FOREX CHASERS

SEASON ONE
 EPISODE ONE
NATURE OF MARKET

-The characteristics of a market : impulse and correction Impulse

o Impulse- with trend

o Correction- counter trend
o Trendlines are framework and guidelines for the nature Correction
o Always ask what phase I am in
o When trading the market we don’t always get textbooks perfect pictures
o We can either have heavy momentum or low volatility
o Once we understand the market’s nature, everything else becomes framework.
 Episode two
Patterns within patterns

The importance has to do with probability.

• Pattern within a pattern

• Bigger Timeframe- Ascending nature

• Smaller Timeframe- Ascending Nature
• Go-to setup
‘
• Other examples of Go-To setups:

• Focus on tighter patterns

• They can be applied on any timeframes
• N.B 80/20 Rule- If 80% of the move is corrective then that is called a correction
• You can see a correction within a correction.
• They are very reliable to have as Go-To Setups.
 EPISODE THREE
Multi-touch Confirmation
• We build a portfolio on why to take the trade by building more reasons.
• We take it one step further:
1. We have a pattern in a pattern
-we take it one step further and use multi-touch confirmation, adding confidence in the trade.
2. Look for a minimum of two touches- three would be highest probability.
3. Only take this trade only on the second touch if it presents itself.
These are specific details you need to build on a trade.
• To know when you have to enter a trade, for example, a continuation pattern, you have to:
- Check candlesticks ( secondary)
- Arc in nature
- Double top formation.
 EPISODE FOUR
Candlestick and The Override

• Override- When you don’t get the picture perfectly set. Used as a backup plan when about to trade.
• You will be building on a pattern within a pattern and a multi-touch confirmation.
• Override should be that the higher timeframe supports the direction.
• You can take advantage of risk entry on candlestick formation for an override.
• Therefore an override is a key component within your trading plan.
• It is not an override when the trade is already there.
• Price usually shows evening star
 EPOSIDE FIVE
Phase Identification
• This is very important because it gives direction on what will happen next.
• If we see a price moving up in a corrective phase we know it will soon be impulsive…
• The market may not pullback as deeply as you expect it but you can still capitalize on it.
• Natural progress of the market
• We use overall structure.
• Do not force your beliefs on what you think the market will do, but rather understand what is possible within the market.
• A second touch is valid but a third touch would be a bonus.
 EPISODE SIX
Forecasting
• Forecasting- anticipating possible and multiple scenarios that the market can present to you.
• It is important because quite often people have things like the fear of missing out, hesitation and therefore fail to capitalize on the
market.
• When in fact the psychology behind forecasting is essentially saying that this is what the market can possibly do and have entries
for all these types of trades.
• It starts on a higher timeframe.
- Be patient for pattern to play out.
- 6-8 hours flag
- Forecasting helps you see if you will take risk entry or reduced risk entry.
- When you always waiting for the market to do something that will satisfy you hesitation kicks in.
- Forecasting will help you see what you missed to forecast. Meaning if you practice a lot of forecasting you will notice that you
keep forecasting two scenarios and always miss out on the others.
- You can be in a short term trade with the mindset of the bigger picture. As long as you are close by to manage your trade.
Forecasting is a game changer and has always been effective for me.
SEASON TWO
 EPISODE ONE
ENTRY TYPES
Knowing what phase you’re in is important for when taking a trade.
• For example, looking at a reduced risk flag in a corrective phase vs taking a reduced risk flag in a impulsive phase. The probability is
different.
• This is where people can be caught tagged in and tagged out in a corrective phase.
• Being at a potential reversal zone , the first impulse is powerful and after waiting 6-8 hours you can look to enter reduced risk
entries.

• Need to be prepared on what it can evolve to. Scene 1 is a high probable as we can see the market dropped impulsively just before
the flag reduced risk.
• Should not have a fixed stop size
• Consistency doesn’t work on building massive percent's a month. What happens is you build from 7% a month to 9% a month and
even more.
• Be patient to receive a message from the market.
• You can refine your stops as you get better and better.
• It’s wrong to place entries further from current price trying to be safe, take the message from what the market is telling
you.
• When the risk entry hasn’t been confirmed yet we anticipate. Understand what you need to see.
• Understand the difference between where you take your trades on. Whether it’s a high or a low.
• It’s all about how deep the market responds
• These entries can add much on the 1% tweek.
 EPISODE TWO
THE 1H RETRACE CANDLESTICK
• The 1H retrace candle doesn’t have to be enoulfing, even if it retraces 50%. Entry can be below the body.
• It’s only seen at the third or second touch.
• Management:
- See how the trade is progressing and evolve trends
- Don’t let the pullback take back your money, rather exit the trade and re-enter when the market gives you a signal.

- It is important to lock in profit no matter how promising it can look, we don’t know how big the correction can be.
- Understanding a phase can help a lot.
- Have entry below body for consistency.
• What are quality setups? How you take advantage of the corrections is about the quality of the bigger timeframe.
• The more you protect yourself from the unknown is the more you protect your mindset
 EPISODE THREE

THE ARC

• The difference between the arc and double top:

- The double top is usually clear and picture perfect while most times when the second peak goes strictly higher is when the arcs
come in.
- Arcs are essential when the market catches traders on the wrong side and just when hey think the trade is invalid when it plays off.

- Double top Arc

- When it’s about to form arc nature see if you’d rather get three touches, if it is double top or arc nature.
- An arc can either create an ascending or descending pattern.
- The arc nature is a whole concept
- Use all components for major success.
 EPISODE FOUR
PATTERN SEPARATION
• Move trend lines to the most recent lines
• It’s not that we are breaking it, it’s how we are breaking it.

• We can’t keep on evolving a trend line, we have to push it back and see the recent two significant touches.
• Be able to spot a pattern on its own.

• Trend lines must not come from far, focus on the new structure and forget the old.
• See the start of a new structure by focusing on two most recent points.
• Pattern separation is to see with clarity on the new structure rather than taking longer term trend lines.
• It helps to not marry the trend line.
• A break of a trend line doesn’t mean anything, how it breaks the trend line and the most two significant touches with
pattern separation. That is the clearest form of accuracy of what is actually happening with the pattern.
 EPISODE FIVE
NEWS VS STRUCTURE
• Being paralyzed by the news is what’s holding us back even though structurally the position looks good
• We favor using pattern structure over the news.
• Whether it’s big news or minor news, that only creates volatility
• If you let the news influence your decision to take a trade it means you react to what the media wants and not what the price is
giving you.
• Normally, news will just confirm a break of a key area as they do not change the direction of the market.
• With structure you are able to see in advance.
• Think about it in this way: When you are back testing and going back on the charts, are you cross referencing with the news? Is it
right?
• Some news moves through volatility in the direction of what the structure has already decided.
• You can go back on any currency and see the major news that once occurred and you will see that there was some type of
structure
• It will give you confidence regardless of the type of news that are presented to you.
• Be aware of the news but don’t be blinded into missing opportunities.
 Episode six
Forecasting

• Forecasting has all to do with the psychology of one of the biggest reasons people struggle within trading is that they
hesitate
• It is common that a lot of people would take a trade and get a loss after loss. Then when the next trades comes they
hesitate and find out they missed out on a winner.
• The failure to plan enough to take the win is the result of lack of forecasting.
• Why forecast? In your mind you plan out a few different scenarios and you can act accordingly when a trade presents
itself. That way the hesitation is reduced.
By forecasting you train your subconscious mind.
• Use your paintbrush tool
• Scenario 1 Scenario 2
• And you can even plan out your future trades in advance. See the type of entry/ risk you can experience.
 MASS PSYCHOLOGY
MASS PSYCHOLOGY
• Mass psychology is getting into the mind of what people are thinking, these are people found on the wrong side of the
market and you could discover that.
• It is important when we use things such as patterns.
• What people normally do is that they sell the lows and buy the highs. Because they believe it will keep in that direction.
• Banks and hedge funds know that and get people caught on the wrong side of the market to push their agenda.
• Example one:
• People would normally get caught on the wrong side and look to buy that but at this stage
we know that a high probability sell setup is coming