If you want to fail as a trader, study TA

Discussion in 'Psychology' started by The Expert, Apr 27, 2010.

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  1. NoDoji

    NoDoji

    I disagree. We never know which way the market is going to go, though we may think we know. I think personal bias keeps me from making GOOD money.

    My most profitable trades simply let the market tell me which way it wants to go. My most profitable trades are entered via buy stops or sell stops placed at breakout levels so that if the order is filled it means the market really wanted to go there badly enough to break through a previous high or low. It could be a previous pivot high or low, or it could be a previous bar's high or low, but the very fact that buyers or sellers are willing break these S/R levels places me in the direction of momentum, even though I may think those prices are absurd.

    I captured one of my best moves ever in CL today after price had made a straight drop down 1.33 (nearly 2%), pivoted and finally printed a green bar. I "knew" that price fell way too far, way too fast and would now go up at least .40-.50. But I decided to let the market tell me which direction it would go by selling the low of a conditional signal bar (if price hits X, I'm short). The market went in the direction it wanted to go and took me with it, despite the fact that I "knew" it was way too low to short and wanted to go up more first. In fact, I would've made significantly more money on the trade if I wasn't so absolutely sure that the first price pivot after my entry meant price really wanted to go up now that it had fallen waaaaayyy too far (wrong, it wanted to drop another .45 from my exit price).
     
    #1381     Jul 15, 2010
  2. SK0

    SK0

    Thanks for afford me the chance to ask.:D

    If I understand correctly, the space inside outer levels encompasses 70% of the sample. What about the space inside inner levels where noise resides I assume?

    And, why 5 min bar sample if the pane displays 1 min bar?

    Lastly, please elaborate further on the signals if you could. You seem to say that we should see no abnormal indication if a bar stays inside space bounded by outer levels. So, do you mean space beyond outer levels are where we should find the change signals?

    TIA
     
    #1382     Jul 15, 2010
  3. Redneck

    Redneck

    Possibly the obvious one (to me):
    Intraday

    or perhaps:
    Information



    Another attempt, as there is no need to add more letters to explain the meaning, inspired by oneself, myself and eveyone:

    I





    MN

    To your first one – No Sir
    To your second – Great insightful thinking – even wish I had thought of it but I didn’t – unfortunately No Sir

    ------------------------------------------------------------------------------------------------------------------------------------------------------------------

    IA = Indicator Analysis? (as in substitute IA for TA in the title of this thread).

    FA

    No Sir

    ------------------------------------------------------------------------------------------------------------------------------------------------------------------



    What Does Technical Analysis Mean? (copied verbatim from Investopedia)
    A method of evaluating securities by analyzing statistics generated by market activity, such as past prices and volume. Technical analysts do not attempt to measure a security's intrinsic value, but instead use charts and other tools to identify patterns that can suggest future activity


    Pretty ambiguous definition if you ask me… In fact so ambiguous that I have yet see two traders actually agree on what TA is… or PA for that matter


    Traders need to be specific – so that is what we’re going to be - specific….


    IA – imo describes a way to analyze price – as described in this thread…

    ------------------------------------------------------------------------------------------------------------------------------------------------------------------

    And before it’s over we’re going to decide exactly what IA contains – iow the specific tools & techniques we will use to analyze price & trade… with the only rule being whatever gets in to IA – must be useful in making money

    Useful to who – me (I thought of it)… but also useful to anyone with enough fortitude to take a chance and participate in a constructive manor…


    The goal is not to trade alike or even use the same exact tools/ techniques contained in IA…

    The goal is to understand what we’ve decide to place in IA… and more importantly why… Then we can pick our own poison…


    Imo it is a much easier destination – if you first know where you’re trying to get

    ------------------------------------------------------------------------------------------------------------------------------------------------------------------

    For those who participate constructively – nothing (I repeat nothing) is off table when suggesting it get added to IA – just as long as you, I, or we collectively can explain specifically how at least one of us can use it to make money – then we will add it..

    -----------------------------------------------------------------------------------------------------------------------------------------------------------------

    So let’s figure out what IA stands for

    Then we can get to deciding what it shall contain….

    -----------------------------------------------------------------------------------------------------------------------------------------------------------------

    Some caveats

    We may very well end up creating something useful – but it will be your responsibility to develop a trader capable of utilizing it and reaping the rewards…

    This will be work – but so is trading – use it as a training ground – good news is it won’t cost you a dime…

    For heaven sakes – let’s not recreate TA and call it done – PA is arguably a subset of TA… treat IA the same


    At the end of this I fully expect each of us to go our own way – but for a moment in time possibly we can work as one and acomplishing something worthwile – or not – we shall see.

    RN
     
    #1383     Jul 16, 2010
  4. Redneck

    Redneck

    Take the above....

    Add this....

    http://www.youtube.com/watch?v=qOvDsftwD4A


    And describe what it would look like - where it matters most


    RN
     
    #1384     Jul 16, 2010
  5. Redneck

    Redneck


    I posed a request – you responded

    Thank You

    RN
     
    #1385     Jul 16, 2010
  6. Redneck

    Redneck


    XX,

    How can you, I, or anyone know direction? (remember be specific if you want to answer)


    If I may suggest – let’s table this for now, figure out what IA is... and put some useful context to it– then we can absolutely return to this and discuss

    In the meantime and if you are trading – protect your capital – the mkt is in a peculiar place right now – and it could go either way fast and without much warning…

    RN
     
    #1386     Jul 16, 2010
  7. blox87

    blox87 Guest

    IA

    Interactive?
    Interpretive ?
    Inside?
    Illegal? Goldman Sachs style
     
    #1387     Jul 16, 2010
  8. charts

    charts

    I guess it's either one-tick-range bar or one-minute (?).
     
    #1388     Jul 16, 2010
  9. Do The Bartman?

    Sorry RN I don't get the significance...
     
    #1389     Jul 16, 2010
  10. Intentional
    OR
    Irrational
     
    #1390     Jul 16, 2010
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