Bbma - Oa (Green Ah)
Bbma - Oa (Green Ah)
Bbma - Oa (Green Ah)
Properties of MA’s
-MA5/10 high
-MA5/10 low
-MA 50 exponential
-Bollinger bands
In a downtrend the Ma5/10 high will be acting as resistance line and going on top of the candles,
however the Ma5/10 low will be broken by the candles. Ma5 is below Ma10.
In an uptrend the Ma5/10 low will be acting as resistance line and going below the candles, however
the Ma5/10 high will be broken by the candles. Ma5 is above Ma10.
Ma50 acts as support and resistance line, in a downtrend price will be moving below the MA50 and
candles will be rejected by it, hence MA50 acts as a resistance line. And vice versa for an uptrend. A
break of MA50 SIGNALS a change in direction not a SETUP. Ma50 also helps identify the trend in the
market, which will be discussed later.
In an uptrend candles have to be between Mid BB and Upper BB, because Mid BB acts as support
and Upper BB acts as resistance.
BBMA consist of 7 steps that needs to be mastered, this are the basic moves of the market used by
banks and other institutions to move the market. If not master this steps, you will never understand
the movement of the market. Explained based on the sketch above
1. Extreme point- this is where the MA5 moves out of the BB with candles, it consist of CS
reverse and CS retest. CS reverse is the candle that closes back inside the BB after extreme
and CS retest is the candle that retests the MA5low and close inside and this CS retest gives
you an opportunity to enter for small pips (scalping).
2. MTP- must take profit point, this is where candles touch Ma5/10 high, its an exit point for an
entry taken in extreme.
3. MLV- its when candles from MTP retest the previous extreme high and close back inside the
BB as depicted in the image. It creates a second opportunity to enter the market, it creates
an M pattern or a double bottom/top. Sometimes a triple top or a classical head and
shoulder pattern.
4. CSD- candle direction is when the candle breaks the Midd BB and MA5/10 high signalling a
change in trend direction.
5. Re-entry- its when the candle comes back down to retest the MA5/10 low to create an
entry opportunity, in this situation the market loses momentum and move sideways or a
slight pullback. CSD re-entry, after CSD candle the market has to come back and create a re-
entry.
6. CSM-candle closing outside the BB confirming the trend direction, also creates a re-entry
7. Re-entry- re-entry created by the CSM candle, after CSM the must be a re-entry.
2. INTRODUCTION TO ADVANCED A
“The market requires practice, patience and waiting for the perfect setup to play out, if this
not followed you will often fail as a trader” ~ me
In the market you have to follow the trend to get good trades. You cannot enter a trade
Based on a single time frame, you need atleast 3 time frames to confirm your setup before
pulling the trigger.
Setup A (REM)
Daily Chart (D1): Trend confirmation, candles between Mid Bb and lower Bb. MA50 above
the candles or market. Downtrend.
H4 time frame, the market is giving us Re-entries (R), first signal of market going down.
This example was to show you how the market moves and how big TF affects small TFs. Never take a
trade based on one TF analysed the market from big to small, depending on weather you want to
swing or intraday-trade or scalp it’s the same thing.
“There are lot of setups happening every day in all pairs, master your own setup, back test it until it
becomes your own craft and don’t forget patience” ~me
IMPORTANT NOTES:
A. The intraday technique is the same thing as the swinging technique or scalping
technique (same way of analysing the market).
- Intraday trading ( Trend (D1), setup (H4-H1-M15))
- Swinging (Trend (monthly), setup (Weekly-Daily-H4))
- Scalping (Trend (H4), setup (H1-M15-M5))
- Entry position is in the lowest time frame.
- Re-entries can be confirmed when a minimum of three candles get rejected by
MA5/10
3. ADVANCED B
Sometimes the market loses volume and range or move sideways, in this kind of a situation,
one can Milk the market in both direction. When the market is sideways, Bollinger will be
sideways or Horizontal, the market will be bouncing in upper BB and Lower BB. In other
words it acts as a rubber bands and this gives an opportunity to get entries. Remember we
don’t enter based on one time frame, we still use three time frames to kill the market.
Example:
At H4 above the BB is horizontal, showing no trend, wait for candles to go out of the BB and
close inside again. Note that you must be getting setup on smaller Time frames.
At H1 time frame the market has to be extreme in the points where the market is bouncing
along the BB in H4 time frame. We can execute buys and sell in this zones.
In M15 time frame the BBMA 7 steps are being given. We can open orders in the extreme,
MLV and re-entries.