Hey!
This thread is going to be a place for everyone to share pattern trading, with an added emphasis to Support and Resistance. It is a simple and clear strategy which doesn't rely on any indicator at all. I think it is good for newcomers to stop focusing on finding the right indicator set and just trade naked following the simplicity of chart pattern trading and support and resistance. As any good strategy this will work on any timeframe, but remember that the higher the timeframe the more reliable the patterns and support and resistance are.
I will start by sharing with you the different type of patterns that exist and then I will post some chart examples. I don't trade like this, I follow a scalping system which relies on a couple of indicators like pivot points and oversold and overbought conditions, but I think that if one masters pattern trading you can outperform any other mechanical system. I think that trading this way can have its benefits as it allows you to focus more on PRICE the most important aspect on any chart and less on how an indicator which relies on price data is reacting. Plus, support and resistances are on the chart since YEARS ago, so they are non repainting and you can know them in months in advance.
This thread will help me also myself to learn more about patterns, a trade following them feels very rewarding and fun. Trading while the pattern forms and dynamically identifying it is amazing.
There are no rules here, just be respectful and everyone can contribute what he wants.
Everything can be traded here such as forex, futures and stocks.
It is useful if you post if you post you own clean chart for the sake of being clean, but if you want to post with indies you are welcome too.
Here are the patterns we will be focusing:
This thread is going to be a place for everyone to share pattern trading, with an added emphasis to Support and Resistance. It is a simple and clear strategy which doesn't rely on any indicator at all. I think it is good for newcomers to stop focusing on finding the right indicator set and just trade naked following the simplicity of chart pattern trading and support and resistance. As any good strategy this will work on any timeframe, but remember that the higher the timeframe the more reliable the patterns and support and resistance are.
I will start by sharing with you the different type of patterns that exist and then I will post some chart examples. I don't trade like this, I follow a scalping system which relies on a couple of indicators like pivot points and oversold and overbought conditions, but I think that if one masters pattern trading you can outperform any other mechanical system. I think that trading this way can have its benefits as it allows you to focus more on PRICE the most important aspect on any chart and less on how an indicator which relies on price data is reacting. Plus, support and resistances are on the chart since YEARS ago, so they are non repainting and you can know them in months in advance.
This thread will help me also myself to learn more about patterns, a trade following them feels very rewarding and fun. Trading while the pattern forms and dynamically identifying it is amazing.
There are no rules here, just be respectful and everyone can contribute what he wants.
Everything can be traded here such as forex, futures and stocks.
It is useful if you post if you post you own clean chart for the sake of being clean, but if you want to post with indies you are welcome too.
Here are the patterns we will be focusing: