Learning to read Price Action with P&F Charting

Discussion in 'Strategy Building' started by HolyGrail, Mar 22, 2008.

  1. not sure if this was mentioned on this thread but i stumbled across http://www.xocharts.com/ ... it draws the p&f on excel, data is free, you get it off yahoo, just input the symbol proper....naturally, it's good only for eod analysis...
     
    #271     Mar 25, 2008
  2. thanks for the post. I am sure that we be helpful to someone.
     
    #272     Mar 25, 2008
  3. gehko

    gehko

    i found this chart in one of my books on how to construct a p&f chart.
     
    #273     Mar 26, 2008
  4. It is a great advantage to have time taken out of a chart. PNF does this for you.

    While time is unimportant in determining price direction, time is critically important from a swing trading stand point.

    You may know the direction, but if it takes 6 months to get there you may not want to make that swing trade.

    Most commercial packages do not display any time reference in each column. If a new X or 0 is entered in a column, and it is the first time we have placed a new x or o in a column for that month we should replace that x or o with the month number.

    An example chart is below.
     
    #274     Mar 26, 2008
  5. Now here is an example of what I am talking about.

    Sybase symbol SY

    This is a great chart, and it may be a great long term hold, but it sure isn't a good swing trade right now. We are at the end of March and this stock hasn't even added an x to the new column it made in January.

    If you look at previous columns you see an A and B in columns but not a C. That means we had a whole month of no significant movement.
     
    #275     Mar 26, 2008
  6. PaulRon

    PaulRon

    Hey HolyGrail - great thread

    What other indicators do you use besides P&F to determine trades?
     
    #276     Mar 26, 2008
  7. Welcome to the thread.

    Just pnf and trendlines for daytrading futures. On swing trading I add relative strength comparisons.
     
    #277     Mar 26, 2008
  8. We have a potential "bearish reversal" signal that may come up on the .5 chart of ES.
     
    #278     Mar 26, 2008
  9. If this column makes it to 1343 we now have a potential bullish catapult.

    edit never made it so basically we have nothing.
     
    #279     Mar 26, 2008
  10. sharp10

    sharp10

    Hg, others,
    what do you think of that bearish reversal today in OIH?

    Any thoughts?
     
    #280     Mar 26, 2008