GBPUSD GBPJPY 12 Dec 2016

The 3 bar reversal indicator - see http://www.forexfactory.com/showthread.php?t=108544 for details - is based on price action and the close of a candle in relation to the two previous candle closes with a filter above/below stoch 50 level.

This morning after Franfurt open (yellow line) GU has a double bottom and GJ is on higher lows and the buy signals are about as good as you can get. After the London open (green line) both GU and GJ have lower highs and again sell signals about as good as one can expect to get.

The arrows refer to the prior closed candle.

Blast from the past - Frankies half hour reversal

There's nothing new in trading .............................................on Frankies half hour reversal e.g.

http://vantagefx.blogspot.co.za/2010/05/some-gbpusd-thoughts.html goes back to May 2010 and
http://vantagefx.blogspot.co.za/2010/08/trade-example.html

DAX 7 Dec 2016

I don't follow the same Frankie half hour reversal for DAX as I do with GU/GJ.

At the open Dax signaled buys just above 10850, after LO rejected 10900 and had a losing sell signal, then another winning buy signal 10890.

 

GBPUSD GBPJPY 7 Dec 2016

If I recall correctly it was Islander over at Forexfactory that put me onto the Frankie half hour reversal (half hour between Frankfurt and London open the yellow green lines) years ago. Thats the main start time that I look to get interested in GU/GJ.

3 bar reversal signals - Both pairs signaled buys 20 mins after Frankfurt open i.e. before the half hour. After that both tested the lows of their immediate range GU just below 1.2650 and GJ just above 144.50 and the 3 bar rev signaled sells GU off a multiple top and GJ a lower high.

GBPUSD, GBPJPY 30 November 2016

London Open (green line) both agreed with buy signals from the 3 bar reversal. See the white arrows up (arrows printed refer to previous closed candle).

The second day in a row where after London open GBPUSD signaled a sell (today 11am chart time) but GBPJPY did not agree. So no sale.

3 bar reversal again doing a great job of catching the higher lows and giving an alert.

GBPUSD/GBPJPY 25 November 2016

The 3 bar reversal doing a nice job of catching the lower highs and then the higher low (gbpusd). The white arrows refers to the close of previous candles.

10 November 2016 off double bottoms

Back from an extended break.

Some good signals from the 3 bar reversal up off the double bottoms around Frankfurt open (yellow line). GU and GJ agreeing and nice move up.

GJ GU London open 6 June 2016

Lower high between Frankfurt and London opens never followed through. Then higher low for GJ after the 20lwma cross, GU agreeing, little/no upper wick on set up candles. Nicely caught by 3 bar reversal indicator 154 area give ot take 90 pips move up.

I have been sick for a few days and haven't traded. Did not get these either just starting to feel human again.

GJ GU London open 31 May 2016

With the UK/US holidays yesterday wasn't watching charts.

There was a signal up for GJ after Frankfurt open but didn't go in the next two candles so I left. Going into London open the move up amounted to nothing. So there was no momentum and a negative close took out the last 3/4 candles lows. Nice 3 bar reversal signal 163.18. In the bigger picture a lower high and divergence on the stochastic. A couple of nice legs down and now I'm most likely done for the day.

GJ GU London open 27 May 2016

You should be able to describe your trade in terms of your system rules.

GJ lower high, just after FO, GU agreeing, little no lower wick sell 160.90.

GJ higher low, after LO, GU agreeing, little no upper wick buy 160.80.

There was a failed higher low above 161.00 that became a clear lower high. No alert signaled but if you were watching a clear lower high, GU agreeing, little no lower wick sell 160.97, red arrow down. All in and around the 20 lwma.

 

GJ GU London open 26 May 2016

Only got to the computer now but for the record the blue rectangles on GJ highlight the areas we are interested in trades. Higher lows and lower highs crossing the 20lwma and GU agreeing.

GJ GU 25 May London open

In terms of the simple idea behind the set up. Look for crosses of the ma (candles that have opened one side of the ma and closed on the other side) that are higher lows/double bottoms or lower highs/double tops in their own right or the HL/LH that follows these crosses.

GJ has several trades highlighted. The first trade being the arrows where the ma crossed. Any subsequent arrow in trend direction would be a continuation trade. All of these would have been trades in terms of the rules as GU was agreeing. Depending on your stop/take profit strategy 2 perhaps BE or small profit and two winning trades.

Why not sell GU.

I was asked why I wasn't selling GU see the blue rectangle on the chart.

Two reasons, first it was difficult to get a sell entry and get to break even before the obvious resistance level at todays open. Second and more importantly GJ was not agreeing on the sell.

I really want to see some form of confirmation that either G or U has some across the board family strength/weakness. When GU and GJ agreed a nice move followed.

3 bar reversal with stochastic filter

Another good job done by the (price based) indicator. When GU and GJ agreed after LO (green line) there was a nice move up.

Higher lows lower highs using 20lwma

The 3 bar reversal alerts (note the arrows refer to the previous candle close) working really well with solid timely signals.

The simple idea as posted below:

Look for crosses of the ma (candles that have opened one side of the ma and closed on the other side) that are higher lows or lower highs in their own right or the HL/LH that follows these crosses.

3 bar reversal with stochastic filter

The indicator has been posted here http://www.forexfactory.com/showthread.php?p=8878722#post8878722 and is intended to show higher lows and lower highs based on price action i.e. candle closes.