The following discussions represent a tiny sample of our Skype debates that are ongoing throughout the week. This small selection highlights the importance of measuring horizontal support and resistance in full pips. A real issue if trading the lower intraday timeframe.
Buzz, 10:29 Friday 1/3/2019
Worth a thought is the entry one pip beyond the signal bar. Bob’s bars are to a full pip, meaning a whole number. Therefore, we have the advantage of the complete price action but the disadvantage of the tail. In the example below the black arrow is at a total pip. The bit of tail beyond is 0.8 of a pip and therefore wouldn’t paint on Bob’s chart. His entry (if he took this) would be at about where our tail finishes, and as the bar clears the trend line and the ema.
I see what you mean.
The arrows in the chart below show the full pip so a tail would have been evident to Bob also.
This means we cannot disregard the tails, but a quick check of the whole pip would give a better idea of how the trade is viewed by algorithms and many traders. (The above was from th mornings chart/discussion.)
At the risk of going on about it too much, this example (black arrows below) shows the full pip. Bob’s chart would not paint the tail 0.8 of a pip below the black arrows. If Bob were to take an entry short (obviously not a setup), he would enter at the base of our tail where we would open a full pip beyond that. Worth a reflection I think.
Buzz, 09:15 Monday 4/3/2109
In my trade below I’ve drawn the horizontal support lines at a full pip as discussed on Friday.
That was a very nice trade. (Referring to a screenshot above of James’ chart) Combi coupled with a pattern break of the 11,337 level as marked by the black arrow. Well done.
Buzz 09:50 Friday 8/3/2019
I saw this possible entry last night. Almost took it but it was tea time. I didn’t like the tails on bars 1 and 2 which kept me out. The lows of bars 2 and 3 formed a support level the break of which provided a possible entry short at bar 5. A little distant from the ema for my comfort. I also think I would have ejected the trade at the bar 6 pullback — however, the full pip horizontal support lines working their magic again.