something similar is cooking on GBPUSD H1 
There is no Magic Moving Average - You need only one
finally thread that make sence again 
What about ranging markets? you waiting when MA is has flat slope, waiting for break range and then retest in way of new direction ma?
In this case I would switch to a higher timeframe to compress the "noise".
What about ranging markets? you waiting when MA is has flat slope, waiting for break range and then retest in way of new direction ma?In this case I would switch to a higher timeframe to compress the "noise".
- #887
- Feb 9, 2020 2:04am Feb 9, 2020 2:04am
- Joined Jun 2011 | Status: Swing trader using Market Cycles | 2,152 Posts
Why technical analysis work smoothly at higher timeframes, IMO, few words:
️Because institutional trading take place on a longer term period;
️Because large amounts of money require MORE TIME to move, get in and get out from Market thus creating the trend;
️Because thousands of investors all over world cannot think all in the same time and take decisions according (e.g 15 minutes, 30 minutes, one hour).
Technical analysis work at any timeframe. It is proved statistically BUT only skilled traders are able to trade any timeframe. What appear random movements at minor timeframes are just correction through time (ranges) wich are resolved in the direction of major trend or one of the two Market Phases,
🌪Accumulation or ⛈Distribution.
This is what disorient traders and induce the ideea about "price noise" at timeframes lower than Daily. Lack of knowledge to make order in chaos result in trading mistakes and loses.
Time SHALL pass before any major event wich affect Market large movements. When NFP news are released this affect all USD/XXX currencies. It will affect not for the next 5m, nor for the next 30m, nor for the next 60m. It will affect for at least 1 Day , enough time for all investors (banks, hedge funds prop trading firms and ofc retail traders) on entire Earth to take a trading decision (the four trading sessions, Sydney, Tokyo, London and New York).
Because large amounts of money require more time to move and at higher timeframes HFT and scalping trading algo are inexistent or at least insignificant , price is constructing more smoothly on these high timeframes because the effect of "noise" is inexistent. Very rare there is a situation when a correction through time take place for few weeks and resolved with explosive breakout in the direction of initial trend, rising/falling hundred of pips.
Intraday timeframes are inundated with trading algorithms wich make recognition of trading opportunities very tricky for unskilled traders. More fake opportunities are created on such timeframes wich does not fulfill the filters criteria so a trader shall wait for the next, and the next and so on until he find the one who meet the conditions. Do you think he have such iron discipline to remain still and vigilant? Think again.
Amateurs choose to trade intraday because lack of discipline and lust for money. They think if they can trade on 5m timeframe they will make MORE TRADES and MORE PROFIT. Theoretically is true, statistically is wrong. The lower the influence of price disturbers (Expert Advisors, HFT) the clearer the chart. .
So there shall be time passed for money to agree for a direction.
When elections take place, there shall be time for people to decide through votes the president. Same apply in Market. And that's why Market Cycles is a trading technique wich can predict
the traders decisions based on TIME passed.
Intraday timeframes are the HFT and trading robots domain. If you wish to adventure on such pitch make sure you are a worthy opponent for AI.
The story is longer but it's enough for now.
️Because institutional trading take place on a longer term period;️Because large amounts of money require MORE TIME to move, get in and get out from Market thus creating the trend;️Because thousands of investors all over world cannot think all in the same time and take decisions according (e.g 15 minutes, 30 minutes, one hour).Technical analysis work at any timeframe. It is proved statistically BUT only skilled traders are able to trade any timeframe. What appear random movements at minor timeframes are just correction through time (ranges) wich are resolved in the direction of major trend or one of the two Market Phases,
🌪Accumulation or ⛈Distribution.
This is what disorient traders and induce the ideea about "price noise" at timeframes lower than Daily. Lack of knowledge to make order in chaos result in trading mistakes and loses.
Time SHALL pass before any major event wich affect Market large movements. When NFP news are released this affect all USD/XXX currencies. It will affect not for the next 5m, nor for the next 30m, nor for the next 60m. It will affect for at least 1 Day , enough time for all investors (banks, hedge funds prop trading firms and ofc retail traders) on entire Earth to take a trading decision (the four trading sessions, Sydney, Tokyo, London and New York).
Because large amounts of money require more time to move and at higher timeframes HFT and scalping trading algo are inexistent or at least insignificant , price is constructing more smoothly on these high timeframes because the effect of "noise" is inexistent. Very rare there is a situation when a correction through time take place for few weeks and resolved with explosive breakout in the direction of initial trend, rising/falling hundred of pips.
Intraday timeframes are inundated with trading algorithms wich make recognition of trading opportunities very tricky for unskilled traders. More fake opportunities are created on such timeframes wich does not fulfill the filters criteria so a trader shall wait for the next, and the next and so on until he find the one who meet the conditions. Do you think he have such iron discipline to remain still and vigilant? Think again.
Amateurs choose to trade intraday because lack of discipline and lust for money. They think if they can trade on 5m timeframe they will make MORE TRADES and MORE PROFIT. Theoretically is true, statistically is wrong. The lower the influence of price disturbers (Expert Advisors, HFT) the clearer the chart. .
So there shall be time passed for money to agree for a direction.
When elections take place, there shall be time for people to decide through votes the president. Same apply in Market. And that's why Market Cycles is a trading technique wich can predict
the traders decisions based on TIME passed.
Intraday timeframes are the HFT and trading robots domain. If you wish to adventure on such pitch make sure you are a worthy opponent for AI.
The story is longer but it's enough for now.
Money moves the market, not an indicator.
Why technical analysis work smoothly at higher timeframes, IMO, few words:
I appreciate your thoughts and posted strategy. Based on your explanation on the MAs noted in the first page and how you reached to their numbers I calculated the 5 minutes SMA value and came up with the number 288, but I am still learning and eager to learn more from you and other members who may add valuable contributions to this thread. So keep up the good work.
regards
- #895
- Mar 2, 2020 1:58am Mar 2, 2020 1:58am
- Joined Jun 2011 | Status: Swing trader using Market Cycles | 2,152 Posts
Money moves the market, not an indicator.
