B02: Illustration of Anchor Breakout
Hour nnn is the n previous hour since the last hour of the week end 23 Dec 2011. Someone in FF asked how is my trades this week (http://www.forexfactory.com/showthread.php?p=5237664#post5237664) and I responded entry of 14 LONG with indication from G/J.
I am using this week IA to describe how does Anchor Breakout works. At first T101 followers may surprised that why am I not following the "Perfect State" condition as explained by trader101 (http://www.forexfactory.com/showthread.php?p=5237946#post5237946). It is because from my experience, perfect state is not happening every week and the frequency of perfect state is rather low in trending market (if you know what I meant).
I used my own variant of T101 system and I don't think it deviates so much from the original T101.
My entry is on Day 2, Hour 83 (represents to 120-83=37 hours since beginning of the week). The combined total pips of the week is +333pips (which means you gain 333 pips if you LONG everything at the beginning of the week).
If you look at the number of total pips after the entry, there is not much draw down (which means we are on the track). The exit this week is by force because I was away the day before. I exited on Day 4 gaining 700+ pips. It is not really a fantastic week but I am able to successfully demonstrate the use of Anchor Breakout.
I believe you will have some queries on why am I entered on Hour 83. The determining factor is depending on different individual. I used my own indicative condition and you can develop yours too. There are varies of TA tools to use. The key is "look at the Anchor".
|What do you think?|