Friday, 4 September 2015

Gold- This is an example of a stunning profitable short and reversed long trade

OK, I am a busy man , 50+ years old an also have to earn a living and this site generates me next to no income for me. It is simply a labour of love. It is my wish not to monetise this site like people many would. However, I wish to share my discoveries and for you to verify that I am not talking a load of nonsense.
 So what is my motive in this appalling greed driven world? Could i be doing something for nothing? The truth is that  I sell you nothing. This is (and excuse me my USA/UK readers if i break into French) ma passion! 
So what is this post about? It is about gold in this instance. But it could be about Coffee/Cocoa/Sugar/eurusd/ES Z15/bonds/copper/Wheat/soyebans... infact any market. A note of caution here as all markets have their own characteristics and personality. But what i am showing you here could make you a profitable trader. ( pls note i do not say make you a millionaire- That depends on your overall trading system.. The truth is after i moved fro the UK to France I simply had the time and financial resources to observe the markets minute by minute for over 10 years. I have often told people that during my professional career when i worked in London 1981- 1994 for companies/banks like Merrill Lynch and Credit Lyonnais I never had so much time to spend watching markets as i have since 2005. No professional can ever be employed on such as basis by such a company. Trust me on this point: No one pays anyone to piss around with charts for a living> So? what this post about i hear you ask ? 
This is about organic price structure. This is about understanding price as an object with speed/momentum/velocity etc. I now often wish that  i had studied the physics/dynamics of fluid/liquid mechanics/engineering. 
The markets are simply our interpretation of price action using our 2 D data representation system of bars or candles. Price vs Time. Once you understand the anomalies and shortcoming of this system and how the data viewed is corrupted/distorted by scale and the data rep system itself  then you have a insight into price action- past and present and can make profitable future trade and price direction estimations with high probability.
OK, enough words. Anyone who has read this site ( and you must have to have any grasp of my take on Andrews pitchfork theory) will know that I attribute great importance to both historical data/PF's (ML's+R:'s), What you see below is a series of Gold charts with these pitchforks and reaction lines applied to them. So here below are some charts that if you apply the human mind to, you should begin to understand how to make profitable trades across multiple markets.
I regret I no longer have the time to teach/instruct but am willing to offer all free advice, time permitting and if your English permits. I speak French also.I hope these charts are as exciting to you as they are to me.
Here is a starter page: LINK
Remember about horizontals  
The original trade was short ( see the D/S RL and previous rally and failure. Objective was the green thin horizontal ML with a 4$ stop then we reversed today and took a very sshort term swing  long pos/stp $1121 & closed out before e/o day . You can use these lines for HPTS and we hope to take a long term LONG postion around the $1050-1100 once we break up past the arrowed area. This change of sentiment and direction will be confimed by a break above $1025-ish level and may well coincide with further equity meltdowns.

No comments:

Post a Comment