Son of If You Can Draw a Straight Line . . .

Discussion in 'Journals' started by dbphoenix, Sep 19, 2013.

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  1. Thanks DB lots of good advice, I took this:

    What is far more important is an observation phase during which you just watch price without any thought of where to enter or exit or what "setup" you might develop that will
    provide you with an entree into trading.

    If you spend insufficient time at this or skip it entirely, you'll never get it.

    Used a 1min line chart and watched price today in replay.

    I was surprised by how I noticed when price would take off like bat out of hell at different times.

    When clearly the pace had changed

    I had always seen it on bar charts before, but it did not jump out at me like the line chart did.

    Here is chart of when I could recognize these changes
     
    #901     Oct 22, 2013
  2. There's been some talk about the need for having a well tested methodology/plan etc.
    We're also reminded that this is not a mechanical, green light/red light 'system'.
    So how does one go about 'testing' the process and gaining confidence?
    If something can be coded, we can easily run a backtest across thousands of trades and various instruments, but what about when that's not possible?
    How best to thoroughly 'test' the concepts in threads such as this?

    Is it just a matter of lots of market replays?

    (I don't actually use the ideas in this thread at the moment. There's WAY too much confusion for my little brain, but i'm asking in general, as I have my own methodology that i'm working on that I also don't think can be coded, and thus backtested)
     
    #902     Oct 23, 2013
  3. niko

    niko

    You have to backtest it manually.
     
    #903     Oct 23, 2013
  4. dbphoenix

    dbphoenix

     
    #904     Oct 23, 2013
  5. fortydraws

    fortydraws

    NDX came real close to that trend channel's upper levels yesterday.
     
    #905     Oct 23, 2013
  6. slugar

    slugar

    1st supply line
     
    #906     Oct 23, 2013
  7. niko

    niko

    And what did you draw after it was broken?
     
    #907     Oct 23, 2013
  8. slugar

    slugar

    nothing until we get a retracement at 9:09 then a demand line can be drawn
     
    #908     Oct 23, 2013
  9. niko

    niko

    Was this a RET after the break of the SL?
     
    #909     Oct 23, 2013
  10. slugar

    slugar

    The line with the arrow is the demand line which was broken and now we can draw another supply line
     
    #910     Oct 23, 2013
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