How to avoid Knowledge Bias in Day Trading ?

Discussion in 'Trading' started by TurtleLearner, Nov 7, 2018.

  1. volpri

    volpri

    Price moves, otherwise, money cannot be made. Second “how” it moves can be as important as the fact that it moves. “Price action is probally the best indicator of PA.” The “how” is indicated by the “range” or spread of the PA. Single bar and multi-bar range. “How” is also indicated by time element. How long did PA take to do what it does: Fast? Slow? Moderate? “How” is also indicated by the technical patterns PA formed as it moves. Precise patterns?...so..so..patterns...bad looking patterns. “How” is also indicated by the volume on which the PA took place as volume is equal to $ changing hands.

    The above is true for single bar and multibars however, dialing down or up in multiple TF’s can sometimes be useful to “see” the above taking place within the TF in which one is trading. You can’t always see it especially in single bar analysis.

    There are some blokes out there that have designed some software to analize just “how” each bar formed on basically any TF. At this moment i don’t remember who they are but i know someone has done it.

    But, the above can be “see” via dialing. At least somewhat.

    Nothing is ever for sure in the markets because there is simply too many variables. Too many unknowns. Too many unknowable unknowns and to many unknowns that cannot be known because they were never even considered or never have even been seen before.

    Therefore, anticipation of PA can only be projected in terms of probability or possibilities given the circumstances in which the PA is developing.
     
    #21     Nov 10, 2018
  2. Ldeyana

    Ldeyana

    Day trading is much harder than the other forms of trading. You have to risk high for gaining high. You have more probability of losses as compared to the wins. It is really a tough job to do as far as I think, what do you people think? I need your replies!
     
    #22     Nov 13, 2018