Al Brooks method

Discussion in 'Technical Analysis' started by Dinosaur_Supervisor, Jan 2, 2016.

  1. Cswim63

    Cswim63

    If price and value were always in line there would be no reason to trade
     
    #51     Jan 3, 2016
  2. Xela

    Xela


    "Discuss this statement critically" - sounds almost like an essay-question in the exam for membership of the Society of Technical Analysts, or something. I trade largely artificial instruments, intraday, so "value" doesn't play much realistic part in my trading thought-processes. I see, of course, that it's highly relevant in some contexts. :sneaky:
     
    #52     Jan 3, 2016
  3. Cswim63

    Cswim63

    I would agree. Most traders concern themselves with price. But there's also the concept of value in technical terms, such as volume profile. I find,price alone too narrow, though I've traded,that way. I would say that that's what technical traders do anyway, trade back towards recent value,or away from it. Price has to be out of lign from what you perceive, otherwise you wouldn't do it. Ever put on a trade and know immediately its wrong?
     
    #53     Jan 3, 2016
  4. Q3D

    Q3D

    what is al brooks' favorite charity?
     
    #54     Jan 3, 2016
  5. Reason is that traders are finally waking up and realzing that TA and the promoters of such are the enemy. They are out to get your money or just plain deluded themselves.

    Just look at the FX dealers who profit when you lose. Without exception they all push TA with free courses etc. think about that---


    All of today's evidence reveals that TA is fatally flawed at its core premise. One by one the true believers will die off or just move on.

    It's about time retail tries something new and fitting with todays market.
     
    #55     Jan 3, 2016
  6. Xela

    Xela


    Yes, I hear you. (I think I look at that more as trading away from price, or S/R, than "value", really, but it's probably a semantic point).



    In the sense that your methods necessarily tell you, for whatever reasons, that price is more likely to move one way than the other; yes.



    Sure: I close those quickly. Experience has taught me, with my trading-style, that if the price doesn't move quickly in "my direction", it's not a trade I want to be in, because my entry-criteria were probably mistaken (and I can always re-enter later).
     
    #56     Jan 3, 2016
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  7. Cswim63

    Cswim63

    If the price at the moment is causing traders to change their views on the market and panic, what is that? I'm just asking anyone who cares to reply. Is that randomness? Technical analysis? I'm more confused than when I got here.
     
    #57     Jan 3, 2016
  8. speedo

    speedo

    There is little to be gained by engaging in dialogues with fools. One would hope that the aspiring trader can judge between the traders and the trolls. Lacking such judgement renders success iffy anyway.
     
    #58     Jan 3, 2016
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  9. Q3D

    Q3D

    Price movement on low timeframes is artificial intelligence trading at from nanosecond to seconds intervals reacting to orderflow, changes in other markets, and interpreting written and spoken word, this results in a random stochastic process.

    Automated technical-based trading has a chance to survive in the markets now before the next paradigm shift. Old-fashioned Al Brooks point-and-click discretionary day trading is impossible, definitely impossible at the timeframes he sells people on (5 minute bars, he even says 1 minute bars can be traded profitably, he writes nothing about the technology changes in the markets)
     
    #59     Jan 3, 2016
  10. Cswim63

    Cswim63

    I look at a five year old Mercedes with all of its computer and technical problems and think that the more complicated some system gets, the more unstable it is.
     
    #60     Jan 3, 2016
    VPhantom, speedo and Xela like this.