General Trading Discussion Digest for Friday September 29, 2017

3 new threads and 6 replies from 6 authors in the "General Trading Discussion" community ... Hi I am new to trading...took a course in options trading in feb 2017 and have been trading forex for the last few months. I am pretty much fed up... [Complete Currency Trader]() [General Trading Discussion]( [Post New Message](mailto:COMPLETECURRENCYTRADER-generaltradingdiscussion@ConnectedCommunity.org) [] Sep 29, 2017 started 5 hours ago, [Kamal]( (0 replies) [forex trading]( [external link to thread view]( 1. [Hi I am new to trading...took a course in...](#m0) Kamal started 11 hours ago, [Larry]( (0 replies) [September 19, 2016 - How to Avoid Unnecessary Stop Losses Educational Post]( [external link to thread view]( 2. [Thank you for the information you provide. I am...](#m1) Larry started 13 hours ago, [Toby Butler]( (0 replies) [Speculator software]( [external link to thread view]( 3. [Hi James. Out of interest, of the 18%...](#m2) Toby Butler started yesterday, [Dirceu Franciscop De Nadal]( (1 reply) [ROBOT]( [external link to thread view]( 4. [Dirceu, try Freelancer.com. It's a site that has...](#m3) James Edward started 2 days ago, [Steve Woods]( (4 replies) [Recording package]( [external link to thread view]( 5. [Hi,  I used Camtasia for a year making weekly...](#m4) Jenny Leyland started 2 days ago, [Anush Mohafez]( (3 replies) [technical issues on the dash]( [external link to thread view]( 6. [All right Brian, thank you for your feedback. ...](#m5) Anush Mohafez 7. [Yes that image shows a drop in data. Effectively...](#m6) James Edward started 3 days ago, [Roderick Burdon]( (4 replies) [Currency Strength Chart]( [external link to thread view]( 8. [Darryl, all working again now. The online...](#m7) James Edward started 3 months ago, [James Edward]( (13 replies) [Ask James Anything]( [external link to thread view]( 9. [To some extent, yes I think mean reversion plays...](#m8) James Edward [] [top](#toca) [next](#m1) 1. [forex trading]( [Reply to Group](mailto:COMPLETECURRENCYTRADER_generaltradingdiscussion_44291586-82c0-4c31-a69b-17be750664ad@ConnectedCommunity.org?subject=Re: forex trading) [Reply to Sender]( [Kamal]( Sep 29, 2017 6:42 PM [Kamal]( Hi I am new to trading...took a course in options trading in feb 2017 and have been trading forex for the last few months. I am pretty much fed up with my way of trading...I read charts, listen to the experts online and also have recently subscribed to a trading platform as well but of no use. I was doing good in the beginning but then started to lose and lose and lose a bit more. I have lost 50% of my account value so far. I am so afraid to even touch my account now. I have started to do some paper trading now but find it boring. I guess I am going to give up soon...not very happy! Sorry but thought I'd convey my feelings here with the hope that I will find some kind of help to put me back on track! ------------------------------ Kamal ------------------------------ [Reply to Group Online]( [View Thread]( [Recommend]( [Forward]( [] [top](#toca) [previous](#m0) [next](#m2) 2. [September 19, 2016 - How to Avoid Unnecessary Stop Losses Educational Post]( [Reply to Group](mailto:COMPLETECURRENCYTRADER_generaltradingdiscussion_a27b1c7d-2c29-40d4-9cd3-b42987871bcc@ConnectedCommunity.org?subject=Re: September 19, 2016 - How to Avoid Unnecessary Stop Losses Educational Post) [Reply to Sender]( [Larry]( Sep 29, 2017 12:14 PM [Larry]( Thank you for the information you provide. I am new to trading and to FX. I listened to your video and began looking through the education section. I came across the subject post and read the information. I was confused on 2 points, the first was I did not see any specific on how to avoid the SL problem. My only conclusion was that one should widen the SL. Do you suggest any particular SL setting other than your 20 PIP rule? Also, I noticed on the chart when the AUD arrow pointed downward and you indicate that this shows momentum, the recommendation was a buy. I was under the impression that a sharp turn down would be an indication to sell in this instance as the AUD was paired with the JPY which appeared to point sharply up. Did I misunderstand? I am looking for a place to learn and have very little money. I need to know that I can trust the teaching. One more thing, what do you think of the thinkorswim FX trading platform? Thank you again for all you are doing. May we all know the love and salvation of Yeshua (Jesus). Have a Good Shabbat. Best, Larry Cheshier [Reply to Group Online]( [View