Percentage S&R

A while back I was looking for an indicator that produced levels using percentages. Didn't really find what I was looking for, so I wrote one. I thought that there was a way to use certain % based levels as S/R. Never really got around to doing a lot of research on it. They do seem to get some respect, but then again, all levels do at some point or another. I do use these levels from time to time for SL/TP placement. The thingy plots three levels above and below the market using yesterdays close. You can adjust the percentages used. It also plots yesterdays close and last weeks close for reference. Anyway, though it may be of use to someone. Have a good weekend.

no interest, not surprised I guess....

few hits today that I noted....

using them with the direction of the weekly close, where there is some previous PA to support them....maybe something I will investigate further...

if I ever get around to getting some trades down using these levels, will report.....laters...

You upload a tool with a TE capture making 25% profit every month without have press any button and you will see how everybody will be interested. As you know this forum should call better "Forex Laziness"...

level 2 hit, had some PA nearby, but it resided above the weekly close...

$/CAD at the first level, with some PA, but below the weekly close, that would be pass...

anyway, just a few observations, maybe some more next week....have a good weekend...

Might be useful as a disaster/black swan stop loss.

Not sure how.

Just random numbers I guess, like most things out there. I got the idea for these levels from something I had read from Tom Demark some years back. He had discovered a random number that acted as S/R many times. I think it was either 5.6% or 5.9%, I don't recall exactly. He also used the levels of swing closes I believe, I'll have to look it up. Anyway, I wanted something calculated of the daily close, although you certainly could argue for using the weekly close I suspect. Experiment as you see fit. Cheers.

a few hits from Friday, not having the weekly close at your back....

and a few busts, I looked at the 5mins charts, and there was no reaction....I'm sure there are more failures, but sometimes you get a reaction then a failure...

this one had PA near two levels, first one failed, second one held...

anyway just a few examples/observations....



I will say it seems better to use daily PA instead of looking at shorter term charts. Also if you have two possible levels, maybe use the furthest away of the two. Looks like in many instances at best you get a 10-15 pip scalp, many times they fail as the day wears on. As far as trading with, or against the weekly close, well thats up for debate I guess.

Also, the percentages are not set in stone, I basically took Demarks 5.6% or 5.9%, and made it 0.6% to get levels for daily use. Then I added 0.3% as a midpoint, and 1.2% as extended range possibility. If you use these setting on more volatile instruments, like BTC or silver, you will see they are bunched up significantly as a result of the higher percentage moves they have.


Like I say, feel free to experiment....

have a good weekend...laters...

Are you still using this?


Cheers!

Ha, its been a while. Was off mt4 for a couple of years, not trading FX. I did back in the day a bit, lining it up with other levels. Average results if i recall.

Funny, no one asked about me about this ever really...