Back to the Future – My Freewheeling Journal

Mind traps... I've seen scouts on your charts, but do you also use rescue techniques? Or simply SL at certain level? I appreciate your posts, answers and quotes, thank you very much.

Quoting fex

Disliked

{quote} Mind traps....

Ignored

The Uncertainty - 1
We don't know what is going to happen on “the right hand side” of a chart...
“If the left side is history, the right side is mystery!” was the best known Wall Street truism in the last years of 800.
Terra Incognita... as Columbus would have said.
So how are we to identify a trend and stick to it until it has changed?
And how are we to deal with the inevitable reactions against the trend?
Surprisingly, there are several simple methods.
Edwards and Magee (plus some works of WHC Bassetti, co-author and editor) is the Dow's Theory Bible...
The first works of Elliott (the first, without the “Counting Waves” mambo-jambo) are the complements.
A good and proper use of MA could help (if you understand and remember that they are, in fact, AVERAGES and not start-end)

But... the original reflections on Tide and Ebb, Impulse and Reaction come directly from Livermore and Gann.
Please note: we were almost around the same years after Dow exposition/presentation/narration...
and we find together Livermore, Gann, Wyckoff, Elliott.
This is the foundation! FULL STOP!
As I wrote earlier: Trading Technique has an History... and a glorious one.

The Uncertainty - 2
The objective: Probing Method, how to test the Market!
Ask the Market for info... paying (without any mental problem about minimal losses) for those info.
Being able (of course and naturally... no need to say that...) to analyse those info! ROFL
Scouting... terrain conditions, enemy trenches, opponent force...

Livermore, Gann, Wyckoff and fti (as a Gann student!) have a clear idea of TACTICS.
“You are always wrong until the Market itself proves that you are right.”

I don't want to discuss about Rescue Mission.
If you don't know Elliott as the bottom of your pockets... it would be a massacre!
Anyway you could find SOME (some... some...!!!) answers in my posts on TAF.

I would like to focus on:
1) ALL the STUPID RETAILERS (yes, stupid and arrogant...) are always on the wrong side of the Market.
They are right ONLY on the absolute Top or the absolute Bottom.
Even a broken clock... etcetera
2) You must learn to find the right direction and learn to stay in until the Change in Trend.
3) Eliminate, erase, destroy from your mind any idea of being safe even if you are wrong!
If you are wrong... you are wrong. Full stop.

(Averaging Down is one thing... Rescue Missions in fti style completely another...
but there are things that you can't do! Not even with all the money of a bank! FULL STOP!
Jesse Livermore: “"People have no idea of HOW POWERFUL Trends really are..."
W.D. Gann: “The beginning of wisdom is the fear of the Market!”
fti: “Never play God with the Market!)

The Uncertainty - 3

Now, before the start of this trading day... try this exercise.
Stop and meditate on that Livermore's sentence... Ah! What a lesson.
Try to write down your reflections on the consequences of this statement!

When I can say that I'm right?
When I MUST say that I'm wrong?
What about the subsequent consequences on Money Management...? (leverage... entry... add ons?)
What is SLOPE?
What is TREND?
etcetera

I already wrote something here: Piquant's Journal #405

OK... and now the Babel's Tower issue.
I'm shivering. Terrified.
What did you get from this statement of mine?
(as all the readers of the dear fti...)

You can go broke in minutes trying to test the market in the wrong way!
Instead of die by one bullet... you will die by one hundreds arrows!

Unfortunately, in Trading everything is connected.
Market is a bitch of teacher... demo, guys, demo and trade on paper until you understand what I am talking about.
My scouts (and you saw that live) are right 95% of the times.

My bias comes from a good level of pure technical knowledge and a lot (really a lot) of hours of screen!
Watching prices.
Prices at S/R...
Prices at MA...
Types of Pull Backs...
Waves identification...
Simulations of attack and use of troops and so on.

Again and again, time and again... the dog fighters training starts in a classroom!
Pre-planned sequences. Study and repetition.
"Ah... I see... I know that... I was already there... it is not unknown to me!"

Last thing... "I'm often wrong. But I'm never in doubt." - Raghee Horner

fti...
#813 - The direction of the trade is “non negotiable”: it has to be right !!!
#1590 - You must NEVER be caught on the wrong side of a term trend. NEVER.

(Start on the right foot. Start with the right and correct mindset.
Don't take bad habits... and slowly but surely you will understand ALL the rest of the picture.
Including safe Rescue...)

Now: "Stay on the Right Side of the chart you are trading". Only winner mindset and attitude.
In the attachment, a great classic: Paul Tudor Jones.

I was a really stupid newbie.
Stupid and arrogant.
All the signs of my stupidity are on dongsky thread and in one of my first post on TAF.
I wrote there something like: "fti's teaching are so easy!"
Yes, that was me some years ago... easy! I wrote "so easy!"

fti asked Twee to correct my post. "fti's teaching are very clear!"
That man is a genius. Simply a genius.
He made a student of the market out of me.

(fti... I'm just trying to give back the lesson!)

DAX... I love you, girl!

With my platform I have a great flexibility also in setting the TP orders...
DAX overnight... Open candle on m1.

GJ shows S and R... (H1)

Dax m5 mission 2! Another 50 points banked!

Stop hit... too tight... nothing to hide and nothing to complain.
Thanks Mummy. Love your sons. (The humble and generous one! The ones with no ego...)

Re-entered!

Hit & Run exit 700 (m1)... and she goes again... WOW!
She really wants the 725 level... fantastic.

Quoting Jupiter

Disliked

... What about DAX? No predictions here...

Ignored

I wrote... I have a bias (always ready to adapt to the Reality of the Market!)
> 650-655 with grey area up to 725

Lather, rinse, repeat.
Really. I have nothing more to demonstrate.

@752 ... what I feel I have to write is: "please... now be really careful".

Market profile on dax very poor stucture
Big pockets to be filled below
But when not certain
Not going to play the salmon here

I've been noticing the complexity of high's and low's on a single TF, there's the main swing high and swing low on 5m and then there's relative high and low I once went short right at Frankfurt open on 5min at a LH and took the trade down until London open little did I know the main swing high and swing low on 5m was HH and HL before I realized anything it shot up after looking back at those trades I realized I was trading the correction in an uptrend ... waves ? I haven't been reading them properly on 5m, correction v trend think I'm starting to see the distinction.

As for today (see the attached image) I figured DAX was topping on 5m prior Frankfurt open, however some minutes after Frankfurt open if I had followed the relative high and low it was a buy and on 15m we were still in an uptrend but on 5m I was confused I wasn't sure what to make of it

Looking back my relative HH and HL was actually in line with the main swing high and swing low on 15m but on 5m I just couldn't see it.....

Now unless there's a LH we're still going up but it could also find a support not further from where it is and keep going up and up, if there's a LH from here until it finds support I'm playing a correction ? because now on 5m it's clear as day that we're trending up now.

The relationship between high's and low's on a single TF is so complex and yet intertwined. My mind is trying its best to use both of these I mean I don't want to focus just on relative high's and relative lows I also want to be aware of the big picture on the TF I'm operating that's the main swing high and swing low.