Thread]( [Recommend]( [Forward]( [] [top](#toca) [previous](#m1) [next](#m3) 3. [Speculator software]( [Reply to Group](mailto:COMPLETECURRENCYTRADER_generaltradingdiscussion_5233abfd-5f16-4769-9529-2adb8fae567d@ConnectedCommunity.org?subject=Re: Speculator software) [Reply to Sender]( [Toby Butler]( Sep 29, 2017 10:48 AM [Toby Butler]( Hi James. Out of interest, of the 18% that are speculative traders and work in the banks etc. what software/edge do they use to beat the market? Regards Toby [Reply to Group Online]( [View Thread]( [Recommend]( [Forward]( [] [top](#toca) [previous](#m2) [next](#m4) 4. [Re: ROBOT]( [Reply to Group](mailto:COMPLETECURRENCYTRADER_generaltradingdiscussion_a096d7d0-99bf-42ab-8b7c-903cc824e583@ConnectedCommunity.org?subject=Re: ROBOT) [Reply to Sender]( [James Edward]( Sep 29, 2017 2:23 AM [James Edward]( Dirceu, try Freelancer.com. It's a site that has skilled people in just about every area of expertise that you could imagine. You post a description of the job you want done, and qualified individuals will bid with prices. You pick the best one. There are many MT4 EA coders on there. You've brought up an interesting point though about robots being able to do much better than traders. I've recently talked about this for one of the lessons in the advanced cybernetics course with Alexei, and while EA's can be better than most un-trained traders initially, the truth is, to be a good trader you need emotion, as well as discipline to follow rules, and no robot can out-perform a well skilled human trader. Not trying to put you off (believe me I've had hundreds of robots coded) just food for thought, and a reminder that you will still need good human oversight and control to know when to step in and override the robot depending on market conditions. :-) ------------------------------ James Edward London ------------------------------ [Reply to Group Online]( [View Thread]( [Recommend]( [Forward]( ------------------------------------------- Original Message: Sent: 09-28-2017 17:45 From: Dirceu Franciscop De Nadal Subject: ROBOT I am new here, live in Porto Alegre very south of Brazil, I have been trading stock market for 17 years, What brought me to forex was a huge oportunities we have everyday at this market. started at forex in June/17, after a couple of weeks started looking for a single chart of each individual currency, found mataf.net. Since I have a trade system with some experience on it, am thinking of run this system on each individual currency. The fact is: A system can do much better than a trader, trying to find someone to code it. Dirceu Francisco De Nadal dirceudenadal@globo.com [] [top](#toca) [previous](#m3) [next](#m5) 5. [Re: Recording package]( [Reply to Group](mailto:COMPLETECURRENCYTRADER_generaltradingdiscussion_44b90ef0-7c7f-49fb-bc66-d9addf252d01@ConnectedCommunity.org?subject=Re: Recording package) [Reply to Sender]( [Jenny Leyland]( Sep 29, 2017 1:09 AM [Jenny Leyland]( Hi, I used Camtasia for a year making weekly videos for a forex guy. It was excellent. I have tried the free one they offer and others but, for me, Camtasia outstrips them all. Currently on my mobile I used an app called VideoShow which is free although I upgraded to the Pro for a few dollars. It is fantastic for short videos, very easy to use, edit, add icons. music, voice overs etc.  I don't think it would be good for the videos James does but all things are possible. ------------------------------ Jenny Leyland ------------------------------ [Reply to Group Online]( [View Thread]( [Recommend]( [Forward]( ------------------------------------------- Original Message: Sent: 09-28-2017 10:25 From: Steve Woods Subject: Recording package Hello Thanks guys for your help i will check these ones out ------------------------------ [Steve ] Woods Steve ------------------------------ Original Message: Sent: 09-27-2017 12:39 From: Steve Woods Subject: Recording package Good afternoon everyone Could anyone suggest a recording package to video my trading sessions to help with feed back loops.I did ask this question in Brian's class on Tuesday afternoon. I know this can be done online with a search but i wondered if any of you have been using the same one for some time and found it beneficial and most of all user friendly. Have a great trading week ------------------------------ [Steve ] Woods Steve ------------------------------ [] [top](#toca) [previous](#m4) [next](#m6) 6. [Re: technical issues on the dash]( [Reply to Group](mailto:COMPLETECURRENCYTRADER_generaltradingdiscussion_5f12aeb9-0558-4166-8c42-4d3d23ea83e3@ConnectedCommunity.org?subject=Re: technical issues on the dash) [Reply to Sender]( [Anush Mohafez]( Sep 29, 2017 2:58 AM [Anush Mohafez]( All right Brian, thank you for your feedback. Well I guess the file names hint the date and the time of the picture taken.  