New Indicator, BDHiLo (Under Testing)

11:14 pm gmt +8

Indicator name : BDHilo
Objective : To perform Hi Lo trading method
Scope :
1. Analyze the Hi Lo at certain period
2. Calculate the range between High and Low
3. Analyze risk and reward for BUY and SELL
4. The timeframes D1 to M5

GBPJPY : Early sign of retracement

3:41 pm gmt+8

I'm waiting price to drop little bit lower to enter long position. As long as price not break trendline

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result : buy@206.57 close manually 27pips

GBPJPY : Strong Bearish

9:34 am gmt+8

RSI, stochastic and MACD indicates strong bearish on H4

GBPJPY : Long lower shadow + gap

9:18 am gmt +8

H4 candles form long lower shadow and gap. I believe that the long lower shadow is a good sign for BULLISH as long as the last candle is bull candle and became more reliable if the current candle break the previous candle high... however it's too early to make any decision. The last candle has just formed 10 minutes ago (the time i framed this picture).

And how about the gap? Actually i'm not really confidence on monday's gap. My reason is the market runs 24 hours and 7 days a week... but the trading platform not capture data on saturday and sunday. So that we can't see the real movement. The business activities out there continuously run even the platform closed for any activities.

Transform standard indicator

Since the computer's calculation is faster than human eyes... I've transform the standard RSI, Stochastic and MACD without modify any calculation on coding.

RSI to RSI Histogram - to identify strong/weak BULL and strong/weak BEAR so that I can get the proper time to take only BUY or SELL signal from small TF.
Stochastic to Stochastic Histogram - to make it easy to read BULLISH, BEARISH, OB and OS.
MACD to Colored MACD - BLUE bar means the current MACD value is greater than previous value, while RED bar means current value is smaller then the previous.

GBPJPY : Market preview

10:15 am gmt +8

The last three candles condition on H4 indicates the early sign of reversal to BULLISH. The price might up from that point or retest the MAJOR TRENDLINE once more to form double bottom.

The other possibility is the price might form 123 pattern and pass through the MAJOR TRENDLINE from that point to continue BEARISH. But the big question is "The market already BEARISH for 2 days and the price could be considered very low. Is it possible for market to perform BEARISH for 3 market trading days without any correction or any reversal?" I guess it's possible but the probability is very low.

That's why I preferred to wait for best entry on small TF for LONG position.

GBP : Update

6:41 pm gmt +8

What we've got so far is the H4 bear candle broke the trend line.
And we also didn't find any reversal signal from RSI, Stoch and MACD.

However, the candles condition from small TF shows some retracement.
I'm waiting for the next SHORT entry.

GBPJPY : Retracement Phase

10:26 am gmt +8

The candles condition from H4 to M5 indicates sideways market between 212.47 and 211.87.
This could be retracement phase for BEARISH.

And moreover, the RSI, Stoch and MACD in H4 indicates BEARISH. I guess it's not suggested to enter LONG position... just wait for best entry to SHORT