519 - GBP creating an action

Both charts are similar.
However, one doubt I am having is regarding the pin itself.
The tail is not really 3/4 of the candle.
The candle itself is also not that large, or significant, compared to its predecessor.
I remembered reading before, when there are many large candles before, it may be the momentum is taking a breaking for the moment.

519 - thoughts on Ray Dalio video*

Ray Dalio did an amazing video, trying to educate people about the economy.
It seems simple, but it is those video that I do not really get the point.
I rewatched it again, and somehow it gets a little bit clearer.

The debt cycle is like human.
We are optimistic, so we spend more, and with the help of credit.
The same human is like the economy.
When people are very positive and excited, we all put out our money to spend and invest.
Everything starts to go up.
That is when the down slope of the cycle happens.
Something burst, and slowly things get dragged down by it.
Then we go back to the way of cutting spending, and being thrithy.
We are also scared to invest, and work hard to survive.
But it is also the time when assets are good in value.

519 - follow-up

This seems to becoming a potential trade.
But I must remember, it is only high probability.
I hope that the money that I have left can allow me to enter at least 2 lots.

519 - nice but...

The tails at both ends are a bit too long.

519 - something to monitor

Nothing much that I see since my trashing.
Only the above, which is reaching its support zone.

519 - improve from failure

Above from previous post.

One way I can improve from previous loss. 

Before I entered the trade, I should thought about the below.

There is actually no resistance zone.

Because price only tested it once.

So the next time the price area is tested again, it can be used to determine if it can form a zone.

519 - update on destruction

The above further destroyed me.
Saw a bearish pin at resistance zone.
But it continued heading higher.
On a positive note, I set Stop Loss at 3/4 of the tail.
Still, I am at my lowest point ever.

Well, keep calm, and carry on.

782 - not a very good day

Bought Sir Alex Ferguson limited edition pins from England.

Bought 10 of it, thinking of selling it for  profit.

But 2 of it was spoilt.

And the shipping and tax itself cost close to SGD 300 (107+183).

Forex wise was also bad.

Though I won a small trade, but I closed off soon, as I cannot really determine the 2nd resistance line.

Below is the trade which I won. The red oval is the indicator.

It is a big engulfing candle rebounding from the support zone.

I think I made close to 100 SGD, which I bought and sold within today.

Below is another trade which I just entered.

It is a daily chart.

Pin formed, and the body is red.

Only concerned is that the tail might not be long enough.

But to me, it looks quite significant in the chart.

The resistance zone is also supported by 2 previous mountain peaks.

A lesson from a few posts back, I also set the Stop Loss around 3/4 of the tail.

I spent so much money recently.

Bought a 1963 classic Omega watch for around 1k SGD.

But I really liked it, and I also bargained with the seller to get it more than 100 USD cheaper.

I had been looking for a more pricey watch for quite some time, and I am quite happy with it.

But one thing is that it is 34mm, which a lot of people finds it like a girl watch.

Watches of the past are smaller.

But I have quite slim hands, so hopefully it is alright.

And also the more I looked at it, the more I get used to it, the more I adore it.

Other than that, I also bought some presents for my girlfriend.

It is not very costly. And of course, it is crucial. No complains.

Are mentioned above, the pins cost me around 1k SGD.

And also, the most expensive item that is still yet to arrive is a photograph.

Hand signed by Alex Ferguson.

I got it from a charity auction online, and it was a bidding war in the last few seconds.

My was the cheapest, and all I wanted was something collectible from one of the person I respect most in the world.

When I bid for it, I have the idea I will be a rich person next time.

And that made me think that it is a small price to pay.

However, with Forex keeps getting from positive to negative, it made me feel that idea of my rich self getting harder.

Well, after a while, it will be ok.

Just have to forget about the expenses, and focus on earning more.

927 - getting crushed again

Things to remember

For engulfing, the opening and closing should be close to highest and lowest price.

For pin, the tail should be around 3 times longer than its body. Regarding its Stop Loss, set it around 3/4 of the tail.

From the 'Trading in the Zone' book

Compare :

Person with very good analysis skill and knowledge, but poor control over emotions.
Person with basic and amateur trading skills, but good emotional control and stability.

The latter is better.

Bad memory is like an energy.
Like if you got bitten by a dog before, it will trigger the energy in your brain if you meet one in future.
Use this same principle in trading.
You lost before, and it will sometimes be triggered.
But it is only an energy, and don't let it undermine you strategy.

The whole book is saying for trading, it is all about managing yourself.
You can do well with just any normal strategy.
Many people make the mistake of looking for other strategies when they lose.
Or studying more to try to win.
Actually, it is a lot about being able to handle yourself.

1182 - how can I improve from my previous lost?

One of the thing I could do better is play even more defensively.
How?

Consider setting the stop loss even higher up.

One of the reason is that it is taught to the increasing population of price action trades. It was advised to them to place the stop loss around 3/4 of the tail. So the first reason is crowded mentality, that will be moving the price. When price goes pass 3/4 of the tail, very likely this huge crowd of traders will exit at the same time, pushing the price pass the tail of the pin.

The other reason is that a pin is supposed to be a very strong indicator of the price moving away from it.
But if price still comes back close to it, maybe the pin has become invalid.

1182 - don't understand, but just follow

Lost money in the below trade.

I went to read about pin bars.
It is supposed to be small body, big tail.
The tail should be 3 times longer than the body.
Apparently, the above does not qualify.
And I seriously do not understand the logic.
Isn't it an even better version of pin?
Not only does it form a pin, it continues to surge higher, forming a larger body.
But why is still a pin better?
Haha, I do not understand.
But at least I learnt not to go against it.

Apparently, but don't understand.
Here is something to cheer me up.

1299 - Quick follow up from previous post

I decided against the NZD/USD long trade.

Reason :

The engulfing pattern is pretty short and insignificant.
I rather see a longer red candle, followed by an even longer green one.
Another thing is that the tail, I like it to be even more trimmed.
The body of the green engulfing candle should be more full.

1300 - Some action in Daily Charts

Bullish engulfing.
But the previous support is quite close.

AUD, which is related to the current trade I am in.
It is a good sign, which I am also long, in 4 hour charts.
So most like I will skip this one.

Similar to NZD, EUR is also gaining strength against USD.
This one has a bullish pin, but the pin is short, and it is not green.
The engulfing is also not a really fimilar one.
Engulfing to me, seem more like a full red candle, followed by a full green one to counter it.
I prefer the NZD/USD to this one.

1305 - after the calm, a delimma

When you won some money, you have the fear of losing it.
Today I had some doubts about the below.

Ok, here is the question.
Is the above a pin?
My impression of a pin is a candle with short body and long tail.
But the above has quite a long body and a long tail.
But isn't the above even better than pin?
Reason being it has not only rejected the support and form a long tail.
It has also have enough momentum to produce a strong green body.

That is the main reason I enter the trade.
And I am not really sure if I am correct.