"how long" until emini daytrade trendline becomes"valid"??

Discussion in 'Technical Analysis' started by increasenow, Nov 26, 2007.

  1. "how long" until ES or NQ (emini) trendline becomes"valid"??..meaning from tops or bottoms for how long?...5 minutes, 1 hour, 2hours?...please chime in with your expertise....thanks....
  2. as long as you can link 2 highs or 2 lows together using a line, you have a valid trendline.
  3. thanks...is not there greater "validity" if the trendlines are say, 30 minutes apart rather than 2 minutes?...correct?...
  4. theres only one way to find out and its to do the statistical studies yourself. I suggest you take stats on the following

    - how much time between the 1st and 2nd hi/lo that you link.

    -how many high and lows forms your trendline (to verify if more highs and lows means a stronger trendline''

    the total ''time'' of the trendline. exemple if your trendline starts at the 10:00 am high and ends at 13:00pm, you have a 3 hours long trendline.

    -the slope of the trendline

    do that and youll have a definite answer to whats good and whats not.

    i assume that you want to play trendline breaks as entries. do the work and youll know if a 4 point trendline that spans over 4 hours and is sloped downwards is statistically better than a 2 points trendline that spans over 1 hours and is horizontal.
  5. never saw a valid trend line - ever..
  6. strong words
  7. A visit to the optometrist is in order then :)

  8. pma


    + 1 for the previous mentioned book "stikky stock charts."