John's Learning Thread

[john Fusco]

I just finished marking up my highs and lows like forexguy did on his video.

Please give me your feedback if I did it correctly or Not

Thanks

John

 

[danny]

I think you got it right

 

[john Fusco]

Thanks Danny!!

 

[danny]

Thanks Danny!!

btw, this is how i would draw my line

 

[john Fusco]

Thanks Danny!!

 

[john Fusco]

Next Question .. I posted this below the Market Commentary video as well

In terms of the potential trade set-up on Gold and how to deal with the price being below the MEAN.. Is this a situation where we are looking for price to cross the MEAN?

I think I understand the set-up just looking for a little confirmation..

Thanks,

John

 

[danny]

Next Question .. I posted this below the Market Commentary video as well

In terms of the potential trade set-up on Gold and how to deal with the price being below the MEAN.. Is this a situation where we are looking for price to cross the MEAN?

I think I understand the set-up just looking for a little confirmation..

Thanks,

JohnView attachment 1752

I tried to find TFG's comment on this pair but could not find one, probably its in the war room (i have no excess on that area because i am still not a member). Btw personally i cannot find a single reason for buy, but there's a sell opportunity for next week - DOUBLE INSIDE DAY ..


and as TFG pointed out (with regards to commodities), this setup becomes invalid if the breakout occurred during tokyo. The preferable breakout is during new york.

 

[john Fusco]

Question about S/R levels as I progress through my learning

Hopefuly the mark up on the screen shot is self explanatory

Thanks

John

 

[TheForexGuy]

From what you have displayed on the chart, the large yellow box doesn't offer any value as a support or resistance point of reference. The line just cuts straight through all that price movement.

The smaller yellow box is a good reference point for a swing level as the market moves downwards - but the main support level is the line where the double bottom recently formed that you have marked.

 

[john Fusco]

Ok Great.. So you would still keep an eye on that last swing point as the market needs to hold that point if it is to remain in the down trend..the Support at the double bottom is an obvious support level.. One of points I am having a hard time grasping with is "how do you read the price action" when the market approached these key levels?" do you just need to wait and see what reaction it has to these levels...

What I mean to say is " these levels ultimately have to be broken if the trend is to continue.. I seem to think that the market will never break these levels???

 

[danny]

"how do you read the price action" when the market approached these key levels?"

Yes. For example, if a bullish rejection appeared on that key level, chances are the market might bounce back up.

 

[john Fusco]

That's what I thought .. Thanks Danny you have been very helpful

John

 

[danny]

these levels ultimately have to be broken if the trend is to continue

for me, a valid trend continuation would be a situation where, after the market broke that double bottom(key level) the market then return to that same level and a bearish rejection appeared

 

[danny]

I seem to think that the market will never break these levels???

eventually it will