IN THIS THREAD: IronFist learns (the elusive) PRICE ACTION

Discussion in 'Strategy Building' started by IronFist, Dec 2, 2008.

  1. nkhoi

    nkhoi

    how many more testimonials do you need?
     
    #651     Jan 24, 2009
  2. I said I'm gonna give OHLC bars a try :D
     
    #652     Jan 24, 2009
  3. you said im cryptic ... heres my answer...

    look for "clusters" in support resistance "clusters" gives strength the previous night before trading know these "clusters" use pivots+high/lows+fib levels and volume..

    youll notice "clusters" of points were they seem to form many of them these are what i consider to be "major" support and resistance and "minor" maybe considered as one or two support resistance levels stacked which maybe a psych level... i told you natural human psych will turn price at certain levels... its statistically proven.. larger "clusters" of support resistance give you higher prob of success... while lower "clusters" or non "clusters" give you a lower rate of success find areas where the month resist/suport stack with week stacks with day on many levels these are your strongest... your highest probability..

    just to make sure im not still being cryptic a bounce off of a support resistance level is determined if price comes within .01 of that level and is further than .01 a specifically determined time from now. 30 min to hour

    your entrance seems to be the biggest problem maybe pulling across a big zone you can play the "bounce" then exit a portion and set stop to Breakeven and enjoy the ride....

    you likelihood or you probability of success if price moves in your favor .. anticipation ... is what you should look for... you need to anticipate "herding" movement... price action is the action of price... everything is price action thats why no one is still giving you answers look up Trading-naked.com even they cant really determine how or what it is they just throw a random ton of articles to get and say see if you can get it... your looking and anticipating "herding" movement understand where the professionals are moving and anticipating and the amatures are screwing up...
     
    #653     Jan 25, 2009
  4. look at this picture posted by spectrx again

    read this...

    http://investopedia.com/articles/forex/08/seven-day-fade.asp

    then read

    www.aspentrading.com/uploaded_files/4075Support_Resistance.pdf
    this

    then look at that picture

    without knowing anything else 8000 is a psych zone aka a zone that creates fear its statistically proven 0's 5's and 00 25 50's are scary for herd movement .. also the majority round numbers to these so this is were the exit or enter...

    now if you stack daily/weekly pivots+ high/lows+fib levels + psych zones your accuracy will increase all you need really are these zones....

    you dont need to catch shooting stars in price to play these your entrance is the most important part of the trade... if price shoots above the 8000 psych then place limit at 8000 once price is above youll catch the movement down. price on retrace from the high will pull back through and continue down... look at the surge of buying then how it hits the psych zone pulls back through and it falls.... this isnt rocket science dont over think it.


    <img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=2275128>
     
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    #654     Jan 25, 2009
  5. S2Trader

    S2Trader

    Thanks,
     
    #655     Jan 25, 2009
  6. Alright guys I'm using OHLC bars now instead of candles :D

    First trade today. Awesome trend, LL, LH, entered on a pullback and then price started making HLs and HHs and I got stopped out.

    edit - oh btw i don't usually have a fixed TP but this time it was the PP since price was so close.
     
    #656     Jan 26, 2009
  7. nkhoi

    nkhoi

    darn, the bounce on PP trick got you. For the look go to global setting, graphic setting, check color entire bar high/low, apply.
     
    #657     Jan 26, 2009
  8. That setting didn't change anything.
     
    #658     Jan 26, 2009
  9. nkhoi

    nkhoi

    vers 382
     
    #659     Jan 26, 2009
  10. that's what i thought would happen from the name of the checkbox but it didn't make a difference for me.

    maybe i need to restart SC
     
    #660     Jan 26, 2009