Could only follow the end of the session. Tried to annotate more details. As usual, the market is more difficult for me to read in the afternoon. To me the 15.50 bar looked like a reversal forming. There was r2r2b with decr-incr-decr, lower high, FTT, inside bar, and then the 15.55 bar broke out to the downside - before it quickly reversed and screwed everybody that were short. If you try to trade ftt:s and can't nail them to the tick it looked like a good place to enter short, but obviously wasn't. Comments welcome.
I started out very slowly and just tore off the last page of the WSJ. I used wingtip nuts on screws which held a quarter's worth of pages between lathe like trim wood (1/4 x 2 's). To annotate, first I filled in an 11x17 sheet which had 6 months of daily grids for price and volume. 17 dollar range on price in 8th's. As years went by I added charts and glued the sheets together. One bedroom of a four bedroom house in Greenwich Rockridge neighborhood was devoted to this effort. I had an architect's drawing board to work on and storage racks for older quarters. This was all daily beginning in the late 50's. My first sports Mercedes was in '60 which I picked up in Kopenhagen. I was into sailing by '62 and bought a King's Cruiser (US 122) at that time on a two year loan 100% secured by stocks I was trading in street name. This was position trading based on daily charts. I did 10% in 6 to 8 days where 10% was half a normal long cycle move. Later I got into SSR trading where the hold was about 4 1/2 weeks. I still used daily plotted bars but a week was like a day in PVT trading. I rolled surplus money into SSR from PVT. read the bio on W, J O'Niel as a similar example. OR read a parallel story entitled How I Made 1 Million dollars by a professional dancer. He was box trading in the late 50's and early 60's. The fact is that in those days about everyone who used TA was getting rich fast. BUT there was universal criticism of us by the traditional types. I stated with 300 bucks in '57 and by '60 I ws doing MB sports cars and by 62 was cruising all summer in LI sound and Block Island sound. By '66 I was living in suburbs of Zurich, SW. Before Greenwich, I summered in Europe every year. Nothing has changed in trading except information is abundant and we now have PC's. I lucked out by getting profitable doing hand drawn charts at a time when few paid that kind of attention to making money. Making money has one huge factor. You compound profits and then just take out big chunks or use your portfolio to collateralize anything you want. The weapon of choice is your differentiated mind. by beginning with a binary vector orientation, I simply used the 10 cases for a foundation and never considered any betting orientation ever. When you do NOT bet and you know you know, in terms of CW, you are operating in an unbelievable place. Futures were only "insurance" instruments a while back. So it was possible to reapply the same paradigm to growiing pools and just take out all the market offered. No one who makes a lot of money, keeps it. Why bother? The other thing is that you do not have to spend anytime to make a lot of money. A full time trader is a person who can't trade very well so he just works at it all day long doing stupid betting. Today, most ET members are doing betting. They do not make money and they can't follow what it is like to build the mind. Nicely, I become unbelieveable to this set of people. The pattern is gibberish to them, even though I give it to them. I tracked the inventions in the marketplace from 1790 to 1957 when I stated. It is three pages long. My applications turn out to be one pagers, each. I was laughing the other day when I read a whiner response to the "crayola zig zag test". People are actually mentally blocked from doing a test to find out the market's daily offer. Trading the observable on the 5 min turns out to be 20 to 40 trades a day. I will post on my next post how to judge on a chart when to do each trade to achieve each trading goal.
