What I stated prior was that inevitably when price fails, say, to move higher thru its 1 minute box it will go look for support at 5 minute all the way to the longest TF etc (understanding it can bounce, drop, or consolidate)
My above statement is more in reference to staying in a trade AND/OR getting into (or back into) a trade. I may have a profit target 50 cents away from where price is but if its vertical move halts on the shortest TF....
how efficiently can I get out and back in the market. Or should I? Can I count on the bounce to take it back thru the high (there's only one spot I know it should bounce or I'll get out, but the strongest ones tend not to revert to this spot). I think stepping back to only the 5 minute TF will alleviate some of this. However those 5 minute TF high/low's can be more more $ than I am willing to risk. (this is why i've been considering a max loss trailing stop, say 10-15 cents but those damn spreads can make it tough)
A. This is where I believe I should be taking 'a leap of faith' - it's a strong stock so this point is the new 1 min low, I'll buy here and anticipate trend continuation (though it could fail or consolidate). I'll try the 5 minute...
B. If I don't do this, I'll end up buying the breakout high correctly, but like I've said it could be correct for 5 cents worth...and crash
Would you say it's more of A. or B. (and just getting better at it with the help of longer TF's)?
Horizontal and diagonal lines - that match each other - on each chart
RN [/B]
Could you expand on this?
This made me think of the interesting way in which the diagonal lines interact with one another. I'm not very smart so I haven't figured out the dynamics yet - if you draw trendlines on the daily, hourly, 15 minute, whatever, they don't match up with each other. They have different slopes - Price could be hitting the daily chart trendline but that same daily trendline, on the hourly chart, doesn't match up.
How do you match 'em...is one correct? i would 'guess' the daily
Almost zero - I just have daily, hourly, 5 minute, 1-2 minute
Weekly chart –
Almost zero
Daily Chart –
Highly significant, 6mos - 1 yr. I look for stocks that have shown me they are going in a direction for a reason - there are a couple patterns, if price reversed direction or broke at key areas, I anticipate being 'completed' or 'continuing'
1 Hour chart –
Essentially the same importance and function as the daily, the last 2-4wks - Just focusing on areas I believe I can catch moves early. Multiple tops/bottoms, some kind of 'clean' looking chart
5 minute chart –
A little less important. Here I'm watching the previous 3 days or so for the same above and potential plays off their highs/lows.
1 minute chart –
I watch this because it's real time. The other data is just a couple seconds behind. Here again, where can I find price moving for a reason being supported along the way. In addition, it should offer a risk of 1-15 cents or so. I mostly risk right off a new high/low (don't want intraday chop)
I pay attention to the open price. I don't really want to go against it unless a stock has moved 1-2 dollars + and I anticipate a reversal in the S&P - then it at least has room to run
I feel I understand how price moves out of agreed upon areas by buyers and sellers. Where it must be supported and what to anticipate based on these responses...after that it's going to do what it's going to do.
Recall I remarked your approach is bassackwards – the above confirms it
You're essentially ignoring the overall picture (the most important higher order S&Rs… Ranges… Direction) and instead focusing on the minutia
I would also submit – you may be paying attention to the opening price, but in the bigger picture – have no idea which way price is really headed.. of how it is likely to move along its way of getting there
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Simple observation
Saying you won’t go against a stock unless it has move 1 -2 dollars...
Is akin to saying price moved this far so its time to short as it can’t go any further
BS... Many traders have gone broke thinking/ trading like that
And it’s immaterial whether you’re anticipating the S&P is reversing or not – ever heard of decoupled movement
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I feel I understand how price moves out of agreed upon areas by buyers and sellers. Where it must be supported and what to anticipate based on these responses.
No Sir – imho you really don’t
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Below are two links
The first will give you a way to bring in the bigger picture… the second, how to execute within the bigger picture
I respectfully recommend you tear into them... break em down and work to understand their content
What I stated prior was that inevitably when price fails, say, to move higher thru its 1 minute box it will go look for support at 5 minute all the way to the longest TF etc (understanding it can bounce, drop, or consolidate)
My above statement is more in reference to staying in a trade AND/OR getting into (or back into) a trade. I may have a profit target 50 cents away from where price is but if its vertical move halts on the shortest TF....
how efficiently can I get out and back in the market. Or should I? Can I count on the bounce to take it back thru the high (there's only one spot I know it should bounce or I'll get out, but the strongest ones tend not to revert to this spot). I think stepping back to only the 5 minute TF will alleviate some of this. However those 5 minute TF high/low's can be more more $ than I am willing to risk. (this is why i've been considering a max loss trailing stop, say 10-15 cents but those damn spreads can make it tough)
A. This is where I believe I should be taking 'a leap of faith' - it's a strong stock so this point is the new 1 min low, I'll buy here and anticipate trend continuation (though it could fail or consolidate). I'll try the 5 minute...
B. If I don't do this, I'll end up buying the breakout high correctly, but like I've said it could be correct for 5 cents worth...and crash
Would you say it's more of A. or B. (and just getting better at it with the help of longer TF's)?
Neither
I know the longer TF S&R and direction
I know the intermediate S&R and direction
I know where price is, and what its doing on my Trading TF – in relation to the above
I build context using horizontal and diagonal lines
I determine if price is acknowledging my context – if it is – I use it..., if not I redraw it till I get it right
