Patterns and trends work for all time frames???

Discussion in 'Technical Analysis' started by cashclay, Jul 14, 2015.

  1. cashclay

    cashclay

    What im asking is if the patterns and trends that people trade on long term work on intraday charts as well?
     
  2. Redneck

    Redneck

    The behavior certainly works on all TFs

    RN
     
  3. cashclay

    cashclay

    ah i see what about candlesticks patterns?
     
  4. cashclay

    cashclay

    And successful is this methodology of trading? looking at just patterns and trends?
     
  5. Redneck

    Redneck

    Patterns

    All be they in the form of candlesticks..., OHLC variants..., constant volume...,, renko..., or whatever

    Are all a direct result of behavior

    RN
     
  6. Redneck

    Redneck

    It a certain way straight to the poor house

    RN
     
    nursebee likes this.
  7. Patterns can "work" on any timeframe, But do you really want to be trading every pattern on a 30 second chart racking up comish and spread costs so frequently in relation to the size of the move?

    Also, you think soros is tick f*cking on a little timeframe? The whales are watching the Daily,weekly, monthly, Yearlys not the small charts.

    Sure a small fish can make money intraday in the right liquid and volatile markets but size will be your limiting factor eventually if you are any good and comish can add up fast if you don't have a robust method.
     
    Last edited: Jul 14, 2015
  8. I am a little bored tonight, so I am going to "throw out" my view of "patterns" from 30+ years of observation. Price moves in a direction as long as there are more people hitting the bid than the ask or visa versa. When that energy is exhausted, there is a stall, a retracement, a consolidation or what ever you want to call it. Then depending on what information the market participants are given, or what they infer, a new direction may begin, further consolidation may occur, or a continuation may occur.

    Now the pattern part. I have read that patterns are random, and in some respect i believe that is true. A reversal of a trend, if it holds, would eventually be called a V top or bottom.
    If there is a retest of that reversal area, it would eventually be called a double top or bottom. If the market participants can still not decide on a direction, further testing will occur which may result in "patterns" which if they hold will eventually be referred to at the head and shoulders, the wedge, triangle, channel, etc. All are just the result of continued testing and the resulting failure or success of the participants. The "patterns" in themselves are in fact evolving, and in their evolution are assigned different names. This is normal human behavior, as we very much desire to see order and symmetry in the world. In the markets it is a trap. You can read any number of books by those who have been trapped. What is important, as was mentioned earlier by Redneck, behavior at the different tests. That is all. FWIW. :)
     
  9. nesyo03

    nesyo03

    If you understand how trends begin, end, and continue, its not about a certain "pattern." Think of it as a premise. The way stocks trends have not changed... some strategies may have stopped working over the years, but if you understand how trends move, this is and will always be constant.
     
    cashclay likes this.
  10. By all means. There are at least 11 basic patterns and trends(for you to find!) in this 50 tick chart covering just 2.5 hours.
     
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    Last edited: Jul 15, 2015
    #10     Jul 15, 2015