TP 8 pips
I am new and welcome criticism that is how we learn. Thanks
1:M's and W's and slanted M's and W's
after sitting in the trading view Forex chats i notice that after we reach the top (probably) people seem to be doing one thing here.
Going long and going short with tight stops. everyone seemed sure that it was either going up or going down and wanted to "get in" then we got 3 M/W patterns. looking at historical charts i see these in trend change area's often and I believe they are simply exist because large players can somewhat reliably guess the new trend direction and want your liquidity.
2: how yesterdays psychology hit today and where its going
most people in the chat seem to think its going to go up or go down and as we know retail traders (myself included) and 90% wrong. in this case its because as i have noticed from the chats the general consensus is that its either going to go up or down. In contrast very very few people argued with the preceding uptrend. In yesterdays case most people where still 90% wrong either way the M's and the W's today knocked through most of the lines we are trained to up our stop losses slightly above or bellow. Seems most of the people going long got stopped out just as well as those going short myself included.
I personally believe a bearish trend will eventually break during London after a quick break up this is because the last bullish trend broke high enough above the resistance line today and triggered enough stop loss liquidity for larger players to go short.
3:My Strategy
* Strategy's should be based around trends in my opinion every time I start trying to Guess trend change I lose 100% of the time.
1H no clear 1 hour trend as such i recommend not holding a position to avoid whipsaws until a strong trend is apparent.
15M scalp long with tight SL at the bottom of quick large bearish candles TP 8 pips
I am new and welcome criticism that is how we learn. Thanks