Best Thread learning to read price action with p/f charts

[Dentalfloss]

arm
daily data
some good breakouts with excellent follow thru
12p by 1 rvversal
hilo plot
watch that trend
no recoil as aapl did

 

[Dentalfloss]

1387 nailed
spx 5 min
watch that new uptrend

 

[timsk]

It's a shame you guys have gone back to posting these massive charts - it really is most off-putting. Perhaps I'm the only person looking at them on a laptop instead of a 40" plasma screen!
Tim.

 

[Dentalfloss]

It's a shame you guys have gone back to posting these massive charts - it really is most off-putting. Perhaps I'm the only person looking at them on a laptop instead of a 40" plasma screen!
Tim.

for all you paupers....
we will scale down the images
however,with p/f charts we have to maintain the aspect ratio
so..lets hope we can scale them down proper.....
also try reducing the magnification on youre browser

 

[timsk]

for all you paupers....
we will scale down the images
however,with p/f charts we have to maintain the aspect ratio
so..lets hope we can scale them down proper.....
also try reducing the magnification on youre browser

Hi d007,
The aspect ratio will be set by BEB, any programme you use to size them - e.g. MS Paint will retain the aspect ratio unless you change the default settings. So, no problem there. Yes, I can reduce the magnification but, to get the whole chart in then means I can't read any accompanying text! Also, it only reduces what appears on the screen, not the complete chart, which is less than ideal. And I have to cancel the 'Favourites' tab down the left hand side!

Perhaps I'm in the minority and nobody else minds. On the other hand, perhaps there are people who would be interested in subscribing to the thread but are put off due to all the faffin' about? Just sayin' - it's your thread, so you do as you please!

Tim.

 

[Dentalfloss]

Tim
i use tinypic for displaying charts
photobucket
so,i will make the charts smaller

 

[Dentalfloss]

eurusd 15 min data
2 uptrends since wednesday

 

[Dentalfloss]

Tim
i scaled it down on photobucket
shame the clarity is not there
ask sharky to buy you a 42 inch plasma screen ??

 

[isatrader]

dentist you don't need to scale them down. Just Go Advanced and then upload the image as an attachment instead. Then when people click on the thumbnail it will scale to fit their browser window.

 

[Dentalfloss]

isa..yes much easier
changed the capture size on gadwin
this might be good
cable..from wednesday
15 min data
shows a much smoother uptrend

Tim....is that ok now ???
if Tim is not happy...i will get thrown out of t2w !!

 

[timsk]

Tim....is that ok now ???
if Tim is not happy...i will get thrown out of t2w !!

Absolutely spot on - couldn't be better!
Now all the 'plebs' like me who've only got a laptop can enjoy your charts without having to reconfigure all their settings! Your T2W membership is safe d007!

Tim.

 

[Dentalfloss]

lots of charts.........but
how do i trade it ????
well...this is how
if you send me a cheque for £10k....i will show you
LOL...
Tim...this is one for you..and others who want to know
spx..a 1-2 day plus swing trade
chart enclosed is 30 min showing the last month
note..we have only defined the trends..these show up nicely

dont load up too much data
we are only intersted in the last 1-2 trends
then we use the trendlines to define these trends...nothing else needed
as its very short term in and out..we go to 1 box reversal
3 box is too clumsy
how many semi catapults can you see trading within the trends
there you are..thats it#
no need to pay $$$$ to a mentor/tutor

 

[timsk]

. . . no need to pay $$$$ to a mentor/tutor

Are you sure d007, the cheque's written out and ready to be posted!

Looks good - where do you place stops (if you use them) and when do you exit? Or will I have to pay extra for that!

Tim.

