Solely price action these days. Prop shop kind of stuff. BTW I'm not saying TA is impossible to use...I've just seen too many guys trying to find the holy grail and never learning to trade.
#1. We form a double top at the 11:20 bar.. and then the 11:35 bar closes down .. ---The entry, you are looking at the after fact because you are missing the signal 3 minutes earlier. This is also not a good position to go in short, some times it breaks, sometimes it'll go back up because you are trading above opening. Lower then 50% success ratio. #2. Two hammers are formed at support.. we seem to be in a trading range.. Long Entry here?? hammers and shit, d ---- AFter the fact #3 Good entry This is the entry that has proved itself. Most of your entries are consisting of different styles tops, bottomss, hammers, consolidation, breakouts later? Its not congruent, thats why you will get so many bad trades because high probability trades does not come with all styles. Some days its good to do consolidations, some days its good to do breakouts, you are doing everything everyday. I trade with only 2 lowR/HighR for short, 1 high probability pattern for long. I never trade both in the same day, because they won't happen in the same day if they were high probability low risk high reward trades. #4 Also, you are missing the forest for the trees.
Have to agree with that assesment. No offense to anyone that uses all that stuff but generally the more lines, circles, indicators, studies, etc I see on a guys monitor layout, the faster he's losing money when i get to know him. I've often thought about why, orginally thinking that they are just always trying a new indicator or study without ever getting totally confident and consistent with just a few but I'm not sure thats it. We all go through that stage, or most of us do early in our trading career. But then i've seen some others not switch and I think it has more to do with the fact that you can always find an indicator to back up whether you think you should be long or short your position. For the guys without all that stuff crowding their screen, the last sale is the TRUTH not some overbought/oversold reason to stay long/short on a 10 min time frame when they entered the trade for a 1 min sclap, etc. Anyway same disclaimer as above, not saying TA doesn't work but the main reason for it IMO is that it encourages people to trade. If it didn't work at all it would be necessary for brokerage houses to do there best to convince people that it does because it gets people to trade when there indicators give them the green light. Everything in this industry is set up to drive volume. TA, upgrades/downgrades, shifting asset allocation models, etc, etc. They all get people to buy and sell more. The big guys fear that more and more people might just "buy the index"....so what do they do....all of that stuff above and more. Hell now they have so many index's they can say.....go ahead and index all you want, just make sure you swap back and forth from the couple hundred index's we have now created. :-S Commissions and spreads are what can make you rich, much more so than trading. You want to make money in the stock market, get yourself on that side of the model.
Dustin, Thanks for the clarification. I'm also a price action only trader (no indicators) and I use technical analysis. Thus, I think we just have a different definition of technical analysis. Most seem to think in involves indicators and I happen think it involves any kind of analysis that involves chart analysis or price analysis. With that said...I've met some guys that are pure price action only traders (no charts)... Not sure if your one of them. Mark (a.k.a. NihabaAshi) Japanese Candlestick term
Flashboy, 1. The formations (the names you used anyway) did not occur and some others posting here got the idea you are using TA; for the record, you are not using TA and you lack the skill to name things, even, at this point. 2. NihabaAshi tracks you and I do as well. 3. Avalanche is a person who has posted how his career as a trader failed and he advises you to get on the opposite side of the market (the commissions and fees side) where he is now that he quit trading, apparently. So you see that you have the same advice coming to you from a successful trader and an unsuccessful trader turned operator(broker or advisor or something) and moderator. You can read, also, from these people that you are busted. Learning this from them is the good news. Here is the bad news. Anyone giving you advice on continuing lacks the capability to know and understand that you cannot be fixed. In effect, these persons are not well enough along in their knowledge, skills or experience to be able to recognize: 1. the misinformation you are posting (knowledge stuff); 2. Your total lack of skills (actually one person did give a rundown but he did not see that the information you posted was out of order as well); and 3. you have no trading experience (You, like a carpenter with 20 years experience are repeating the first six months of carpentry over and over forty times). Read, first, avalanches succession of misunderstandings that drove him to the "right side of the business". You have misunderstandings too; his misunderstandings are all over the lot just as yours are too. NihabaAshi, politely, lets you down easy. He knows a year of abstinence is just the first year of being out of the trading apprenticeship world. Avalanche learned to get out with about 9 big steps (and many more small ones he states) to go more and more remote. Now out of it, he moderates and does advice, etc.. To you, he says, it is better for you to join him as a collegue or something to get rich as he now is. So you haven't taken NihabaAshi's advice in the past. I made my three manditory passes with you from a "making money" viewpoint. I, as well, failed to get you to do something to gain knowledge, skills, and experience. As you say almost no one in ET does any stuff on trading. You see that nothing is going on because you cannot recognize anything related to trading any more because you are busted. See if you can recognize any of the other ET persons who are likewise busted. Your chart that 150 people looked at is not annotated. Avalanche believes people who trade have too much on their charts so they can't trade. We all have looked at avalanche's charts, haven't we. They are inbetween. Anyway, as a potential trader, you did not ever get to see the market and even place upon the screen anything that shows you are in the room. Hello. A person who is thinking of the future usually has a space for the future on the right side of the screen. Futures magazine last issue showed 100% of their ads and illustrations with no annotations in the future space to the right of the active bar. HELLO!!!!!! When you started this thread and forum for helping you, did you ever think about anything other than what you wrote. I doubt it. HELLO. If you took a poll on this, it is possible that all of those who voted in the same given way would be voting wrongly (opposite the correct voting way). Any poll on you will say correctly that 100% of those who give consideration agree with NihabaAshi. Avalanche just proved nine+ wrongs make another wrong.
I think Nihabaashi raises a good point above. Would you care to expand on what you mean by "technical analysis". If asked whether I trade by TA I would say yes. I do NOT use any indicators, studies, waves, gann, geometry etc. I do NOT use any traditional chart patterns I DO read price and volume action from charts, correlation with other instruments etc. You also state that you use "price action". So when you present your strong opinion that TA does not work, what do you mean by TA and is reading and interpreting price action from the charts TA by your definition? Trent
OK to make it a simple clarification, I am referring to using indicators on charts including trend lines etc.
Can any moving average indicators be non or almost non-lagging and if so which ones come closest and what is the most points they normally lag on YM intraday 10 minute chart not including breakouts/fakeouts.......thanks.........george