Technical Templates

[jack mason]

Thanks for the replies fella's. As detailed & informative as ever!

Jimmy’s correct too regards the different time periods used to calculate the levels.
I’ve used midnight London, midnight New York, 5pm New York & they’ll all match up & score a direct hit at some point or other if you watch them often enough.

In my opinion, they’re far too flaky & inconsistent.

I've been plotting them from the time periods you mentioned jjay & they do appear rather contrary don't they.

I did a bit of digging around & apparently some traders plot them from certain times on the clock for the particular session or overlap session they're looking to trade from?

Can't see the point of that exercise myself as I was under the impression they were a set calculation derived from the previous days, weeks or months exact data.

Anyhow, I don't think I'll proceed any further down that blind alley.
Thanks again & have a great weekend!

[Carll]

Hi everyone,
Tess & Jocelyn told me that Jimmy(Mac) was over here posting the odd snippet up on Joe’s thread, so decided to sign-up & hopefully chew the fat alongside you guys!

I’ve been posting over at Babypips, mostly on the Technical Templates Continued thread that Jocelyn cleaned up after the mess that spotfx mentioned.

I’m about done with it over there for a number of reasons, including their latest brain wave, messing around with the image/chart configurations. The whole continuity angle is being disrupted.

Anyway, I see that this thread is very much aligned to a lot of the Technical Templates stuff & very much mirrors the type of intraday combination timeframe strategy I’m currently using.

I look forward to interacting with you guys & actually discussing & commenting about trading as opposed to getting sidetracked with heaps of nonsense.

[jack mason]

Hey Carll,

Great to have you here. I for one look forward to your contributions, as I'm at the initial stage of finding my feet with this simple method of market activity.

I must say it's a whole lot easier on the eye than having to look at a chart through a bunch of wavy & squiggly lines!
Thing I like most about it is the top down momentum locator, using the 60 or 240 minute to get my bearings & executing via the smaller timeframes to time the entry & trade management.

It's certainly lived up to it's promise thus far.

What & how do you play it?
Similar angle & analysis regime?

[Carll]

Thanks for the welcoming private messages guy’s, most appreciated!
The girls said this would be a friendly, sociable unit!!

I for one look forward to your contributions, as I'm at the initial stage of finding my feet with this simple method of market activity.

What & how do you play it?
Similar angle & analysis regime?

Hi Jack,
Very similar angle & analysis regime yes!

The generic support/resistance & important potential reactive zones are taken via the largest timeframe that shows the pertinent info. To be honest, it’s usually the 4hour chart. Most of the near & medium term levels can be gleaned from that timeframe.

I then drop down & set-up/execute my trades via the 60/5minute combo charts (similar to what’s already been evidenced & posted on here from the others by the looks of things).

I’ve been fine tuning my own personal take on the supply-demand momentum model & for the past few weeks have included a 20 simple moving average on the 60minute chart to offer me a birds eye view of the short-term bias.

I transferred that across to my 5minute chart (which equates to a 240period on that timeframe) so that I only really need to keep my 5minute up rather than scroll back & forth between the 2 timeframes.
I also put up a stochastic which I use to time my entry (piggybacked off the 60m momentum bias).

Basically, I’m looking for an undisputed & clearly evidenced bias from the 60 minute (moving average sloping down).
I then look for the stochastic to hit an extreme reading (80 for shorts – 20 for longs) on my 5minute & enter in line with the current bias.

That’s it to be honest.

So far, this simple, basic little set-up is offering me approx 8-10 decent opportunities per week across 3 pairs. I’m finding that I can get my risk down to a minimal defense & get onboard the odd pretty cool move when price begins opening out.

I’m zoning in on the early London business hours (6.30 – 11.00am gmt). I’ve also lined up possible trades into the London-New York overlap, but they’re not really required as I’m getting more than sufficient business just from the higher volume London action.
Early start, early finish!!

I’m looking at GBPUSD, EURUSD & EURJPY. They offer the better liquidity/volumes & also provide the keenest spreads/costs.

This thread is very similar to the stuff that the guy’s have posted up on the Tech Templates threads over at Babypips, which is really good to see for the confidence value alone.

I now realize of course, that Joe has prior trading/business links with Jimmy, Tess, Jocelyn & the other guys on the TT threads, hence the similarities in their styles & advice.

Here’s a snapshot of what I’m talking about.
Hope it helps to shine a light on the above commentary.
Hopefully we can share & grow into this excellent model as it develops & flowers!
I’m finding it simple & straightforward to operate & it sits comfortably with my aims & style.

4 hour chart with the upside & downside key levels & zones identified:


1 Hour chart with the 20 moving average highlighting the downside bias off the upside resistance/supply zone:


5 minute chart with the moving average transferred across + the stochastics zoning in on the entry triggers. Obviously, when the 1 hour is exhibiting a clear bias (down in this case), only shorts are considered. I ignore the stochastic hooks to the upside
I also prefer to execute via lower highs in a downtrend/higher lows in an uptrend, 1-2-3's if you like. But you might have an alternative preference.

[JimmyMac]

The generic support/resistance & important potential reactive zones are taken via the largest timeframe that shows the pertinent info. To be honest, it’s usually the 4hour chart. Most of the near & medium term levels can be gleaned from that timeframe.

Basically, I’m looking for an undisputed & clearly evidenced bias from the 60 minute (moving average sloping up or down).
I then look for the stochastic to hit an extreme reading (80 for shorts – 20 for longs) on my 5minute & enter in line with the current bias.