I will in future always name them specifically so that we can go deeper into this issue.  And I have seen Valerie's comment as well, thank you Valerie.  I am also living very rural in the mid mountains in Switzerland, internet is an issue here too...  I think there are various reasons why the dash can freeze, one side coming from the server and data stream the other from the internet... Have a good day, Anush ------------------------------ Anush Mohafez Retail FX Cherry Picker Switzerland ------------------------------ [Reply to Group Online]( [View Thread]( [Recommend]( [Forward]( ------------------------------------------- Original Message: Sent: 09-28-2017 07:56 From: Brian Stickney Subject: technical issues on the dash Hi Anush, Thank you for the "bump" on this topic.  I have only seen that happen once or twice during my trading hours.  If you see a flat line like that, it would mean that there was some sort of data interruption with the feed that services the dashboard. As with anything that relies on data coming in from external sources we could see a brief interruption from time to time, but this certainly should not happen often.  In the months of using the new dashboard, I have only seen this happen once or twice. If you see it happen again, please note the time and send an email over to support so that we can investigate a bit further. Kind Regards, Brian ------------------------------ Brian Stickney ------------------------------ Original Message: Sent: 09-27-2017 05:32 From: Anush Mohafez Subject: technical issues on the dash Hi, I reported some while ago in the library some technical issues: [here]( Can anyone explain what happens if currency lines seem to freeze? And is the library overseen by CCT stuff as well? Cheers, Anush ------------------------------ Anush Mohafez Retail FX Cherry Picker Switzerland ------------------------------ [] [top](#toca) [previous](#m5) [next](#m7) 7. [Re: technical issues on the dash]( [Reply to Group](mailto:COMPLETECURRENCYTRADER_generaltradingdiscussion_9393cf7e-79fb-4ccc-97a5-07ee5faecd45@ConnectedCommunity.org?subject=Re: technical issues on the dash) [Reply to Sender]( [James Edward]( Sep 29, 2017 4:47 AM [James Edward]( Yes that image shows a drop in data. Effectively the flat lines display a period where no new ticks or prices changes were counted. It happens very rarely but as with anything involving transferring data from one location to another across the globe, it will happen from time to time. I've noticed it myself about 3 times since we've had the new dashboard. ------------------------------ James Edward London ------------------------------ [Reply to Group Online]( [View Thread]( [Recommend]( [Forward]( ------------------------------------------- Original Message: Sent: 09-29-2017 02:57 From: Anush Mohafez Subject: technical issues on the dash All right Brian, thank you for your feedback. Well I guess the file names hint the date and the time of the picture taken.  I will in future always name them specifically so that we can go deeper into this issue.  And I have seen Valerie's comment as well, thank you Valerie.  I am also living very rural in the mid mountains in Switzerland, internet is an issue here too...  I think there are various reasons why the dash can freeze, one side coming from the server and data stream the other from the internet... Have a good day, Anush ------------------------------ Anush Mohafez Retail FX Cherry Picker Switzerland ------------------------------ Original Message: Sent: 09-28-2017 07:56 From: Brian Stickney Subject: technical issues on the dash Hi Anush, Thank you for the "bump" on this topic.  I have only seen that happen once or twice during my trading hours.  If you see a flat line like that, it would mean that there was some sort of data interruption with the feed that services the dashboard. As with anything that relies on data coming in from external sources we could see a brief interruption from time to time, but this certainly should not happen often.  