How to Avoid Failed Invalidated Harmonic Pattern - learning forex trading basics

How to Avoid Failed Invalidated Harmonic Pattern ~ learning forex trading basics

The Harmonic Pattern is so popular and we all agree it really works !! Many of Harmonic Trading topics are full of succesful screenshots of Patterns like Gartley, Butterfly, Bat ...etc. What about the opposite, the invalidated (also called failed) ones ? 

In fact, Harmonic Pattern success rate is only about 80%. 

Ill start posting some of failed cases and then I will show how to avoid it. Following examples present invalidated/failed patterns:

This is an emerging Bullish Gartley Pattern, deteced by one Harmonic Pattern Indicator, price was supposed to go up after the pattern is displayed... . what really happened afterward is price continuing down and the Harmonic Pattern expand its right wing and failed eventually

Here are more definitely failed pattern:

The pattern signal a short sell but price still go up

Bullish Butterfly doesnt work !!!

Thats why we have developed an extra confirmation oscillator to increase the successful ration of the pattern, it will filter out failed pattern and also reduce the number of potential trades. But as veteran traders Sive Morten has taught: "...Trader should better accept losing trading chance than losing trading capital..", I am happy to introduce it to you Super Trend Oscillator.

Come back to the very first screenshot in this post and compare the entry signal with the screenshot below, you will see how it pick the perfect bottom:

Compare this screenshot with the very first chart in this post to see how good it generate Buy Signal

Here is an overview of the whole system :

All Signals are generated consistently with the Emerging Harmonic Patterns and help you confidently enter the trade without worrying it would fail

Another successful case :

Here are our feedback of a recent Japanese Customer :

Happy recent customer !

This Super Oscillator is provided along with Harmonic Pattern Indicator for Price 27$. Instant download, no limit, no expiry !

Any question, email to lumina920 [at] nokiamail [dot] com.

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Technical Indicators and EA on MQL5 Market in MT5 - online forex trading basics

Technical Indicators and EA on MQL5 Market in MT5 ~ online forex trading basics

I think, everyone engaged in FOREX trading knows MetaQuotes company and its FOREX trading terminal called MetaTrader. The fourth version of MetaTrader is the most popular nowadays but MetaTrader 5 is winning recognition at a rapid pace. In this review, we want to tell you about a very useful innovation implemented in MetaTrader 5 - MQL5 Market.

You can find a huge number of trading tools on the Internet, including various scripts, technical indicators and Expert Advisors.
Many of these products can be downloaded for free, while some of them are distributed on a paid basis. These are mostly different trading robots developed using MQL programming language. When buying such a product, traders often receive "a pig in a poke". They cannot test an Expert Advisor or indicator before buying it. When it turns out that a purchased trading robot is not so efficient, it is almost impossible to receive a refund.

MQL5 Market helps traders who prefer automated trading to avoid low-quality offers from trading robots developers. MQL5 Market is a special marketplace for buying and selling programs developed in MQL5. Now, any trader working with MetaTrader 5 can download, test and buy trading robots right in the terminal. Before paying for the purchased trading robot, you will be able to test it on historical data and demo account. All trading robots pass careful moderation on MQL5. If product parameters do not fit the description, such a product will not be available for download.

If you are a developer of trading robots, this service can offer you a high-quality marketplace for promoting your trading robots. You will not have any issues when receiving payments for your products, as MQL5 Market has its own payment system. MQL5 Market acts as an intermediary between developers and traders.

As we have already mentioned, MQL5 Market is available right in MetaTrader 5 terminal. To enter MQL5 Market, launch MetaTrader 5 terminal and move to Market tab of Toolbox window.

There you will find a wide variety of free and paid trading robots, indicators and utilities. Before purchasing a product, you should register on MQL5.com and enter the registration details of your account in the terminal.

Then, you need to deposit funds to your account. After that, you will be able to purchase any program easily. Before making a purchase, you can test the application and decide if it suits you or not. After buying the program, you will be able to download your copy and use it on three PCs.

Automated FOREX trading is actively gaining popularity among individual traders. MQL5 Market enables gathering together all FOREX trading applications and provides easy and transparent access to them. You no longer have to browse through a vast amount of web sites and risk your money buying Expert Advisors at unreliable web resources. MQL5 Market makes the purchase and use of Expert Advisors easy and affordable for each trader!

Use the store MQL5 Market now and here.

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When is a pattern not a pattern - forex trading charts software

When is a pattern not a pattern ~ forex trading charts software

A guide to avoid loss making trades

When is a pattern not a pattern?

The easy answer to the question is “when it’s not a pattern”. And that really is the real crux of the issue… Let me explain.

Let’s take a look at one of the most simple patterns in technical analysis, the Double Top (Bottom).

This is the hourly chart of Dollar-Swissie in a run up from the 1.0883 low which found a high at 1.1324. Following this it pulled back lower and then attempted to move back to the high once again. However, it failed just 6 points from that high and then declined quite sharply.