Trades are important to get straight and to have the ease possible to carve them and take the offer. Regardless of the fractal you use, it is important to take advantage of each turn. I use 10 to 12 leading indicators of the ES 5 minute chart. Most are discoveries or inventions. To go from a potential beginning trader to expert takes a month or so of purposeful work. BUT it does not turn out that way for each and every potential trader. There are some good illustrations of how my eyes move as the day unfolds. I do MADA over and over as a habit in this silo (PEP). I easily recognize adjacent bars and the case they are forming. My data feeds go to different platforms and each platform's detailed smaller displays are put in the correct place. On another screen my trading is like a gasoline pump arrangement. You can't read the dollars less than the thousands since they are moving so fast. 2 to 4 5-min bars is a segment of profits. On the 5 min ES on one screen I am set up to M and A of MADA. On another screen, I just can't annotate since it stinks for that. The lines get stuck very easily in the wrong places. I turn 18 inch screens 90 degrees and tell them I did it. Tall narrow screens. I keep white space or some color empty of data on the right side. My annotation or indicator paths are the only things there on the right. I live in the near futture and the Present has already been put to bed for me. MAC did the market PACE vs Vo and Ov charts for the Vo and Ov distributions. They are two dimensional gaussian distributions running both vertically and horizontally. The spine of the max's goes from lower left to upper right. Having an orientation for forming bars, tells you how to carve when the carving event has arrived. We bookmark as well to optimize dealing with the last extra profits on a given frractal. There is no betting. Instead you keep zooming in to see when the carving is happeneing. For FTT to FTT, you do fewr trades and have longer holds. Divide 81 by a number between 4 and 7. You have a hold of 10 to 20 bars. It colud be under 10 if the PACE is there. And if midday it could be sluggish. Let's zoom. You annotated 1, 2 and 3 as numbers. The FTT to FTT vontainer is built and you went through two volume troughs: one at BO of RTL and one @ point 3. You see volume is increasing. So zoom back over to the YM and see if the current observable trending is past the 3 and on the way to an ftt on that fractal. This probably two fractals faster than the FTT to FTT fractal. You can scan back on YM and count about 8 segments from the last FTT where you reversed. you can see that the color and vector directions are the SAME. Glance over at the DOM and see the WALL ahead. This sets the value of the trade profit segment. Look at the OTR chart and check out the dominance of the pairs and see how the residence time on a given pair is in sync with the color of the end of the FTT to FTT you are trading. You are looking for the residence time to get a little shorter and the balance of residence to shift as the OTR reaches its extreme pair. So when that happens hit T. Right now mostly everyone is not seeing the market. You are still going through the process of setting up your computers to take the first look in your life at a market in operation. First, you have to begin to build your mind. And it is important to see the 5 min ES in operation. You also have the 2 min YM which leads the ES. As you see, this is too much to deal with. The message from you to you is that learning to carve turns comes later and, for now, you only do trades as you can best see them. One thing is for sure, trades do not happen at ends of bars. When a bar near an FTT place gets as long as it is going to get is when you hit T. So put in the FTT on your screen where it will happen as soon as you have the parallelogram drawn using points 1, 2 and 3. Notice that at that time on YM there are a lot of parts still to come. But do put a big FTT out there to the right on YM which approximates where the trade on ES will be happening. At this point, then, the whole world slows down and you discover that events are fairly far apart and there is enough time to do everything. Some additional notes. If you have S/S rolling, you can see the smart money. This means it is easier for you to front run the smart money. Some smart money does not know it is going to get left at the alter. Make the mental connection between the WALL on DOM and the velocity and acceleration of the S/S chart's envelope. The envelope also has a shape you can google to take a look at. The car driving works on trading. You can watch the market just the same as you do things to drive a car. It is the same as the multi-picture image a fielder get as he finishes oiling his mitt after the batter hits the ball. Next he puts the lid on the spout of the oil can. He then puts a finger up to check the low altitude wind direction (remember the screw up at Bikini Atoll). He then adjusts his cap to deal with the stadium lights and begins to come out of his tortise shell to amble past all the blades of grass he is checking out for slippery slugs. He will take into account the Budweizer photog's position to makes sure he gets the override on "this fielding is for you" ad campaign he will appear in. Oh, he remembers he has to throw to home plate to win the world's series as a walk off. He adjusts his jock strap once more; the bulge counts before the throw. The point is, all of trading turns into slow motion carving. All the snippets you need are in the 270 page thread of platform snippets. We are broaching the questions coming from the mind to get more and more Swiss cheese holes taken care of. Can you see the bar forming its extreme and after that the close slipping closer to the middle of the bar? Yes, it is now beginning to show up. We have the correct bar don't we??? The rain in Spain is mostly on the plain. I think we've got it. The rain in Spain is mostly on the plain. Who cares? The Hershey hinge gives you another chance. Forget spending 10,000 hours on this getting to expert. Just Do It. Be Do Have.
Wow. Before I discovered system trading, I used to analyze charts for hours, solving for elliot wave counts. It worked most of the time. And it wasn't half as complicated as what you posted.
The money piles up automatically. Making money at a high velocity is a consequence. "Eventing" the market is what makes the piles. Compounding profits maybe something you will find out about.
It gets better ... I had annotated and posted this previously ( 02-21-10 10:57 AM ) , original post here below. ----------------------------------------------------------------------------- ----------------------------------------------------------------------------- TIKITRADER Registered: Nov 2006 Posts: 2466 02-21-10 10:57 AM Re-posting . . . ( originally PV Relation-TraderLab) chart art - Composizione, 1921 Serigrap by Piet Mondrian TradeNavigator platform - chart art superimposed. (platform design Spydertrader) Attachment: composizione.jpg This has been downloaded 51 time(s). ---------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------- Or maybe you like this one better. also posted about 2 years ago
It's there in the back test but I don't know if I have a real system or a 13 year curve fit. I've had that "partnership with the market" experience, briefly, with elliot wave analysis. But it leaves you hanging at times (during corrective waves i.e. the past 6 months). Here's the secret: take the first higher low after a trendline breakout. It will be either wave 3 or C, and they can be monsters.
Lol I'd be interested to see the principle behind that. Like a one-sentence description of the essence of the Hershey method.