Thread: Simple A-B-C Trading

Originally Posted by allisonmagic

when im drawing my trend lines, do i include the wicks of the candles, or just line up with the closing or opening ends of the candle ?

Hi There

In my experience I try and draw them either way and see which works. Sometime price moves past the trend line but returns and the changes direction. I am happy that there is a level there is it's been there twice and moved up..How exacltly (to the pip) it has been drawn is not that important to me..

you guys are awesome, thank you for such great responses !

EUR/USD Bearish A-B-C : Target 1.2239

you guys are awesome, thank you for such great responses

Originally Posted by mostafakamal

thank you for your strategy and what is the best time frame for it
and what is the result for it

Hello mostafakamal! It is good to meet you. Thank you for your great question! I use this A-B-C strategy on any time frame. However, I am more of a short-term trader so I use it on 30-Minute and 5-minute charts.
See the example below of some trades that I did on GBP/USD on October 2nd. Price rallied up to the Daily R1 Pivot area indicated by the horizontal green line creating a new High. GBP/USD makes a lower high and lower low. Negative MACD divergence indicated that buying momentum was receding and sellers were gaining strength. Once GBPO/USD broke below the red uptrend line, I initiated shorts with Fibonacci price targets that were hit exactly.

I hope this helps! Please let me know if you have any other questions.

Cheers!

Greg McLeod
DailyFX Forum Moderator/Trader

Hi there Greg! I am newbie and need to know more strategies to get good trades and profit from it. Will follow you on twitter. Find the site very interesting. Hope I can do it too!!

interesting

Originally Posted by nikolas

i have noticed when trading ew with fibs retrace and even more extensions , Attachment 162054when your trgts first met there can be some deviation maybe because the price can be coming pretty hard...but after these fib trgts become more valid. for example 2670 was the wave 5 261% ext of wave 1 and now acted as a perfect support ...

Great observation Nikolas. I can enter short at ii (B) or a break below i (A)( I label them all A-B-C) That is why I like trading multiple lots so I can take profits at "iii" (C) reload more at "iv" and close them all at "v".

I Cashed in on some AUD/JPY As well for +47.7 Pips- I like waking up and taking pips as it beats waking up stopped out. In fact, I woke up early without an alarm clock at at 2:00 AM central time as a kid wakes up on Christmas day in search of the presents Santa had left behind!

Lo and behold, my equity and balance had grown and my margin usage was "0", and I knew that all was well!

If you look USD/CAD did a perfect ABC. Where a=c right on the money. Now blasting upward.
Peace

Edit: I mention this because it means the EURO will continue to drop today.

Originally Posted by Luxuriant

If you look USD/CAD did a perfect ABC. Where a=c right on the money. Now blasting upward.
Peace

Edit: I mention this because it means the EURO will continue to drop today.

Hello Luxuriant! I see that relationship exactly. Thanks for bringing this cross market relationship to our attention!

$AUDUSD Rallying With Broader US Stock Market Indices as Hopes that US Fiscal Cliff Can Be Averted

Originally Posted by Gregory McLeod

$AUDUSD Rallying With Broader US Stock Market Indices as Hopes that US Fiscal Cliff Can Be Averted

$AUDUSD Hits 1.0400 Target Following A-B-C Path

so i want to trade the eurusd i traced my abc. Does it look right? when should i place my orders? from C going to D or wait after completion of the D line and sell the pair?

is this analysis correct? trying to buy on the C to D leg.