Hinges and Springboards

[rainman2]

Wasn't it? I'm talking about the highest point on that chart being the head. It isn't the best right shoulder I've seen, but I think it's there.

Surely if we understood the function of the left hand side shoulder, the head, and the right hand side shoulder, then we wouldn't be bothering with the semantics of merely price variation.

Isn't just believing and working with price without understanding, the very essence of a weak hand?

 

[firewalker99]

Surely if we understood the function of the left hand side shoulder, the head, and the right hand side shoulder, then we wouldn't be bothering with the semantics of merely price variation.

Isn't just believing and working with price without understanding, the very essence of a weak hand?

Then why does price breaks to the upside the next day instead of going lower?

 

[firewalker99]

Wasn't it? I'm talking about the highest point on that chart being the head. It isn't the best right shoulder I've seen, but I think it's there.

Let's not turn this thread into H&S but these are two charts, where on the one I would see a H&S but on the other one (the YM chart that I posted before) it's a hinge and nothing else to me...

 

[rainman2]

Then why does price breaks to the upside the next day instead of going lower?

sorry fw, I don't know what chart you are referring to. I'm talking about understanding why and how price functions in regards to any chart.

 

[Splitlink]

Let's not turn this thread into H&S but these are two charts, where on the one I would see a H&S but on the other one (the YM chart that I posted before) it's a hinge and nothing else to me...

I was referring to db's chart on post #1. Sorry.

 

[firewalker99]

I was referring to db's chart on post #1. Sorry.

Oh I guess we were talking about two different charts!
Sorry, my mistake too...

 

[firewalker99]

sorry fw, I don't know what chart you are referring to. I'm talking about understanding why and how price functions in regards to any chart.

I was refering to the YM chart I posted earlier, as I thought Splitlink was talking about that one too... but we seem to have a bit of a misunderstanding here...

 

[Splitlink]

Oh I guess we were talking about two different charts!
Sorry, my mistake too...

I'm learning a lot from you guys this afternoon, no apologies necessary.

Split

 

[ymonly]

TRY this one ....10 min chart instead of 2 r whatever......this is what the mind and eyes do with that one..too much information...

 

[rainman2]

Let's not turn this thread into H&S but these are two charts, where on the one I would see a H&S but on the other one (the YM chart that I posted before) it's a hinge and nothing else to me...

Although this isn't a typical h&s, based on the RS.

 

[rainman2]

Fools Gold!

Marcus is a carrot dangler, that's all.

He's no better than Splitlink, DB or anyone on these boards.

I've seen Mr Marcus' type before, they pop up here and there, pretend to have the goods, lead you a merry dance, then attack you when you ask questions, and tell you to do your own homework.

He's all text book, a system nut, he swears by indicators.

I reckon Marcus has blown a lot of spread betting accounts in his time.

He's a DJ in real life, and loves karaoke.

I do find him interesting at times though, i wonder where he is?

linesniffer,im sure Marcus wouldnt mind me sending you his latest promontional karaoke tour picture.he also sings a wonderful rendition off "can't help falling" with new lyrics,i seem to recall it went something like this."wise men say,only fools and sad gits post on t2w on a saturday night"

 

[firewalker99]

linesniffer,im sure Marcus wouldnt mind me sending you his latest promontional karaoke tour picture.he also sings a wonderful rendition off my way with new lyrics,i seem to recall it went something like this."wise men say,only fools and sad gits post on t2w on a saturday night"

lol rainman2, so that would include not only you and me both, but also the famous mr. marcus himself as I remember a very lively discussion on a Saturday night not so long ago

anyway I'm off for the night... going to check "the world out there" :cheesy:
perhaps even do a karaoke myself lol

 

[firewalker99]

TRY this one ....10 min chart instead of 2 r whatever......this is what the mind and eyes do with that one..too much information...

I'm not sure what you are implying, but my 5min charts work fine, and I could even use my system on a 2 or 1-min chart... that would actually result to even higher profits, but much more trades... but I prefer to stick to 5-min because that way I can diversify between not so correlated markets better...

 

[ymonly]

many agree with 5 min chart being the creme de la creme.....somebody doesn't do so well with them as very few traders win long run.....and most use the 5 min......if most lose, why do I wish to be one of them...maybe the few winners do something outside the box.....like no volume, no thinking, no news, no times of day, no s/r....only price ...i watch the price....if it goes up i buy down sell....while ur 5 is giving 2 bars mine gives one with clearer picture than yours......go figger....how did ur chart show 30 bars in on e hour if it is five...did i misread?

