The Stochastic Indicator

Discussion in 'Technical Analysis' started by jack hershey, Feb 17, 2003.

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  1. Don't be so hard on yourself...this is a learning process.

    We are all learning from your posts here...I personally would like to thank you.

    Your professional attitude is refreshing.....keep up the good work...Jack will teach you the ropes because you are one of the workable ones.

    When Jack is doe with you...will you buy me a car?

    Michael B.
     
    #571     Apr 3, 2003
  2. Everyone has a break through in trading. This will be yours.

    Here is the general drift that I try for.

    1. Safe high velocity rockets.

    2. Washing on ice bergs for beginners. For intermediates staying with the iceberg.

    3. Seeing rockets end in congestion ,convergence and centering.

    4. Seeing BO's out of centering. (Pennants too).

    5. Expert slaloms through congestion. (Advanced wash trading)

    6. Setting up trends using point 1,2,3. Looking for second point 3.

    7. Stop logs using price formations.

    8. C &R ing with market periodicity (two peaks (troughs). Tighening stops when pace quickens.

    9. Seeing BO on trends for exits before stops.

    10. Seeing new trend begin inside old channel. Point 1. (Failure to traverse)

    11. Seeing point 1 as reversal for maxing trend run of profits. (If reverse into congestion, then trade out as in 5.

    12. VDO inside bar combo.

    You can see how you can let go of habits as time passes. Just go to adjacent activity near where the bad habit hits. Yours is setting up point 3. If you write in point 2 and wseat through getting a no flaw point 3, then you will be killer trading.

    Profits do not creep up, they are like a postage stamp graph. Once we get to multiple contracts, then the cash flow really comes along with no new learning required.
     
    #572     Apr 3, 2003
  3. LOL... Have you seen the new 760?? I'm thinking of trading in the 750.
     
    #573     Apr 3, 2003
  4. dawg

    dawg

    1. short

    short out of a bull flag, when vol picked up and trend line broken @ 11:30. turns into a potential rocket that fizzels and exit when trend is broken at 11:55

    short @ 877.25 11:31
    cover @ 878.00 11:59 -0.75

    day: -0.75 13 days: +31.25

    2. short

    uptrend from 1:00 to approx. 2:50. This uptrend never gave a good rocket signal (no macd above 0.4)so i stayed sidelined. 2:30 macd xo, 2:50 stoch leaves zone, 2:55 trend line broken. short @ 882.50 held until close as trade turns into a rocket.

    short @ 882.50 2:58
    cover @ 874.75 4:00 +7.75

    day: +7.00 13 days: +38.25
     
    #574     Apr 3, 2003
  5. dawg

    dawg

    Jack

    after your post i decide to hunker down and try to improve, so i have attahced my 1m chart from this afternoon with my notes. I have a few questions on the chart. Any comments would be great. Thanks

    -dawg
     
    #575     Apr 3, 2003
  6. Congrats on trade 2.

    Your entry could of been a tad earlier but you did good.

    You based your entry on the channel break and used the the stoch 14,1,3 as a confidece giver. very interesting.

    Michael B.
     
    #576     Apr 3, 2003
  7. dawg

    dawg

    yeah, i was torn/uncertain of weather it was more of a pt 3 than a short signal/trend line break...so i waited for the stoch to leave zone. once the mini vol/price spike down occured i felt good about trade.
     
    #577     Apr 3, 2003
  8. Be careful with that one min.....it should be a sync confirmation and maybe an entry, exit improver...but thats all.....Ask Jack if you should draw channels on it.

    Actually I will be very interested to hear from Jack on the use of the 1 min.

    I am still struggling with volume readings.

    Michael B.
     
    #578     Apr 3, 2003
  9. dawg

    dawg

    i draw them in so i am looking at the same trendlines on my 5m and 1m...i just try and make use of the 1m for stops(or try not there yet)...i don't use it much b/c i get confused...like where i noted on the graph. i am looking at the 5m 90% of the time.

    also was trying to get a feel fro the volume drying up when approaching the uptrend line and when it failed to reach the away side, how did it act when it touched the uptrend line again.
     
    #579     Apr 3, 2003
  10. vinigar

    vinigar

    Somehow I can't help but think... that the whole point that Old Trader was trying to make ....was completely missed.
     
    #580     Apr 3, 2003
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