In the months of using the new dashboard, I have only seen this happen once or twice. If you see it happen again, please note the time and send an email over to support so that we can investigate a bit further. Kind Regards, Brian ------------------------------ Brian Stickney Original Message: Sent: 09-27-2017 05:32 From: Anush Mohafez Subject: technical issues on the dash Hi, I reported some while ago in the library some technical issues: [here]( Can anyone explain what happens if currency lines seem to freeze? And is the library overseen by CCT stuff as well? Cheers, Anush ------------------------------ Anush Mohafez Retail FX Cherry Picker Switzerland ------------------------------ [] [top](#toca) [previous](#m6) [next](#m8) 8. [Re: Currency Strength Chart]( [Reply to Group](mailto:COMPLETECURRENCYTRADER_generaltradingdiscussion_85e8bd9a-8449-4ed1-a7a9-8a1d03e842df@ConnectedCommunity.org?subject=Re: Currency Strength Chart) [Reply to Sender]( [James Edward]( Sep 29, 2017 2:26 AM [James Edward]( Darryl, all working again now. The online version does crash now and again due to it being on the site and influenced by the user load. Have you downloaded the version that runs in your own MT4. It's more reliable if you're using this to trade every day. Or there's the advanced dashboard that runs on a different dedicated server and doesn't suffer the same down time problems. ------------------------------ James Edward London ------------------------------ [Reply to Group Online]( [View Thread]( [Recommend]( [Forward]( ------------------------------------------- Original Message: Sent: 09-28-2017 19:39 From: Darryl Stickney Stickney Subject: Currency Strength Chart Chart stuck again it hasn't changed all day. ------------------------------ [Darryl] [Stickney] [Renton [WA] [206-794-0458] [Darryl] ------------------------------ Original Message: Sent: 09-26-2017 12:54 From: Roderick Burdon Subject: Currency Strength Chart Hi Folks I'm having difficulty relating colours of the lines on the chart to the tell-tale colours at the top, even on a decent-sized (19in) monitor. CHF and CAD are so similar that it is hard to identify them or tell them apart on the chart and the same goes for EUR and GBP, The tell-tale for USD is invisible and that for NZD is very faint. I've watched James's installation video again and can see the facility for editing the colour but I don't think there are are a sufficient number of distinctive colours in the palette to provide clear differentiation. I don't think I have any colour-blindness problems,either. Is it just me needing to stop being a cheapskate and spring for a better monitor or are others struggling? One answer might be stronger lines on the chart to make the colours stand out more, or text signals on the chart to identify the currency if you hover the cursor over a line? One for the wish list in in a future update of the software, perhaps? ------------------------------ Roderick Burdon ------------------------------ [] [top](#toca) [previous](#m7) 9. [Re: Ask James Anything]( [Reply to Group](mailto:COMPLETECURRENCYTRADER_generaltradingdiscussion_d6b4ed93-3700-4bb6-b5d1-a661ec1b263c@ConnectedCommunity.org?subject=Re: Ask James Anything) [Reply to Sender]( [James Edward]( Sep 29, 2017 2:11 AM [James Edward]( To some extent, yes I think mean reversion plays a role in forex on a larger scale A, insomuch as due to the necessity of equilibrium between currency values, then as one goes up, another must go down and so on. Eventually they will all keep balancing each other out back to a mid point. However, I don't think mean reversion plays a role with things like moving averages. Price doesn't return to a moving average - the moving average returns to the price. Funny you should mention this because it's exactly the example we we use week 2 of the cybernetics course talking about causation and correlation this coming Monday. No I don't reference higher time frames when trading lower time frames. All new moves start on the smallest time frame first, so higher time frames are "lagging" if you like. Maybe that's not the correct term. In reality I think lower and higher time frames are unrelated. What moves price from minute to minute on an intra-day basis is market micro-mechanics at the immediate depth of market level, and the commercial bank desks packets for that particular working 8 hour day.So from one day to the next, and intra-day, it's the shortest of time frames that lead the higher time frame, up to the end of the working day. What moves price over weeks and months is capital flows and macro economics. These are completely different and are driven by fundamentals. It's two different styles of trading. No, I never take counter trend trades. What's happening now is more likely to keep happening so I'd rather follow the market rather than try to predict a reversal. Or do you mean trade small pull backs in the opposite direction to the trend? In that case, it's still no. A trend for me is the direction of a currency for a particular market session. If a currency is strong during London, but then starts to pull back, I won't trade it down as long as it is still above it's starting zero point from the open. That's just a personal preference for me. ------------------------------ James Edward London ------------------------------ [Reply to Group Online]( [View Thread]( [Recommend]( [Forward]( ------------------------------------------- Original Message: Sent: 09-28-2017 09:43 From: Robert Subject: Ask James Anything Thank you very very much Mr Edward for taking the time and effort to answer my questions I really appreciate it!  