That’s it to be honest.

Nice 1st post Carll.
I'm sure the thread & the methodology will benefit from your input.

Looking forward to reading more of your contributions.

[jack mason]

Hi Jack,
Very similar angle & analysis regime yes!

Here’s a snapshot of what I’m talking about.
I’m finding it simple & straightforward to operate & it sits comfortably with my aims & style.

Nice explanation & example Carll, thanks
It encapsulates everything Joe has explained, with the added benefit of your basic additions to give it a little color!

I spent last night scrolling back on a couple of your highlighted pairs to the beginning of the year (as I did when checking out Joe’s original material) & checked out the set up, bias & triggers & must say, as with Joe’s stuff, it stands up to scrutiny.

A pretty cool 5 minute trigger on the eur/jpy during the Tokyo session this morning in line with the hourly bias.

Local resistance (prior support) @ 122.60
Hourly bias clearly short
5 minute short hook on the stochastic below 122.50
...or waiting for your 1-2-3 set up, it signalled a short off 122.35.

[Carll]

A pretty cool 5 minute trigger on the eur/jpy during the Tokyo session this morning in line with the hourly bias.

Local resistance (prior support) @ 122.60
Hourly bias clearly short
5 minute short hook on the stochastic below 122.50
...or waiting for your 1-2-3 set up, it signalled a short off 122.35.

Yep, you got it.

Although I prefer to trigger 95% of my trades during the London session, I’m not in any way suggesting the set up/trigger should be avoided outside of those hours.

There are perfectly good opportunities available throughout the 24 hour trading clock, & the Yen pairs will obviously be active during their local session.

Just demo & test it out across the differing trading shifts.
I found I preferred to execute during the short time zone mentioned because it suits my own personal schedule & timeframe.

[jack mason]

Your simple little trigger called the shorts again across all three pairs during the Asian session Carll.
I’ve configured it on my 1 hour & 5 min charts & am now demoing it.

It’s just got me back in on the retest of the Asian low (support turned resistance) on eur/jpy.
The thing I like about it so far, & the real exciting element of this combination set up, is the tight, positive risk placement you can get with it.
It should highlight & return some very good risk/reward potential, particularly the times when it will trigger the odd entry near the high & low area's of the average days range figures!

It really is a fabulous little addition. I realize it’s simply magnifying what’s already there on the chart from Joe & the guy’s examples & contributions, but for someone like me whose still getting their bearings, it’s a great focus tool.

Thanks for bringing it to the attention of the thread!

[Carll]

The thing I like about it so far, & the real exciting element of this combination set up, is the tight, positive risk placement you can get with it.

Yes, that’s definitely one of it’s big pluses.
As you demo this set up & trigger combination, you’ll begin to notice a very distinctive & identifiable pattern emerge when you’re legging into entries.

Although I don’t yet have an overly sufficient enough number of trades in which to draw a definitive conclusion from, so far the positive entries are the ones that move away briskly & with good momentum behind them.

The one’s that drag their heels, spluttering & stuttering are generally the entries you need to watch like a hawk & cut if they begin to falter and/or head back through your entry.

Remember, this is a specifically designed momentum set up/trigger. If it fails to push on from entry, I’m finding it’s best to cut it, sit back & wait for another opportunity.

But yes, the stop-loss placement on the majority of these entries offers extremely acceptable risk to potential reward ratios.

It should highlight & return some very good risk/reward potential, particularly the times when it will trigger the odd entry near the high & low area's of the average days range figures!

It does yes. The good thing about triggering entries early into the European/London session is that under normal circumstances, prices have rarely travelled much more than 20-30% of their average day’s range.

That opens up the prospect for some pretty cool price coverage when you nail the momentum entry at a good value level.
But you’ll discover that for yourself as you become more familiar with the workings of this strategy!!

It’s not as though it’s complicated or requires a whole lot of stressful & time consuming analysis or research to keep it afloat either.

[jack mason]

Remember, this is a specifically designed momentum set up/trigger. If it fails to push on from entry, I’m finding it’s best to cut it, sit back & wait for another opportunity.
But yes, the stop-loss placement on the majority of these entries offers extremely acceptable risk to potential reward ratios.

The one’s that drag their heels, spluttering & stuttering are generally the entries you need to watch like a hawk & cut if they begin to falter and/or head back through your entry.

Absolutely.
Today's case of that re-entry into eur/jpy was a good example of your last comment.
It plodded around for well over an hour before staging a recovery push back up. I scratched it for -9 but there would have been a time not so long ago that I'd have sat & waitied until my stop loss got hit in the naive belief that I was "sticking to my rules"
The work & development of this thread has taught me to continue to be aware of, & react to that which I see unfolding right in front of me - & for that I'm grateful. It will save me more money in the future than I care to begin accounting for!

Although I don’t yet have an overly sufficient enough number of trades in which to draw a definitive conclusion from, so far the positive entries are the ones that move away briskly & with good momentum behind them.

I assume you’re using some of the well documented levels & zones on here as your trade management guideposts?
I’m eyeballing previous day & week high-low levels….obvious previous swing rejections from the hourlies….average days range percentage limits.

Those appear to reveal themselves consistently when looking to either scale out or exit completely. They’ve certainly proved simple & effective enough tools thus far.

Are you recording your trades & progress with the strategy Carll? I mean other than pulling the info from your trade station records.