 

[Dentalfloss]

now...the next bit is visual optimisation
not.....optimisation for double/triple tops as in the Duplessis book
we are traders..not analysts
so we are optimising for a specific trend ...a big difference

 

[Dentalfloss]

Tim and others....
first step is to find the trends..my easy method is just to look at the line chart
intraday ,in particular,you will have to move around time inputs to find those
make a mental note of where they started from..what date/time
trends are easier to see on a line chart..but if you prefer then use candles or p/f
at this point p/f can be confusing,because depending on box size and reversal,then you might not see much of a trend
my opinion..do not load too much data into the p/f chart,once you have identified the trend or the beginnings of a new trend.ie 2...max 3 trends into the p/f chart
now here comes the good bit
you will need to optimise visually
1.column lengths..these should not be too long...the s/r areas of these columns are too far away from each other with long columns
2.this is the good bit
you will need to optimise visually the width of the chart
NOT the width of the whole chart...but the width of the "X" and "O" plot area
note well.....you can widen or narrow the plot area by incresaing or decreasing the box size and /or changing the reversal
all still with me ?????
so then,we can place trendlines on the chart
a narrow chart.ie a high box size or a fast move...then 45 degree trendlines are too clumsy...place subjective trendlines.the rules for these are in the book
a wider chart..and we can place 45 deg..a wider chart you can also adjust the box size to eliminate noise and get the price into the 45 degree trend
but...we as traders and not technical analysts want more...so we will have a few charts with trendlines placed on them to anticipate the projection of the price move

 

[Dentalfloss]

remember each trend will have its own range volatility
so each will have to be optimised visually
takes a little bit of practice..20-30 seconds usually
now..once we have done that...you will have some trendlines...this means that the trend you have projected by the line will be tested at the line..this is the supp in an uptrend/res in a downtrend as defined by you with youre box size and reversal.and in most instances will coincide with market participants
just make sure you adjust the settings on the chart to have trendlines near the price action for trading purposes
trading..i am looking for a breakout,usually a second consecutive signal
i am looking for 5-6 boxes
usually market retraces after that..so i dont want to hang around
stop..usually a trendline..i will have trendlines placed NEAR THE PRICE ACTION..so these will be subjective
it is important to have trendlines placed near the price action in order not to get screwed

 

[Dentalfloss]

in a nutshell
1.column length...not too long
2.width of plot area..the width will usually define which type of trendline is most useful
a wide plot= 45 degrees
a narrow plot=subjective trendlines
place the trendlines on the chart..you want to get these on and also near to the price action to be able to ascertain what is happening
the trading signals will be easily seen..
also check for any patterns ie triangles/poles etc
then look for trading signals

 

[Dentalfloss]

how do we put on trades ??
well,we can identify breakout points quite easily before it all happens
so,the trick is take positions on the other side of the pattern..this is slightly higher risk,but the stop /risk is tighter and the reward is bigger
how can we do this ??
well ,if we are in an established trend.then we have identified possible supp/res areas with our trendlines.so we have an idea where price might retrace to.there will be a few areas for this.so we are looking for consecutive signals..usually in 1 box reversal to give us an idea that price might start to get momentum for the breakout..or better still a definite major s/r area for a bounce.we are trading trend continuation
in a consolidation..then identify breakout points on both sides of the pattern..trend continuation.same again.need consecutive signals.a reversal will usually be a wider pattern..always use 1 box for this
trendlines...
45 degree..self explanatory
subjective...one box reversal...draw on the right side of the semi catapults
other reversal..from reaction points
always place the trendlines near the price action
45 degree is too clumsy for traders..the chart will then be too wide.but they are useful for picking up s/r

 

[Dentalfloss]

reversals..you will have ample warning from a trendline break
remember...we have put on subjective trendlines near to the price action
so once they start to break,we know that momentum is gone
we can then watch if other trendlines in the vicinity start to break and price is showing signals of reversing.
as you can see.we are defining trend with our box size and reversal and putting on trendlines with a set of rules..no more
if this conforms with the actual market..then so be it
these are just my thoughts and method

 

[Dentalfloss]

Tim
market breadth pointing to a possible short term decline on spx
a good chance to test youre skills on paper