There is no such thing as price action.

Jack Hershey and Spydertrader, searching for the Holy Grail



1


And suddenly, it hits!!!

 

Oh my.

 

1. there is such a thing is price action. it may not be defined precisely (maybe different people define it differently) but it is real.

2. price action is nothing more than another indicator. and yes, it is a lagging indicator.

 

I do not know what the history of LodeRunner is but I concur exactly with his proposition that "there is no such thing as price action".

Price action if it meant anything would be price and nothing else. There would be PRICE ONLY. That would be price, one price, ONE NUMBER, on the screen in front of you. It would be changing as price changed. There would be NOTHING ELSE to help. Just ONE NUMBER.

But price action so-called is price on a chart . It is reshaped price according to the live chart it is on - time bars (1m, 5m, 10m etc), volume bars or range bars. You then read it as history - the current price with whatever goes before it on the chart you are using. So you are reading price in the patterns in which current price arises. And so you are using not only price reshaped but also price history.

So-called 'price action' players are therefore no different from a players using indicators. Indicators merely give an algebraic or arithmetical presentation of price history running into current price.

One suspects that some using so-called price action do so because their brains can only cope with the fewest dimensions. They are then relying on 'instinct' to trade price in its reshaped and historical context on the screen.

 

Study more, grasshopper.

 

Stay grinding where you are.

 

In case one wants to learn more about Steenbarger, here is a blog that I find very informative. He is also a big proponent of market delta

http://traderfeed.blogspot.com/search?updated-max=2006-11-06T22:50:00-06:00&max-results=50

 

There used to be price action, but I just saw it pass through the event horizon of one of the micro black holes created by the LHC.


These threads are priceless.

Preston

 

Edit: OMFG, thank you.

Without price action, I don't know what you people are using to trade, but I'll tell you what.

You can keep it.

 

Tripple bottoms, whatever they are.

Serious though...

Some PA is really obvious, PA does talk at times...