Trivia question: How were the markets different from 1980-1999, 2000-2007, and 2008 to present? Multiple differences among periods. US Treasuries and Stocks used to trend together until 1998, then began moving inversely. Huge Bull Market 80-99, Dollar strong, lots of foreign investment. 2000-2007 mostly sideways for Stocks, Retail Forex becomes bigger, Gold starts rising.. CDOs, Mortgage-backed derivatives of course major issue in second half of period. 2008-present, monetary policy very different, extremely low Fed interest rate, much increased volatility in multiple markets, uncertainty about USD's future... -- On Patterns - Elliott Wave is not easy to make money with or be accurate in making calls. With alternate interpretations, and sometimes alternates for alternates, it takes lots of experience to wield the Wave Principle profitably (if it can be done). After one year with the WP, i moved on. For my money, a better approach is to use Objective Chart Patterns, as they do allow for testing and automation. Rule Based Trading works for me. Simple Point and Figure Patterns are objective, as can be bar/candle patterns. It is also possible to have more complex geometric chart patterns be definite.
If you can turn all of your plans into programming, ideally the program should trade as you do, but your emotion would affect you to not ideally do what you should...
I can also not understand why someone would trade manually when he's following a rational system that he could describe in a script and trade automatically. I mean, by staring at price curves you do not learn anything useful, nor do you do anything for the common good, nor do you have any fun. What do you do when you're 80 and have nothing done in your life except brooding over the prices of now long forgotten stocks? Manual trading is in my opinion a sad example of completely wasted life time.
I've been trading a LONG time. I do not let emotion affect my trading. I either get a system trade or I don't. There is no gun slinging going on. The trade either sets up or it doesn't.
I have plenty of free time, the mkts only take 6 1/2 hrs a day 5 days a week. And it keeps my brain sharp. I consider it brain exercise.
how's that relevant here ?? the mere fact that somebody's been trading for ages doesn't mean he is profitable .. my first ten years - let's just say I was donating Mr Simons .. still no idea how the year 's going to end.. as to the waves and Gann and all that tune - it's safe to assume ALL IS BULLSHIT until proven otherwise It's got to go though your computer as it's not biased / computer/ and then you can start drawing some careful conclusions ..and try not to be too optimistic at least worked for me in 2011 ..and I couldn't agree more with jcl about staring at c h a r t s just f. waste of time .. just look at clouds - it's unbelievable how many faces you can spot there - here, I can see one which reminds me of Raskolnikov or is it Wide Tailz ??
Objective Chart Patterns are any chart patterns that can be identified mathematically. Basically = computer identified chart patterns
Sorry, should have clarified. I've been trading profitably for 13+ years and I day trade full time (ie no other "employment")