HOW TO TRADE LCM SIGNALS

HOW TO USE THE STATUS SCANNER…

( For full details see the remainder of the page below )

TRENDWALKER  SCANNER DASHBOARDS

About 80% of trading time is spent looking for good trade setups.  If we can cut out the time we spend looking for signals, we can then use that time, CHOOSING signals rather than SEEKING signals.

It is a huge difference between sitting in front of the charts hour after hour to find a setup that meets your trading criteria than there is from, sitting down and choosing from 20 or 30 signals that you know already exists…Now, you are looking to choose only the best signals.  Where as, before you were only looking and hoping to find a single signal…

I.   DASHBOARD 1 – SIGNAL SCANNER DASHBOARD

II.  DASHBOARD 2 – STATUS STATUS DASHBOARD

Dashboard 1, the signal scanner dashboard displays live signals as they occur.  The scanner can be set to alert on signals from up to 30 pair, Simultaneously, on all time frames.  The “VIEW” button to the right of each pair is to quickly pull up the chart by clicking the view button.

Dashboard 2 shows the live status of any trades that have been signaled.  It displays the current profit/loss for the trade and will display that trade until a new signal is generated in the opposite direction. The dashboard also displays the date and time that the signal generated for easy look back .

The two dashboards work together.  1. The signal scanner alerts to new signals…  2.  The status scanner constantly shows the status of the most recent signal on all the pairs you have in your market profile list.  The status scanner also give you an entry price for the trade.  In upcoming upgrades it will show stop loss price and target price to go with the entry price.

The signal scanner dashboard feeds fresh signals and the Status dashboard tells you the price to enter and points out the signal bar’s time and date that generated the signal so you can apply your other trade filters to see if it meets the entry criteria.

click image to enlarge…

 

STATUS DASHBOARD EXPLAINED

The dashboard displays 25 pairs.  Each pair has it’s own information panel/box.  The information in the panel tells you where to enter a trade and which direction to enter.  Displays a running profit/loss for the current signal and displays the date and time of the signal bar for reference and look back.  The dashboard displays the status of the current time frame that the dashboard is placed on.  I like to trade the 4 hr chart so, I will be using the 4 hr charts for reference.

  1.  Where to get in (row 1) Tells you whether to buy or sell and the trigger price.  Buy long above the buy  price and sell short below the sell price.  The color of the panel immediately tells you if the current signal is a long signal or a short signal.  If the panel is green you know it is a buy  signal in progress for that pair, on that time frame… or… if the panel color is peach it is a sell signal in progress for that pair, on that time frame.
  2.  Status of current profit/loss of current trade (row 2) – Tells you the current profit and loss for the current trade taken at the  stated entry level listed in (row 1).
  3.  Date & Time of signal bar (row 3) – Displays the the date and time of the price candle that generated the signal.  This candle is the “KEY BAR.”  It is the Key Bar because it is the hi/lo range of this candle that establishes the entry price and the stop loss price.

Image 1 – click image to enlarge…

A.  STOP PLACEMENT SHORTS – Let’s look at the dashboard in image 1 to the AudUsd pair.  We see that the signal bar was the close of the 4 HR candle May 14  @ 16:00 GMT…  We pull up the chart and go to that price candle as example in( image 2) below.

This is a bear candle for a bear signal.   On a bear signal the stop always goes above the high of the Bear Key (red) bar and the entry signal always goes below the close of the red candle.

The sell entry signal displayed on the dashboard (image 1 above) will always be the same as the  close price 0f the Bear Key Bar.

The short signal is generated when the candle closed down (red) .

The confirmation comes on a lower close below the close of the Bear (red) Key Bar.

Summary:  For short trades, stops go above the key bar high … For long trades stops go below the key bar low.  Or simply say Above the high of a red candle and Below low of green are placements for stops.

Image 2- click image to enlarge…

B.  STOP PLACEMENT LONGS (see image 3 below) – Let’s look up at the dashboard in ( image 1) above to the CadJpy pair.  We see that the signal bar was the close of the 4 HR candle May 14  @ 04:00 GMT…  We pull up the chart and go to that price candle as example in image 3  below.

This is a bull candle for a bull signal.   On a bull signal (green candle) the stop always goes below the low of the Bull Key (green) bar and the entry signal always goes above the close of the  green candle.

The buy entry signal displayed on the dashboard (image 1 above) will always be the same as the  close price 0f the Bull (green) Key Bar

The long signal is generated when the candle closed up (green) .

The signal confirmation comes on a higher close above the close of the Bull (green) Key Bar.

Summary:  For short trades, stops go above the key bar high … For long trades stops go below the key bar low.  Or simply say Above the high of a red candle and Below low of green are placements for stops.

Image 3- click image to enlarge…

C.  The Lcm Key Bar Zones indicator is the indicator that displays the signal bars.  ( see video A below).

Inputs to display signal candles only for LCM KEY BAR ZONES INDICATOR…

No sound necessary for this video.  It’s only for viewing the indicator inputs necessary for signal candles only with the key bar indicator.  In other words, no sup/res levels, just candles.

Place the key bar indicator on your chart with these settings to see the signal candles only, without the support/resistance zones showing.

Video A…

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D.  TARGETS – So far we have covered entries and stop loss.  These are the most important components of a trade because RISK MANAGEMENT is the most important aspect of any trade.  The quality of a trade is determined by the amount of risk…Not by the amount of potential pips to be earned…

For our targets we can also use our Lcm key Zones indicator to display areas of  anticipated Supply/Selling and Demand/Buying.  We will now look at how we incorporate Key Bar Zones indicator to define price targets with the support and resistance zones acting as levels for targets as well as areas of additional stop loss.  We will also display the indicator inputs if you wish to display the support/resistance zones on the charts.

(Image 4)  below shows  – The chart illustrates a short signal on  4 HR EURJPY as of 12:49 pm wed may 16 2016. Lines drawn at the entry level and stop level.  It also shows the target as the blue line at support @ 129.38 below.  The 129.38 level is the target simply because it is the next obstruction that can stop falling price.  Whether long or short, once we’re in a trade we will assume that price will bounce off the next obstruction…UNTIL IT DOESN’T…Therefore, there can be no doubt where the maximum target should be…If there is an obstruction there…Get out…  If you really think that price will break through the obstruction that is fine.  Just…wait until it does…then you will be sure and then…you can re-enter the trade.  MAKE THE MARKET PERFORM…

Image 4…

click image to enlarge…

(Image 5)  below displays  – The current dashboard status of the pairs.  Looking at the EurJpy panel we see that the short position is  + 86.7 pips.  We can also, at a glance, see how the other pairs are doing.  Looking at the other Eur pairs, we can see on the dashboard that most are down.  Indicating weakness in the Eur across the board.  This looks well for a continued down move for EurJpy…The dashboard also shows us the date and time of the signal bar so we can check it to see if the signal passes our other trade filters and to determine the minimum stop loss.

IMAGE 5 — STATUS DASHBOARD MAY 16 @ 12 49 PM

click image to enlarge

 

LCM KEY BAR ZONES – Trend Pivot indicator inputs with Key Zones.  Video has no sound.  It’s purpose is only for you to see the inputs…

KEY BARS TRENDWALKER TEMPLATE DOWNLOAD…  Click the link below to download the template for the signal candles and support and resistance zones on the chart…

TEMPLATE KEY ZONES