I discovered this when I was in a Skype group with several different brokers/charting platforms in use. There'd be frequent conversations like this: "That pin bar was a strong reversal signal." "What pin bar?" "The one at 8:05 eastern." "I don't have a pin bar, I have a big green bar, then a big red bar." OK, so a big green bar followed by a big red bar on one chart is a pin bar (shooting star/inverted hammer) on another. The key is to get to the point you automatically recognize the price action of each of these chart patterns as equally valid signals. I agree it's rather annoying, but with enough experience you get to where if it walks like a duck and quacks like a duck, it's probably a duck
Great and smart point. The problem is that there aren't many people interested in learning how to balance the pattern recognition and make it consistent. This same question has been asked on these pages since I got here 7 years ago. Each time the masses are told how to fix the problem the teenagers and flaming queens show up in force spewing their dribble. It isn't worth going through it all again. I predict that before this Fall everyone on these pages will have a website they can go to prove to themselve that specific pattern recognition can be perfect and consistent . . . for friggin free.
Good observation. Using charts is full of obvious and not so obvious errors. Beware of anyone who advises differently-- particullarly with perfect looking entries and exits posted. When you see these types of illustrations, ask the proponent to demonstrate in real time and in the real market prior to the pretty chart being created. They will refuse and offer a multitude of excuses why they can not or will not. Enough excuses to fill a book! surf
In the big scheme of things - one candlestick should not affect too much the bottom line. Just a bad candle is no issue and on an intraday basis just one candlestick data is pretty much useless data
Hint: If you are looking at different platforms that show different results, that would seem to be a bit noisy to me.
Hardly, there are several chartists that will make real time calls, you know that Surf. Cut that out And then, when we are correct you will say it is luck, and we should do it over some insane number like 30 years or something
Hey RCG, Who are these chartists? Do you know where they post their calls before the fact? I am open to change my opinion as ofcourse I can only go with my experiences and knowledge up to this point. thanks, Surf
The question should really be, if you pick ONE vendor and stick with it for a period of time, are its candles giving you the opportunity to pull money out of the market? All they need to be is consistent with themselves over time. NoDoji mentioned a great point, and for the record I was one of the witnesses to her amazingly profitable delayed candles!! LOL I have done basically all my backtesting using IB charts, which are supposedly notoriously inaccurate and inconsistent. I don't place a huge importance on candle patterns alone, but I find IB's charts plenty sufficient for studying ways to make money.
Better yet, if someone says they can predict turning points in advance, or starts rambling about cycle research, make sure your wallet is in your pocket still.
RCG raises his hand. Logic has also invited you to witness his trading in real time. We are both chartists, and we do not agree on everything either. He and Jack believe volume is the crux ansata. I believe time is. So anytime you want me to make a call, I will do so on anything you ask. You and Vic, and Mike can keep track of how crappy I really am.