Most often these key bits of advice make all the difference.  Everything you say makes so much sense!  Sorry to bombard you with noob questions especially if they have been answered elsewhere.  I was also wondering please... Q)  Does the concept of mean reversion (i.e. price eventually returning to a moving average) ever play a factor in your decision to take a trade? Q)  When trading the M5 timeframe do you ever reference the higher timeframes for your trade decisions? Q)  Do you take counter trend trades if the Currency Strength Indicator gives you a strong signal to do so? Thanks heaps in advance, Robert ------------------------------ Robert ------------------------------ Original Message: Sent: 09-27-2017 14:06 From: James Edward Subject: Ask James Anything Hi Robert, I personally trade with 5 minute charts. The reason for this is due to the ATR stop loss tool that I use. 1 minute charts would give me a little too tight of a stop loss for my preferences. I never wait for a price bar to close. The open and close of a bar is meaningless as there isn't actually an open or close... the price is in continuous motion. I'll enter a trade as soon as I see the price moving the way I want it to, regardless of whether a price bar has just started or is about to end. I've never really looked at renko charts in detail, but from my understanding, they don't show the full range of price movement do they? They work in bricks of fixed size and if the price doesn't create that size, a brick is not painted. So the real price may go up 10 pips, but if the renko is set to 20, no brick appears? For me, price is the most important thing we can analyse so I wouldn't want to use any indicator that removes or ignores any portion of it. ------------------------------ James Edward London Original Message: Sent: 09-27-2017 12:40 From: Robert Subject: Ask James Anything Btw.  Mr Edward I am soooo sorry.  I sincerely apologize for spelling your surname incorrectly.  I have 2 friends with the surname of Edwards and my little brain was on auto-pilot.  [Facepalm] ------------------------------ Robert Original Message: Sent: 09-27-2017 07:35 From: Robert Subject: Ask James Anything Hi Mr Edwards (and all other fellow members), I am new here so thank you for this great opportunity, I really appreciate it!  I am also relatively new to Forex and from what I can tell so far I like your style, it makes perfect sense.  May I ask please regarding your own personal Forex trading approach please... Q)  Out of the M1, M5 or M15 timeframes which is your favorite? Q)  Do you always wait for the bar/candle to close before entering a trade? Q)  Would you recommend trading off Renko charts? Thanks heaps in advance, Robert PS.  My sincere apologies if these questions has been answered elsewhere, I tried searching but I can often be blind. ------------------------------ Robert Original Message: Sent: 06-22-2017 02:33 From: James Edward Subject: Ask James Anything Stephen, When a chart goes in to a tight range, you need to look at that in context of the day so far. All a tight range really tells you for sure is that there is no real price imbalance or activity right now, but that doesn't mean it won't change later. If London opens and usually has a 80 pip range for example, and in the first hour only moves 5 pips, it is unlikely that's all for the day. There is likely to be some increased movement later. On the other hand if the price moves 120 pips in the first 2 hours and then goes in to a narrow range, then it is more likely that there will be no more movement (or very little) in the same direction and the currency is exhausted. Always try to put things in context of the wider perspective such as time of day, the movements so far, the momentum of the move (speed and range over time) etc. ------------------------------ James Edward London Original Message: Sent: 06-21-2017 08:00 From: Stephen Woods Subject: Ask James Anything James On your point about daily trading ranges, when we see a chart going