Why Is The Obvious Not So Obvious?

Discussion in 'Risk Management' started by nysestocks, Jan 25, 2009.

  1. J_Smith

    J_Smith

    I am going to look at the SP500 index chart as the main trend chart, as my focus is currently on stocks. The only information that I want to see from this chart is where we are currently with the index, and it is very clear.

    Chart 1 = T = Trend Chart = SPX SP500 Index Monthly Chart

    O = 2089.50
    H = 2123.76
    L = 2067.18
    C = 2122.73

    We are currently trending UP nearing an all time high of 2125.73

    This is my starting reference point.

    What I do next is very subjective, and will depend on several factors that will be based on learning to date and my resulting trading experiences.

    J_S

    Screen Shot 05-16-15 at 08.40 PM.PNG
     
    #3871     May 16, 2015
  2. control youRself. AlwAYs
     
    #3872     May 16, 2015
    Mysteron likes this.
  3. J_Smith

    J_Smith

    I am trying BH:)

    This chart is so,
    That one might know,
    He look at six,
    A box of trixo_O

    Screen Shot 05-19-15 at 01.54 AM.PNG
     
    #3873     May 18, 2015
  4. J_Smith

    J_Smith

    When change the view,
    It still holds true,
    But seven think,
    Indeed will shrink

    Of course these squiggle,
    Make many giggle,
    But you must choose,
    How much you lose

    Keep big loss small,
    And size not tall,
    You will be sound,
    100 penny make pound:)

    Screen Shot 05-19-15 at 02.16 AM.PNG
     
    #3874     May 18, 2015
  5. J_Smith

    J_Smith

    Now show last one,
    Box half (x) one,
    Up close can go,
    So legs not show

    If time leaves trace,
    Without a face,
    Then how can be,
    The busy bee:)

    Screen Shot 05-19-15 at 02.49 AM.PNG
     
    #3875     May 18, 2015
  6. J_Smith

    J_Smith

    J_S was ask,
    By one in mask,
    How be like me,
    And make money

    Reply was swift,
    There is no gift,
    Thee Golden Rule,
    Is "Don't be Fool"

    Most will say,
    They know what way,
    Others will tell,
    But they just sell:rolleyes:

    But Rule though true,
    No good to you,
    Unless you can,
    Have one good plan

    What of this way,
    That make it pay,
    How do I know,
    What plan should show

    Like little tod,
    Use your nod,
    Always risk small,
    I then grow tall

    Now that is clear,
    Can set stop near,
    But how I know,
    Where market go:confused:

    Most say the KEY,
    Is what you see,
    But few do KNOW,
    That not is so

    MN post true,
    Not OP but You,
    That is but part,
    Of being smart

    We post some more,
    Bout making score,
    Where good plan go,
    See..many be slow

    When one do start,
    To try get smart,
    Must never stray,
    From what does pay

    So far we know,
    Bout risk and slow,
    Why not write down,
    What in your crown

    If one do say,
    Show me today,
    Just waste of time,
    Bell never chime:)

    J_S
     
    #3876     May 19, 2015
  7. I will give a half answer to the OP's original question here because what he was trying to do was noble but also misled many unintentionally.

    Volume. If you think about it, volume can be the only thing that matters as nothing else has an impact on price. Volume either hits the bid or lifts the offer. All price patterns are a result of this simple concept.

    FS



     
    #3877     Jun 18, 2015
  8. This thread will never die ! :)
    I think the obvious pre-requisite to trading any market is self-mastery.
     
    #3878     Jun 18, 2015
  9. RedDuke

    RedDuke

    Not that easy. I have done extensive studies on the volume subject (traded and book volume), and while volume is somewhat important, it is not the main block at all.
     
    #3879     Jun 19, 2015
  10. bogan22

    bogan22

    Hi,

    The OP stated repeatedly that it was not volume that they were referring to, they did use volume, but in a different way to most of us.

    I'm in Mysteron's camp, most of us come away with a different concept of what "the obvious" is.

    Having said that, I've got my own concept, it may differ from yours.... feel free to disagree. I won't state what I think explicitly, but I'll point to what I think may be some of many clues..

    1. "The obvious" is, as they stated many times, is..well...Obvious. NYSE states that he has "stated that point, many many times". It's right in front of you. Its in any chart, but, you need to "rub your eyes" and look. It operates straight in front of your eyes, right out in the open.

    2. But, as with the thread on the see through Box, you need to "train the eye" to see it. In order to train the eye, you need to be still and watch and think. Forget everything else you've been told or learned..and just watch what is going on..question what is happening, why?

    Watch this short video on watching and thinking...forget about any technique the author uses, that's not the point, just note how he quietly observes what is going on...

    http://marketgeometry.com/blog/reading-price-action-shak daily

    3. Refer to this thread, particularly to TO, TE, note the pictures they posted, why did they post a picture of a man pointing to the market, a gondola sinking, the cover of a book, the intraday charts, what do they have in common?...why did TO take that option trade where he did?

    4. Refer to the thread by MrCharts, he tells you where to look. Refer to the thread on maps by The General who shows you how to look (well, one way).

    5. Refer to this thread where TO/TE are drawing straight lines, why did price come back to those points?

    6. All the other stuff you've learned is out there for a reason...why?

    7. A personal observation: don't go down the path of believing they are talking about a magical formula or the like,they are not, just watch price and what it does...

    Regards
    Bogan22
     
    #3880     Jun 20, 2015
    fiction likes this.