Are all price patterns the same? (examples)

Think in terms of Sequences...

 

I don't really define trends.

I've seen people say a trend is two HHs and HLs.

Or a low, HH, HL, HH.

Or an HH, HL, HH.

I've seen plenty of LLs follow HHs.

...and then make another HH.

I don't know where the trend is then.

But I've also seen some textbook HH HL HH HL trends that keep going.

I've seen people say the trend is defined by the slope of a moving average. In this case, your trend depends on the period of the MA. A 200 period average may get you a different answer than a 50 period average.

I've seen people say a trend is when R flips to S.

All of these seem like they work great sometimes.

That's my answer. If you can help me out with specifics I would appreciate it.

 

Try examining if the so called LL in an uptrend actually did a LL close, that would help you filter out a lot of the pseudo LLs in uptrends.

 

These are Held Pivots versus Failed Pivots. Also informative. If you can't discern Direction then do not participate.

 

First incorrect hypothesis;

Assuming reading PA is about patterns – it isn’t

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PA is about behavior… intent… emotion

PA is about effort exerted, and the resulting price movement



PA (behavior to a lesser extent – but especially intent) runs 2, at times 3 - layers deep

Patterns are simply the result of behavior, emotion, intent



Smart traders don’t trade patterns – they exploit them

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Second incorrect hypothesis

Price can only do 6 things - (and I will leave this to you to figure out if I'm full of shit stating so)


RN

 

https://en.wikipedia.org/wiki/Paradigm_shift

"Kuhn used the duck-rabbit optical illusion to demonstrate the way in which a paradigm shift could cause one to see the same information in an entirely different way.
"

https://www.google.com/search?q=par...oF87KkQWkkoCQCg&ved=0CEkQsAQ&biw=1024&bih=472

 

PA conveys Effects and should be observed accordingly. A Fractal may do many things at once.

 

Well technically it can also go sideways making neither highs nor lows, so it can really do 7 things. But that barely ever happens so I didn't mention it.

And then you've got the activity between highs and lows in which can it is uncertain what price is doing. For example, if price just made a higher high and is now retracing, the only possible things it can do is make a higher low, a double bottom, or a lower low, and until it starts going back up it can't be certain which it's going to do.

 

People love to say a lot of things without actually saying much, obfuscating everything.

 

Chop wood, carry water.