It seems like one of the most likely things that people “assume” is that Logical Forex Magnet Lines are “the same as” support/resistance lines.
This is NOT the case. Logical Forex Magnet Lines are somewhatrelatedto support and resistance lines, but they actually show MUCH more information and are far more mathematically complex that just “finding a swing point high/low and drawing a horizontal line”. Not only that, they are NOT a place for trading them like a “breakout system”. Again, there is some similarity, but it is NOT the same thing.
Why are Magnet Lines so different from what you are probably used to seeing?
Well, there are several reasons. Here are a few…
Most trading systems use a TIME-based chart. For example, it has become somewhat of a tradition to use Candlestick Charts… and to open those charts on, say, a 15-minute time-frame. Many times, the “trading system” will require you to open multiple time-frame charts so that you can see how they all relate do each other.
I’m tired of thinking about that just writing about it. 
There really is an easier way. I’m not the least bit interested in how price moves relative to a “self created time frame” such as a 15 minute chart, or any other time-based chart. Mostly that is going to show me is how price has moved relative to time.
What I want to know is: HOW DOES PRICE MOVE RELATIVE TO PRICE.
Think about that for a moment and the impact this can have on your trading.
Now, reconsider what Logical Forex FLOW lines mean. If we are comparing price movement with price movement, then we can see the true flow of the market. If, however, we are comparing price movement based on a “segment of time”, we simply cannot gather the same kind of information. This is why we use a RANGE CHART and NOT a time-based chart. Well, it’s actually just ONE of the reasons.
Perhaps the most profound thing that a Range chart gives us is a better ability to actually see TRUE “support and resistance” in the market. That’s where Logical Forex Magnet Lines come into play. Because we are comparing “peaks and valleys of price to price movement” instead of comparing “peaks and valleys of price within/to the end-of-a-time-period” (like a 15 minute or even a 1 minute chart), we can see an entirely different and much more complete view of the actual movement of price. And, with the extra calculations that are involved to present Logical Forex Magnet Lines, you get an even deeper view into where the Decision Points are in the market… where the “big money traders” are moving the markets… and THAT is where WE want to trade by following what they do.
If you’re wondering how a Range chart works, it’s fairly simple. You basically won’t see the chart move or “paint” until 1 full pip is seen in the bids. If you have a 2 Range chart, then your chart will be mostly “still” until 2 full pips have been seen in the bids. A serious implication of this is… the larger size movement you set in your Range chart, the “deeper your pockets” need to be. In other words, if you use a 2-Range chart, you’ll need to have more equity to trade than a 1-Range chart. In addition, there are other things that become even more important, such as being able to trade well by moving your focus from the charts to the broker quote panel where you execute your trades.
We get into more detail about these things in the Quick Start Videos (which you get immediate access when you purchase). And, the depth we go into these things, and much more, in the Logical Forex Premium Videos and Mentoring, well… since we step you through things with a Checklist in the Getting Started Guide, you’ll find it’s much easier than anything else you have learned in forex… as long as you are willing to kind of “flush your brain” and “go with the flow”.
The further you are willing to fully engage our training materials, and apply them, you can excel far past anything you have likely ever imagined. You really can become a professional trader, fully in control of your trading choices, and your own results.
I have gone into much more detail about some of these things in the video I have included here. You’ll see MANY trading opportunities using our Logical Forex Trading Strategy that you simply will not see in a time-based candle chart. You’ll see real examples of the “big factors” we use: (1) Good Price Action/Activity; (2) Obvious Price Flow; (3) Price Interacting with a Magnet Line; (4) WatchDog telling us to pay attention.
When the video starts, you can click the icon in the bottom right corner to view in full-screen mode. The video runs about 20 minutes. I really want to encourage you to take the time to view all of it. Maybe even watch it twice. I am showing you some critical things that if you are willing to spend a bit of time, you will likely have some new insights into forex trading in general, and Logical Forex in particular.
If you’re already a Logical Forex client, now would be a good time to review ALL of the training materials you have access to. If you have the Premium Videos, make sure you review ALL of them, too. And, if you are a Mentoring client, be sure to follow through with everything your Mentor asks you to do. We use everything to step you through a very deliberate process, and sometimes what we are showing you “today” might not make complete sense to you until you have actually experienced it.
If you haven’t tried Logical Forex yet, or you know you want to get started again, I really want to encourage you to move forward and dedicate yourself to “digging in” and absorbing what we provide to you… at whatever level of commitment you are ready to begin with. It is always fun for me to hear your stories of success. It seems like most people follow a very common “path”… some faster than others… but it’s truly a joy watching those of you in our Logical Forex Family “get it” and “make it happen”. Logical Forex really is a fun way of trading, and a fun way to live. Scott and I so much want to see you succeed.
Now… get comfortable, and enjoy the video. Keep your eyes wide open and your ears tuned in. There are some very important things I’m disclosing in this video.
Have fun with Logical Forex!
-Greg
