Price action: The holy grail?

Discussion in 'Trading' started by TTT, Aug 7, 2018.

  1. dozu888

    dozu888

    if you have put in a few thousand hours you should be fairly close to getting it.

    check my thread 'trading is easy'... also this one

    http://www.traderslaboratory.com/fo...titutional-quotlookquot-at-the-sampp-futures/

    if you play poker you want all the clues possible... know your opponents and their motives, combined that with not only the price, but also how the other players use the media to push narratives, and how this all plays out with the earning cycle...

    these additional pieces give swing/position trading more clarity than intraday.

    less effort, more gain.
     
    #11     Aug 7, 2018
  2. wave

    wave

    and market makers...
     
    #12     Aug 7, 2018
  3. carrer

    carrer

    Price action by itself is not a holy grail. Although some of them might have an edge, it's very minimal. You need to combine a different aspect of trading to produce a sustainable edge. Chart analysis alone is inadequate.
     
    #13     Aug 8, 2018
    greg500 likes this.
  4. maxinger

    maxinger

    If you base purely on price action, your success rate is guaranteed to be < 50%.
    Because it will be like pulling the machine gun trigger and opening thousands upon thousands of good AND BAD trades.

    You need to know when not to trade.
    you need to have a feel of the market.
    Like humans, market is also an emotional creature.
     
    #14     Aug 8, 2018
    CALLumbus and greg500 like this.
  5. greg500

    greg500

    This is my 20th year of day trading... Price action can mean so many things.. Even the last price traded is going to be lagging the next price:)

    Some help...

    Continuation... Put a price action zig-zag line... Watch for pullbacks (either direction) with lower volume. Pullback trading will give you some room if the trade fails.

    Reversal... Watch for a large volume bar combined with negative delta.. Do not rely on delta only... Bars can go up on negative delta and down on positive delta.

    Momentum... "To me" this is the pace of the market... How fast is the contract moving...

    Range type action... Breakouts get faded, then the downside rollover gets bought.. Last Friday, August 3, 2018

    Can you "Survive" this type of day...

    Whatever methodology you trade, make sure it can handle all of the day types... If possible, back-test and market replay...

    Nothing can tell you if the market will run or range. Indicators only serve to "Show the Price Bars" in a different format.
     
    #15     Aug 8, 2018
    _eug_, speedo and maxinger like this.
  6. maxinger

    maxinger

    Good summary mister !
     
    #16     Aug 8, 2018
  7. padutrader

    padutrader

    the main thing is there are not many good opportunities to make money so all you need is patience: in 2004-07 when i used to position trade stock futures i used to make 2-3 trades a year; there were periods like 4 months were not one trade was taken.
    the most important thing is to trade on EVIDENCE provided by the market action and not on an opinion.

    the market gives you enough time to make a decision - it knows you will make the wrong one!- so never be in a hurry...
    better to lose your opinion than your money
     
    Last edited: Aug 8, 2018
    #17     Aug 8, 2018
  8. Buy1Sell2

    Buy1Sell2

    There's a fellow in the ES Journal that has a good handle on the grail.
     
    #18     Aug 8, 2018
  9. greg500

    greg500

    Hi,

    Glad you understood... Thanks for the like.

    Many experienced people on this site trying to help others...

    These futures markets are certainly not here for the outsider to make money.

    Stay strong my friend,

    Greg
     
    #19     Aug 8, 2018
  10. bone

    bone

    I think the TIME element provides some measure of genuine confirmation. (Steidelmeyer)

    If the market spends TIME at a price - the conclusion is that price has been viewed, digested, and accepted by the entire population of market participants and the valuation has been accepted “confirmed”.
     
    #20     Aug 8, 2018
    CSEtrader, comagnum and greg500 like this.