Confusion about markets in "Trading the Measured Move" by David Halsey

volpri · Sep 22, 2020

Specterx said:
More the latter than the former. It's important to realize that nobody takes the other side of your order out of charity - they do so because they have an opinion on price which is the opposite of yours. If there's no difference of opinion then there's no trade, and any trader who voluntarily gives up significant amounts of edge won't be in business for long. The "wall of worry" is a way of saying that many players are under-allocated to stocks and are forced to buy in higher and higher as the market rises; likewise "buy the rumor, sell the news" occurs because traders front-run widely-anticipated events and then sell once the event comes off.

What relevance, if any, this kind of insight has to your trading decisions depends on the market in question, your style/strategy and trading timeframe.
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Or institution just has orders to fill so they just fill them. Not necessarily have a difference of opinion.

SimpleMeLike · Sep 22, 2020

speedo said:
What you have to understand is there is no "cook book", no easy recipe to trading success. Trading retracements is as old as trading itself. What Halsey offers is a logical and ordered way to enter and target. With some adjustments, it lies at the heart of what we do.....in addition to ideas by Linda Raschke, Al Brooks, Vic Sperandeo, Jeff Cooper, Richard Wycoff, Larry Williams and others. We all stand on the shoulders of giants, including the aforementioned.

You have to formulate your own trade plan based on your understanding of the concepts involved as well as understanding your own personal characteristics. Learning to trade is difficult and takes a lot of time and effort...time and effort that most will not invest.
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speedo is correct,

I fall into the "man, I wish I just I had a setup, where I can sit back and make money every day" and that setup repeat itself daily. I am fooling myself, that one cookie setup is not coming to save me. Atleast I now this.

SimpleMeLike · Sep 22, 2020

Thor said:
You just started so it's very easy to get sidetracked.
The most important part of trading is NEVER lose sight of the goalpost ........is this information going to help me make money?? If not move on.
IMO, whether Halsey is right or wrong is irrelevant, because it isn't helping me to make money.

Be ruthless with your time, before you know it, years will have passed without any progress. There are guys here with >10 yrs in the game and still struggling.
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This is the best comment on this thread.

SimpleMeLike · Sep 22, 2020

timothylee said:
When there is buying pressure, price continues to rise. When there is selling pressure, price continues to fall.

In "Trading the Measured Move", author David Halsey says quite the opposite:

"Markets continue to rally because they are fueled by sellers at highs. Markets will stop making new highs when the very last of the bears turn bullish right at the highs. Without sellers at highs, the market has no fuel to push through to new highs. This is where we get the saying, "The market climbs a wall of worry.""

This looks wrong. Is the author peddling nonsense or is he saying something profoundly important?
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timothylee,

I have two questions and two questions for you ONLY.

Does David Halsey make money (year to year) trading how YOU plan on trading?

Have David Halsey every made money (year to year) trading how YOU plan on trading?

If the answer is NO to both of these questions, stop reading his book and keep on researching who YOU plan to learn trading from.

If the answer is YES to one of the questions, keep on reading.

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Confusion about markets in "Trading the Measured Move" by David Halsey

volpri

SimpleMeLike

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SimpleMeLike