In this process it formed what we call a “Double Top.” This is a classic reversal pattern that through measurements will provide a minimum target in the reversal. Basically, by taking the number of points from the peaks and the intervening corrective low it is then possible to project lower from that trough to generate the minimum target.

In this example the pattern has worked perfectly. What is more, the Rapid RSI below has formed what is a bearish divergence. This is recognized by higher price peaks from the intermediate peak towards the left center of the chart to the eventual 1.1324 high. However, over this period the RSI has not made new highs – but the RSI makes a lower high at the 1.1324 high which represents a slowing in the underlying momentum of the trend.

A combination of this bearish divergence and a subsequent break of a trend support line and failure on the retest of the trend line sets up a stronger reversal which meets the minimum target perfectly.

OK, this is simple, let’s look at another example:

Here we see exactly the same thing happening in the hourly Euro chart. Price has rallied strongly with Rapid RSI forming a high at 1.4751 and then on the pullback lower braches a trend support line. Following the initial decline price rallies back towards the 1.4751 high but fails on the retest of the trend line.

This looks positive. Measuring the points between the twin highs and the intervening trough, from the current price there appears to be 300 points profit.

So if I take a trade of €1mn I can make €30,000 profit and buy a new car…

Well, this is what then happened.

Ah… the Euro actually continued rallying.

So why did the Double Top pattern fail?

As I said, because it wasn’t a double top pattern…

It is vital to understand that a double top only becomes a double top when the intervening trough is breached. (And a double bottom only becomes a double bottom when the intervening peak is breached.)

Clearly this didn’t occur here.

This is very simply explained by examining the definition of an uptrend – which occurs when both highs are moving higher while lows are also moving higher.

If we want to be safe in identifying double tops (or bottoms) we should also satisfy the requirement that the sequence of higher lows is broken – which would be when the intervening trough is breached.

Therefore, avoid this simple error which many still fall into by ensuring that the intervening trough (or peak in a double bottom) is broken to confirm a breakdown of the trend.

Gook luck !
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How to Subscribe Trading Signals MetaTrader4 and MetaTrader5 - forex trading basics instaforex

How to Subscribe Trading Signals MetaTrader4 and MetaTrader5 ~ forex trading basics instaforex

"Signals" in MetaTrader 5 trading platform allow traders to connect to any signal issued by providers. Select and subscribe to any trading signals provider to copy all his or her deals on your account.

The reliability of all signal providers is carefully checked to provide maximum security. All signals will work only in demo mode within a month. However, you already can master them by subscribing to one of the Expert Advisors participating in the Automated Trading Championship 2012. Please keep in mind that automatic copying of performed deals is possible only when your trading terminal is active (connected to the trade server). 
So, how to become an investor?

1. Open a real or a demo trading account on MetaTrader 5. "Signals" can work with both account types. Download MetaTrader 5 and open an account. 
2. Open an account on MQL5.com. 
3. Go to the client terminal Settings and specify your login and password from your MQL5.com account. 

4. Select a suitable signal in the trading terminal and subscribe to it. Subscription to a signals source will be set with standard parameters: the current day will be set as a start date and duration will be set to 1 month.

5. Go to the client terminal Settings and check two options in the "Signals" tab: Agree to the terms of use signal service and Enable realtime signal subscription.

6. All is set! From now on, all trading operations performed by the selected signals provider will be automatically copied in your MetaTrader 5 terminal.

You can subscribe to a signal not only from your terminal but also via MQL5.com website. To do this, select a necessary trading signal from the list and click "Subscribe". Select subscription period (weekly or monthly) and a start date. Specify a brokers name (the list of all appropriate names will be shown when you start typing the first symbols) and your login (trading account number) to copy trading deals to. 
Monitoring of Trading Signals on MQL5.com displays trading results of all proposed providers. The choice can be made based on the success of trading operations performed by different signal providers. All providers are carefully checked for reliability and allowed to offer their signals only after they successfully pass the test period. 
To subscribe to a paid signals source, your account should have sufficient funds to cove subscriptioer thn fee. All payments are made in the mql5.com internal Payment System. Find more information in the "Rules of Using the "Signals" Service".
You can manage your subscriptions via "My Subscriptions" section. Go to the section, select and subscribe to the most suitable signal and try it!

SUBSCRIBE TO SIGNALS NOW

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FOREX ELLIOTT WAVE CHARTS ANALYSIS - forex market basics video

FOREX ELLIOTT WAVE CHARTS ANALYSIS ~ forex market basics video

We cover these 9 currency pairs : EURUSD GBPUSD EURCHR USDCHF USDJPY AUDUSD EURJPY GBPJPY USDCAD.

 

Elliott Wave Analysis will be updated daily in hourly timeframe

Price for the hourly charts is 30$ / month, 9 charts per day for 30 days, thats suitable for short term traders who actively want more profit everyday.

You can test our service for a 7 days trial

After Subscribe you will have access to all Charts in the link below
Hourly Elliott Wave Charts (lock to Paid Subscriber only) 
Your subscription can be canceled anytime, just contact : marketivaster[at]gmail.com

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