Discussion in 'Journals' started by dbphoenix, Jun 28, 2013.
How are these lines drawn?
See post #1.
draw a line thru 1 and and 3 then draw a draw a parallel line from 2
not the channels...i mean the pink and blue lines with 50% wedges...are they just simply drawing line from top to bottom and marking the 50% point?
As noted in post #1, the blue lines are "demand/support" lines and the pink are "supply/resistance". The first tracks demand/support by connecting the swing lows in an upmove. The second tracks supply/resistance by connecting the swing highs in a downmove. Their purpose is to alert the trader to changes in the balance between buying pressure and selling pressure. These changes may alert him to scale out, pyramid, exit, whatever, depending on his strategy and tactics.
"50%" refers to the midpoint of the upward or downward move, e.g., a move from 20 to 10 has a midpoint of 15, a move from 6 to 18 has a midpoint of 12. This can be a "last line in the sand" regarding the continued viability of a trade.
Every so often, along comes a threadâ¦
Are you going to be posting calls in real time?
I'm very interested in this thread.
No need..., AND - its asking Monet to finger paint
No, I won't be posting "calls", in real time or otherwise. I have no crystal ball. I'll be posting potential trades in advance, primarily to demonstrate the point of all the pre-trade planning, particularly with regard to context. But it's unlikely that these will meet the exacting requirements you've detailed in your threads. You've already stated -- on TL -- that this is all nonsense, and I doubt that anything I'll post here will change your mind.
If one focuses his efforts on "looking for trades", he is unlikely to do much more than cover his expenses, if that. But if he spends enough time studying charts, preferably in real time or via replay, he may eventually develop an understanding of why and how price moves. He may then develop a sensitivity to when and where it's most likely to provide a tradeable opportunity. He will then be ready to "look for trades".
The market will tell one what to do if only he can set aside his ego and listen.
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