into a consolidation phase can we assume that a daily trading range has been reached and the instututional orders have more or less finished form that particular day ------------------------------ Stephen Woods Original Message: Sent: 06-21-2017 07:32 From: James Edward Subject: Ask James Anything Maryna, I don't use support and resistance. There is zero evidence to suggest those things even exist and lots of evidence to show that random lines are equally as valid (not valid at all). For support or resistance to be real, it would mean excess limit orders at certain price levels. If a level was resistance above the current price, it would mean there had to be an excess number of limit sell orders there. Vice versa support would mean excess limit buy orders below the current price. Limit orders are visible on level 2 depth of market so everyone would know in advance where these huge orders are. To be hidden, pending orders would need to be market orders, and in this case they would act totally opposite to support or resistance and would in fact accelerate the price in the same direction once price reached and triggered the orders. Support and resistance, like almost all technical analysis, is a figment of imagination born of a human mental trait called Apophenia, which is a tendency to perceive meaningful patterns in random data. We see faces in clouds and patterns in random price movements. None of it is real and doesn't offer any edge in trading. My style of trading is very simple. I buy currencies going up and sell them going down. I don't know why they are going up or down and I can't predict that direction or how long  it will continue, but I do know that due to the order flow structure and micro-mechanics of an auction market environment, if I pair strength against weakness and wait for momentum (which is the rapid consumption of liquidity behind the market), I have a slight edge that will play out over the long term. Your breakout trading is a great example of something simple, that works because it follows the market. Your use of daily ranges is a good technique. A pair will have an average daily range because of how much interest there usually is on the pair, and how much money is usually exchanged. To move the EURJPY 100 pips in a straight line (1000 price levels), will typically take a billion Euro's. That's a lot and rarely does any participant or group of participants deal with more than that in a day; hence 'average' ranges. If the price has reached the daily average, it is a sensible bet that it won't go much further. Obviously it can, but more often that not it won't. Reaching a daily range doesn't mean the price will reverse either... just that normally it has run out of money and not much more will happen. ------------------------------ James Edward London Original Message: Sent: 06-21-2017 02:38 From: Maryna MURRAY Subject: Ask James Anything Hello James, I watched the video you posted yesterday and found it very informative to see how you use currency correlations in your trading. I've done some research of correlations and for instance that OIL is correlated to CAD and dairy is correlated to NZD for example, so I will always watch the price of Dairy and impact on NZD. This is more related to commodities affecting currencies though, so I will definitely do more research on currency correlations and thanks so much for bringing this to our attention. I also noticed that you don't use resistance/support in your strategy (video), so how do you establish your entries/exits and targets or do hedge-fund managers use other proprietary tools or as I often hear, Pivots? I've tested pivots, but found that they are often "missed" and then tested a missed pivot indicator that seems to be more effective, but I still find "clear" charts with minimum (lagging) indicators the best. No doubt that hedge funds are not using resistance and support, but for now, this is all I have to guide me and I also use the Average Daily range to determine how much a pair can possibly move in a day. Your inputs will be much appreciated! Maryna ------------------------------ Maryna MURRAY Original Message: Sent: 06-19-2017 05:33 From: James Edward Subject: Ask James Anything Please use this thread to ask any and all trading related questions, and I'll do my best to provide answers and advice to help. ------------------------------ James Edward London ------------------------------ You are subscribed to "General Trading Discussion" as {EMAIL}. To change your subscriptions, go to [My Subscriptions](. To unsubscribe from this community discussion, go to [Unsubscribe](.