Higher low, lower high system
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thread: Higher low, lower high system

  1. #1
    Senior Member vctrgrr's Avatar
    174

    Higher low, lower high system

    The original idea behind the thread, a fantastic trader said to me that the very first retracement is your best trade. The first higher low/lower high.

    Trading is your battle between trend and support and resistance. You can never go wrong with a higher time period analysis to see SR levels.

    The most recent HL/LH version is as near a 5 minute standalone system as I'd love to get to (with obvious reference to SR levels).

    OK so current setup focus on GU and GJ, 5 minute 15lwma, 3 pub reversal indi with 9 9 1 stoch filter. GU and GJ to agree (both on same side of the lwma). Same setup with EJ and EU to agree. Of course when the yens are doing their own thing EJ and to agree. Looking to go into the HL/LH's in and around the 15lwma, either a HL/LH that crosses the lwma or after price crossed the first HL/LH which follows.

    The three pub reversal indior (link https://www.cliqforex.com/general-fo...-hasegawa.html) was composed to help indie these reversals. It'll alert with a knob down whenever the sign candle has closed under the previous two candle sticks (among the two prior has to be a positive close). It'll alert with up an arrow whenever the sign candle has closed above the previous two candle sticks (among the two prior has to be a drawback close). The arrow is placed above/below the candle which follows the sign candle. So its strictly based on price action and by the aforementioned definition ching an initial turn and then resumption of trend transfer as one of the candles must have shut contrary to the management of your trade.

    Below is your 123 reversal when the price fails to create a lower low or higher high
    1. Trend line busted (I don't use TL's)
    2. Lower high within an uptrend, or a higher low in a downtrend.
    3. Break under the previous low in an uptrend, or above the previous high in a downtrend
    At stage 3 that the reversal is supported and everybody#8217;s brother is getting in. A stop run frequently follows to re-test the penetration at stage 3. Faster traders can get short at the X.

    Attached Images


    Attached Images


    Typically we enjoy candles with little/no wick at the direction of this trade. Stops: Measure swing high/low. Exits: Up to you. On GJ when LO has a move in 1 direction then the path that is reverse ought to have a solid move. 50 pips on GJ common to SR loions, target pivots and 50/100 levels.

    Watch the attached GJ chart with all the blue rectangles. In and around LO, first commerce round the lwma cross, HL, GU agreeing, little/no upper wick buy place 161.50. About 90 minutes after LO, lwma cross, LH, GU agreeing, little/no lower wick, market place 161.88.
    https://www.cliqforex.com/attachment...1478946084.ex4
    https://www.cliqforex.com/attachment...1679543564.mq4
    https://www.cliqforex.com/attachment...2117415664.ex4
    https://www.cliqforex.com/attachment...1643512252.ex4
    https://www.cliqforex.com/attachment...5827377813.mq4


    https://www.cliqforex.com/attachment...1612465387.tpl
    https://www.cliqforex.com/attachment...1473067055.tpl

  2. #2
    Senior Member vctrgrr's Avatar
    174
    Due to work pressures I haven't been watching aud pairs for some time. Buddy of mine gloating about gbpaud transactions. Nice.

    System admissions ought to be evident. First opportunity is the cross of the lwma (closed candles) subsequently the hl/lh which follows.


  3. #3
    Senior Member vctrgrr's Avatar
    174
    As good an illuion of test of range that you will ever see. In LO double top, then a LH, price comes down to the low at 1.3014, small reaction up (which I love) another lh. Fantastic ma angle separation, little/no lower wick. If you search test of range http://vantagefx.blogspot.co.za you'll see several articles similar setups. picture
    Little response up v not so small. From the grim block left 145.64 around 145.92 then 145.74 to 145.98 not so small. From the move up to 145.98 that the LH/LL cycle also broken.

    Blue block directly price bounces from 145.74 (same as before) to 145.86, less than half of the preceding bounces. LH/LL cycle complete and virtually no lower wicks with this move.

  4. #4
    Senior Member vctrgrr's Avatar
    174
    How many times does this installment happen in a 10 year period? I suspect not many. It conserves capital because you are going to be making quite few trades each year.
    And now, nice LH's after the UK news (11.30 chart time).

    GU/GJ concur, HL/LH, 1st trade cross of LWMA, 3 bar reversals, candles with little/no wick in direction of trade.

    Thats a lot of trade opportunities in a week and thats only GU/GJ.


  5. #5
    V.. 2 trades I took last night..based in your rules. .5 minutes GBPAUD and 1 hr DAX. . THKS


  6. #6
    Hi Mr V Just read your update to article 1 and its now, as far as I am concerned, officially the best thread ever to grace the pages of FF.... if anyone wishes to understand how to become a successful trader then study the new article 1 on this thread, it is going to work on any time and some other market you care to mention, its everything you have to trade any market. However you'll need a few hours of chart time with the right mindset and then put in a spoonful of cash management and you'll have the perfect recipe for success... Bravo Mr V awesome thread.... ...
    Yes Agree 100%. .Just browsing throu one forgets how good your stuff is and just how much thought you've put into it. .2 questions when you've got time. . A.. I ave were when the candle closes strong below opens over the 20 weighted . .go short..or visa versa. . I believe I saw the article on your own blogi. . I cant loe it?? Could you guide me to it or better still your latest ideas on please..it has been working well for me on the ASX 200 and the Dax..on 1 min 5 min 15 min and even 1 hr..Also a few years back you explained to me the way to construct a Fozzie. . or fozzy. . I have forgotten how and lost my first one when my comput blew..any opportunity off rexplaining..THKS in advance. . Hope

  7. #7
    Senior Member vctrgrr's Avatar
    174
    GB : 16 image
    Interesting I see the three bar reversal with stoch 12 12 1 indied 1 candle earlier than the 9 9 1 that I am currently using. If I can remember why ??? changed

  8. #8
    1 minute asx 200. . Couple trades this morning. . I took with 10/75. .lws. . thks V.. Yellow line is available line

  9. #9
    Senior Member vctrgrr's Avatar
    174
    A GJ market at 149.22 got removed at BE once I had been away in my desk.

    Looked at GU just now but each time it came down to 1.3250 volume was coming in, and in the midst of a triangle past move a LH, GJ didn't agree marginally above ma's and news soon. Add it GU sell.

  10. #10
    quote See both attached picture links on the first post. The first HL/LH is in a turn at price in the end of a run (or in London open after a little fake out movement), those that follow will most likely be a fracture of a swing high/low. Even after a bit of a run if there is a feeble CT movement pre/early US session a resumption of the London session tendency could just as easily restart. After US open (red line on above charts another issue). What H1 candle stand patterns do you mean? I looked in several patterns and got down to the 3 bar reversal...
    I was always scared to exchange the first HL or LH without confirmation of trend modifiion by HH or LL

    now I'd love to test trading a single H1 candlestick reversal pattern on M5 - doji, hammer, inverted hammer, hanging guy, etc.. when we have this type pattern, then we await the first HL or LH on M5, we set our SL over or under the last swing and TP dimensions is equal to our SL... for me this is the simplest method, since trading M5 timeframe alone, without confirmation from the higher TF is too hard for me

    here's a screenshot of what I will try to exchange - there was a bullish doji on H1 in 21:00 and my entry would be about the first HL with stop loss under the last swing (some thing about 10 pips):


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