Indicators are used to make entries in the already defined direction of the market. Indicators reflect the fear and greed position in the marketplace. Thank you for your time.
Just a comment that I've repeated a few times, just to clarify one thing. "85% of traders" DO understand trading - perhaps 85% of those Attempting to become traders (or more) do not understand trading. Just like the success rate of traders....experienced traders make money (or they would have to stop trading, right?). A large percentage of those attempting to become traders don't make it, but again, those who have been trading a while are obviously making money. I know it sounds like semantics, just commenting. All the best, Don
So here's what traders SHOULD be doing. They should be analyzing areas where those buyers and sellers do and don't want the product. Where's the demand? Where's the supply? Where isn't there going to be supply or where isn't there going to be demand? These factors all move price and velocity of price. To help us newcomers .... is there an example with a chart that might help us understand this point in real life? I think its a great point. The learning process is figuring out 'how' to do that
Oh, sorry about that joab. My appologies. That's probably the best rule one can have. Im gonna take a break from the boards for a while. Think i'm over-doing it. I re-read my posts and I was contradicting myself, haha. I see what you mean. Happy trading to you as well.
Black candles are essentially red candles that still managed to close above the previous period's close, like when there is a gap up, and then price falls, but price doesnât fall beyond the previous period. The white candles with red borders are the opposite. Those are periods in which prices closed above their open for that period, but somehow still managed to close below the close of the previous period. This really brings back memories of the days I was asking this very same question, stay at it.
My god... People need to be studying more... One word: Qualia. http://en.wikipedia.org/wiki/Qualia http://plato.stanford.edu/entries/qualia/
In my experience, my "failures" had to do with oversimplifying the market...entry is not the most important thing, it is money management and risk management. Having said that, I have been quite surprised at the depth of knowledge required to be good at understanding the markets. Also, it is one thing to know alot about the markets, it is quite another thing to have the proper discipline and mindset to trade profitably on a consistent basis. The learning curve is steep, and there is a great amount of pain involved. Most traders (including me) have blown out their accounts a few times before they begin to get it right.
Hello Sumosam, When I was young I played a little bit of rugby in NZ (rugby being quite probably man´s finest creation) Well, to make a long story short, here is what we did. At the kickoff, our mindset was to destroy the other team. .. mentally, physically and emotionally and then pile on the points before half time. This means playing the game in the other guys territory within kicking distance of their sticks. Also known as limiting the effects of your own mistakes. Half time is ten minutes. Hardly enough time for broken bones to heal. At kickoff in the second half, the other guys are all fired up have learnt from the embarrassment of their first half performance. Well guess what. Our second half mindset was to destroy the other guys. .. mentally, physically and emotionally and then pile on yet more points . This meant playing the game in their territory within kicking distance of their sticks. Also known as limiting the effects of your own mistakes. All very simple really, and yet very difficult to execute under extreme pressure. regards f9