Is Trading Written in the ForeXmos S.T.A.R.'s ?
Originally Posted 5th March 2013 at 1130 Hrs and one of many Forexmospherian posts banned by our old friends back in the day.
As requested, this Foreign Exchange post has been brought back to the Blogsmosphere and is now dedicated once again to all dear friends and fellow Traders and Forexmospherians who came with us from Forexstreet and for others who have joined in from other Forums. Hopefully the Forex charts and descriptions help everyones' journeys.
Some further archived charts may be uploaded and worth considering and studying Dow Theory at the very least.
Hope you enjoy the blog and technical analysis too as it seems to strike the right chords and resonated with many forex traders at the time when originally posted at FXStreet. Forex Traders here value those who work hard and are dedicated to helping others, so onwards Traders looking forwards again to the new adventures in life. All decent folk are welcome to join us at Forexmospherians.com
What is actually Hidden and written in ForeXmos S.T.A.R.'s ?
S = Situation
T = Task
A = Action
R = Result
Perhaps, a Forex trader must first observe Price Action relative to the time frame they want to Trade and make an informed decision whether to enter long, enter short or wait. Question: Has the market hit Support or Resistance and is Price Action ranging or decide whether the PA has already peaked and is making a break out trade.
Examine 3 TF's and wait for all to correlate.
Mid TF is your Oracle.
Smallest is your entry to the Trade.
Examine the smaller TF to identify or wait for the set up to appear. Now return to the TF you intend on trading. You should now be perfectly synchronized and ready to trade. Make sure the largest TF has S/R identified.
Be patient and ready to enter the trade from the smaller TF. Be sure to double check the above TF is primed which in turn correlates to the one immediately above.
Introduce Risk Assessment for the Method Statement has already been written above. Set ISL to ISSL to Oracle TF. Trail as required or ISSL. Set Targets to normal settings.
Review observations, notes, calculations, entry exits P/L. Write the report and polish technique if required.
Executive summary should include any amendments and recommendations with High, Medium and Low Risk duly noted.
Hope as above so below helps.
Below some of the Basic Patterns identified and data translated:
Red Triangle S/R = Wedge = Broke Long
Green S/R = Channel = Broke Long
Thick Red Line = Head and Shoulders = Bears Shorted = Identified Bear stops = Line Resistance found.
S/R = Support and Resistance
Pole to Pole = Opposites
Price goes up, Price goes down all you need do is pick a business, TF and style to trade.