 

[firewalker99]

many agree with 5 min chart being the creme de la creme.....somebody doesn't do so well with them as very few traders win long run.....and most use the 5 min......if most lose, why do I wish to be one of them...maybe the few winners do something outside the box.....like no volume, no thinking, no news, no times of day, no s/r....only price ...i watch the price....if it goes up i buy down sell....while ur 5 is giving 2 bars mine gives one with clearer picture than yours......go figger....how did ur chart show 30 bars in on e hour if it is five...did i misread?

Whichever time frame you use, or whichever means of presentation (bars, candles, line, tpo, renko,...), it's only a representation and nothing more. The more I zoom in on a chart, the better I can sense the flow of buying and selling pressure. If one is looking at 30min or hourly bars he isn't going to see what went on in that bar while it formed. On a 2 or 5-min bar/candle, sititng in front of the screen seeing them form in real time gives you a much better indication of what price is doing.

Does your chart gives you a clearer picture? Perhaps for your purpose or your system, but definitely not for mine. If you find charts on smaller timeframe more difficult to read, than it's probably because you think that lower timeframes consist of noise, but you couldn't be more mistaken.

The more you zoom in, the more potential possibilities and opportunities for making money.
For example: this 5-min chart of the YM of last week shows a relatively small ranging day (price travels between 12465 and 12495). While on a bigger time frame this will look like sideways chop, zooming in to a smaller timeframe shows nice up and downswings. Taking each swing back would have made you 3 times 30 points and more if you shorted on the last arrow to the right of the chart. So about 100 points (per contract) doesn't seem like a bad day to me, while if I am understanding you right, you would have stayed out because it's going nowhere :|

 

[bluetipex]

Whichever time frame you use, or whichever means of presentation (bars, candles, line, tpo, renko,...), it's only a representation and nothing more. The more I zoom in on a chart, the better I can sense the flow of buying and selling pressure. If one is looking at 30min or hourly bars he isn't going to see what went on in that bar while it formed. On a 2 or 5-min bar/candle, sititng in front of the screen seeing them form in real time gives you a much better indication of what price is doing.

Does your chart gives you a clearer picture? Perhaps for your purpose or your system, but definitely not for mine. If you find charts on smaller timeframe more difficult to read, than it's probably because you think that lower timeframes consist of noise, but you couldn't be more mistaken.

The more you zoom in, the more potential possibilities and opportunities for making money.
For example: this 5-min chart of the YM of last week shows a relatively small ranging day (price travels between 12465 and 12495). While on a bigger time frame this will look like sideways chop, zooming in to a smaller timeframe shows nice up and downswings. Taking each swing back would have made you 3 times 30 points and more if you shorted on the last arrow to the right of the chart. So about 100 points (per contract) doesn't seem like a bad day to me, while if I am understanding you right, you would have stayed out because it's going nowhere :|

Interesting view Fire. 5 min charts are also my favourite, and on that day I was looking for shorts only. I had 2 short signals in the earlier part of the day, using my 8/21 ema cross system, both winners. My system told me to stay out for the remainder of the day, where you have your arrows. Incidentally, did you notice the pivot point at 12462 on that day? It marked the low and was a good target for shorts. Or shall I assume you pay no regard to pivots?

 

[ymonly]

imho.....never quit trading when price is moving...

between 6 am and 3am cst....improve the late entries and the money grows faster...

pivots are made to be blown out

 

[ymonly]

springboards and hinges work very well if we stay focused...

 

[ymonly]

when we know what is going to happen is much better than knowing what happened...and earlier...closer to apex which is where i enter....apex...capiche...

 

[firewalker99]

Interesting view Fire. 5 min charts are also my favourite, and on that day I was looking for shorts only. I had 2 short signals in the earlier part of the day, using my 8/21 ema cross system, both winners. My system told me to stay out for the remainder of the day, where you have your arrows. Incidentally, did you notice the pivot point at 12462 on that day? It marked the low and was a good target for shorts. Or shall I assume you pay no regard to pivots?

Hi bluetipex, that's an interesting comment about pivots and I have to admit - although I'm not using them in my trading system - they have at times been particularly good at pinpointing a potential point where price is likely to reverse (or at least swing back in the other direction). It seems like the pivot was even right to the tick... I guess to a certain extent it can become a self-fulfilling prophecy when so many people pay attention to pivots, they will become a point where a lot of traders have buy/sell orders in place...