Does trendline work?

Discussion in 'Technical Analysis' started by GloriaBrown, Aug 17, 2019.

  1. easymon1

    easymon1

    Look at the MTTR charts just above this post and if you still have no answer to that question let us know.
     
    #321     Dec 15, 2021
  2. this entire time i thought your posts were satire...
     
    #322     Dec 15, 2021
  3. easymon1

    easymon1

    Not this one, lol. How bout yours?
     
    #323     Dec 15, 2021
  4. ok so then going back to that -- what information does a trend line that you draw, Fibonacci sequence, or moving average tell you? what is your theory of causality that explains the subsequent move in price?
     
    #324     Dec 15, 2021
  5. easymon1

    easymon1

    It can be a factor in demonstrating where a level of support or resistance lie, as well as prior resistance turning into new support.

    Now that we got that little dance is out of the way, lol, how do you apply your method to a 5-minute chart based entry? Hell, I'm interested in Anything that adds to my toolbox. Do tell. If you got a chart marked up with entry signal and trigger, giddy up.
    Earnings trends are far more important lol
     
    #325     Dec 15, 2021
    oraclewizard77 likes this.
  6. well the way you're thinking about the market would need to change.

    but here is how you would use earnings information to build a strategy you could take advantage of in the short-term:

    1. isolate the earnings effect on the stock price (z-score and data analysis stuff here to exclude the impact of markets, etc.) and then rebuild the stock price
    2. develop a theory as to why this occurs (could be that when large blocks are first initiated from a high ranking broker, that liquidity tends to get soaked up very quickly, causing an immediate deviation in price followed by a more gradual follow through in the same direction)
    3. develop a signal to ID those types of blocks -- looking for big orders with that broker code
    4. run a basic backtest to learn your risk, drawdowns, and subsequent returns
    5. trade it
     
    #326     Dec 15, 2021
  7. Well I am in a losing counter trend trade, but hopefully, it will turn around by the morning. As always a stop is your friend that prevents you from losing all of your money on 1 trade. LOL.
     
    #327     Dec 16, 2021
    murray t turtle likes this.
  8. easymon1

    easymon1

    #328     Feb 2, 2022
    murray t turtle likes this.
  9. I think stop loss is one great feature in forex trading on trading margin use leverage, stop loss can limit the risk in every single trade because of imperfection trading, tight stop loss or wide stop loss depending on each trader to manage the risk.
     
    #329     Feb 2, 2022
    oraclewizard77 likes this.
  10. Sekiyo

    Sekiyo

    Counter trend is for the greedy / impatient.
    Surpises happen in the direction of the trend.
     
    #330     Feb 2, 2022