An example of how to spot a good trade #forex

FX:AUDJPY   Australian Dollar/Japanese Yen
Friends, I haven't had time to post any of my trades in recent days. So i thought i would post some of the trades I took recently. I know this is after fact, but the aim is just to share the knowledge and experience. I made 4 trades, 3 winners and one loser. I will post them throughout the week as i am taking a small rest from markets during the election week.

This is an example of finding areas of interest on the daily chart then moving to the lower time frame for the trigger.

  • On the left hand side daily chart , by the end of october the price was testing a a key area where the long term falling trend line meets the 200-days simple moving average . At that stage, i was monitoring the pair for signs of a bearish reversal to confirm a rejection of that resistance area , especially that the daily RSI was showing a bearish divergence as well.

  • I moved to the four-hour chart awaiting the trigger. In this particular case, the trigger was a three drive pattern that evolved and completed at 80.54. The price was making new highs but the RSI wasn't yet signalling a divergence on the four-hour chart as well.

  • Afterwards, the price formed a small hanging man candle on the four-hour chart, and accordingly and due to all these signals it was a setup that was worth             taking. I initiated a short at the opening of the candle following the hanging man . My target was at the first major daily support level . My stop was above the 1.618 extension for the latest bearish wave(x-y) as shown on chart. That resulted in a 2.7 risk to reward.
I hope this example will help you think and spot better trades in the future
My best regards,
My trading ideas channel

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Skype: Technician - The forex channel
Thanks for the explanation. Few "pro traders" here on trading view care to explain their trade setups like the way you have done.
+1 Reply
Thank You. tradingview is supposed to be about sharing anc exchanging knowledge. But unfortunately it has deviated to a platform where ppl sell services and provide zero value.
+13 Reply
wtfrtr Technician
Funny you mentioned this as I have another thread going on with one of the so called "top authors" along these lines. I think people selling services to newbies should provide their returns (audited) and/or tax returns just to make sure these upcoming traders are not being duped into buying which they might regret later and the so called expert is really one who he claims to be
+4 Reply
It might be a bit difficult to provide such information. But I agree for some sort of audit.

It is getting spammy and smells fraudulent.

At Least a performance metric should be added to give some insight on the author. Especially that they do not provide real trades, just general directions fooling newbies. Also they use ppl working with them to praise their work and attack anyone that tries to oppose them.
wtfrtr Technician
Its not at all difficult and it should be straight forward, and if the person gives some excuse, more so reasons for newbies to run far far away. As an hedge fund professional (in nearly all of my experience) if we don't provide all the necessary prospectus, returns to our investors they show us the door right away and tell us don't bother to step foot again, which I agree should be the case for these providers as well.
Very well explained thanks for sharing, I always like your analysis
+2 Reply
Technician TOP qureshi009
I have set email alerts for your posts, always so inspiring and unique in simplicity, even though I and many more are working with the very same tools as you. Thanks for sharing.
+1 Reply
Thank you. Its always great to read your positive comments and feedback.
+1 Reply
Great explanation. Same thinking and confluences here.
+1 Reply
Thanks for the free explanation. This knowledge will make me a profitable trader on the long term.
Hope you could post more views!!!!!!
Thankyou for the effort you put in and enjoy learning from you. My fellow trades and myself encourage you too keep posting as it is valuable content and appreciate what you do. I also think it is necessary for all trainers around the world to provide a current live account to show their progress in their trading to show consistency. I also think the account should not be less than a years worth of records as the market has it's seasons that will test all of us. Keep up the good work. cheers
Thanks for sharing. Appreciate your knowledge and experience
It's reall nice, thank you sir!
Thanks for sharing ..thanks for the course !!
Out of curiosity: do you have any information of past results, ie. a track record of your forex trading? Charts look solid.
Thanks for sharing.
Really valuable and informative
Thank you for your insight and articulation. It was very helpful in understanding the rationale behind the trade, much appreciated.
Awesome! I have some great success in trading but i admire your ability to articulate and teach so effectively. Kudos!
Well said
one more trade after fact lol
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