The very core/key aspects of Tech (chart) trading is HH,HL,LH,LL and Trendline..? Agree/Disagree?

Discussion in 'Technical Analysis' started by kent, Dec 9, 2016.

  1. kent

    kent

    After trading/testing various technical studies, indicators, strategies (both manual and automated), I am of the conclusion that the main/core/key factors with respect to Tech/chart based trading are the trend change identification which is possible thru identifying HH,HL,LH,LL and also with the aid of Trendline and Trendline Breaks. May be there could be couple of leading indicators (very few ) which may aid, but it all points out to the very basic stuff. Rest of the things does not matter much. Of course those who use volume would say otherwise.
     
  2. CyJackX

    CyJackX

    It's mostly what I use, because conceptually they're the simplest entries and stops. It's probably a very crowded trade, but I think it works for a reason.

    That, and I conceptually haven't figured out a way to play inbetween the high-lows. Perhaps I don't have to, and should just accept what the market gives me. But I'd like to be able to work in various situations.
     
  3. kent

    kent

    Ya. But do you include or study the candles or they become immaterial esp trading in very small timeframes though the wicks, dojis would help?
     
  4. CyJackX

    CyJackX

    I keep the candles. I also still believe in volume information, as I chart the time frames alongside constant volume bars.
     
  5. kent

    kent

    But I trade only in spotfx and volume is not correct and I cannot use it though there are others who use it. Candles can indicate the exhaustion and indecision but it may not be enough for too small timeframes.
     
  6. Xela

    Xela


    Then use bigger time-frames. You seem to be giving yourself every possible handicap, here: you're trading spot forex; you're not using volume information; and you're using a small time-frame? This combination's going to make it really difficult to emerge profitably over the long term.
     
    comagnum and speedo like this.
  7. kent

    kent

    I trade only from Sunday evening till Friday noon or before market close. I do not want to keep the trades open after friday. For this I can get only few trades possible if I go to a higher tf and my strategy works best with only few pairs and I am sticking to the one best suits me. I have not been able to point/blame other factors other than myself (for breaking rules). If I fix that I can reduce the losses. So far no issues with broker. Let us see.
     
    Xela likes this.
  8. CyJackX

    CyJackX

    Why not chart the futures for volume?

    Also, so you make subweek trades. What are your timeframes?
     
  9. kent

    kent

    I use 5/15/30m tf.
     
  10. Overnight

    Overnight

    Why not?
     
    #10     Dec 9, 2016