FTSE 100 January

[Trading Shed]

Thank you Bonsai.
I like the charts posted in your journal, bu the way.

 

[bonsai]

hooya
from the low, I can see a rather odd 5 to the high but 5 nevertheless. so for the time being, I suspect this is a corrective move.

 

[mully]

Bonsai,

I keep on reading posts that appear to contain opinions/views. I am trying to remind people that the market does not know anyone's opinion and certainly has no need to respect them. Opinions include trying to force EW counts or suggesting price levels.

I wish posters could just relax and go with the flow of the market.
I have always liked the approach that the market knows best. As an example, higher highs, and higher lows says its a positive trend, therefore be long etc.

 

[Hooya]

but even higher higher etc is subjective. One would say
we have had a higher low and someone esle will say this morning
was a lower high. When you enter a trade its becuase you believe one outcome is more likely than another...it's still
an opinion which ever way you dress it up.


edit: but it still doesnt mean it has to happen

 

[bonsai]

I suspect my signature sums it up ?

 

[mully]

Hooya,

There should be little confusion if you are consistent in your time frame. Seeing a higher low on a 10 minute chart should not be compared to a 1 minute chart etc.


Opinions can only be held by traders, not by markets.

 

[Hooya]

ok but a higher low is meaningless....i.e it only has the meaning
one attaches to it i.e an opinion

edit: agree markets do not have opinions it's more a reflection
of the opinons of traders?

 

[mully]

Hooya: I give this approach to Trading, copied from elsewhere.


In a losing game such as trading, you should start against the majority and assume that you are wrong until proven correct!
(Do not assume you are correct until proven wrong.)

Positions established must be reduced and removed until or unless the market proves the position correct!

(Allow the market to verify correct positions.)

 

[Hooya]

sounds a good approach to me

 

[Hooya]

btw seen the £$ today

 

[mully]

Hooya:

An opinion is a belief or assessment based on grounds short of proof- Oxford Dictionary

 

[bonsai]

well, before we say we wont go to 4430 today
have a look at this possibility (and before we make another high which would ruin the count)

 

[Hooya]

exactly unless you finds grounds of proof it's a belief........not sure
there is any proof in the markets. The only proof I guess you can have is in the moment...is it moving up or down everything else
falls short of proof

 

[Hooya]

Bonsai is your 3 smaller than your 1 i.e the shortest wave?

and 4 overlaps 1?

 

[jrlewis]

Todays movements

So what are your thoughts on todays movements - are we going to continue to climb or maybe fall by the close? Any thoughts?

 

[bonsai]

no on my 2 min chart !
lol

but I'm not commending the count.
I was just creating a counter view.
The market is always ambiguous.
What we see in the charts is what we want to see.
Aye, there's the rub !
lol

 

[Hooya]

ah the 2min chart I have asked ADVF to do a 2 min option and
dot charts. Not holding my breath.

 

[hungrybear]

In my opinion the market is based entirely upon opinion and it is the majority opinion that sways which way the market flows.

I dont mean to cause offense Mully, and I hope you dont take it that way, but I like to use EW and price targetting based on fibs. It's part of my trading technique. However, I now use that in the direction of the market as determined by Higher/Lower Highs/Lows.

I have posted opinion on many occassions along with price targets. The question is, should I stop doing so? Anyone else want to post an opinion?

 

[Hooya]

I have the probability of it being an up day today and potential reversal points at 72, 84, how about that hb?


HB, if you have say a target and you can honestly say it is more likely than not to happen it's no different imo that trading a higher low etc. As Bonsai signature says. Reality is perception

 

[mully]

hungrybear,

Don't worry, I seldom take offense.

My concern is that people trade their opinions and not the market.
I'm not implying that the market's message is always clear/obvious. However, there are 220 odd trading days in any one year, so there are/should be plenty of opportunities.

Only trying to be helpful.