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The brutal truth of day trading

  • #2,181
  • Jul 21, 2021 7:00am Jul 21, 2021 7:00am
Quoting gepards
{quote} Do stocks have correct volumes info in MT5? For example, if a stock is listed in an exchange (let's say NYSE) then all brokers (MT5 instances) receive info regarding traded shares count from that exchange? Can we consider that stocks volumes are centralized counted and available in MT5?
Any broker offering CFDs won't provide reliable volume amounts.

Price expansions depend on volume/liquidity. That is harder to determine, much harder. But it basically implies that the lower the liquidity, the lower the volume required to change prices and the greater the reaction of that asset's price to the same amount of volume.

I only use candlestick charts to analyze these things; others use other direct or indirect data.

But, for instance, the classic double bottoms are just a sign of weakeness, since the long power is reduced and prices will be likely to fall deeper, at least in terms of liquidity. Because each time price touched that bottom, it took part of the liquidity and the traded volume made prices move to a certain extent.

The problem is that price is more complex than just that. Otherwise everyone would become rich in not time.

Trading requires a lot of years and nothing guarantees one will learn actually how to be profitable, because there are personal innate skills that many do not have.
  • #2,182
  • Jul 21, 2021 7:15am Jul 21, 2021 7:15am
Quoting Viktory
@Techanalyst: You clearly haven't given a good thoughty thought to much of what some of us have been writing from many previous pages... No one is arguing about the important of Fundamentals. As a matter of fact, I can say that @Ecotrader is one of my "favorite" members in this forum, because his knowledge shared is TOP-TIER. EDIT: Since long ago, @GEfx has also also explained many times how the mechanics of FX/International...
Indeed, intraday scalpers do not care about fundamentals in many cases.

The only thing you look at are the news releases because of the volatility they cause. Even when I do position trading (I do it with cryptos), I really do not care about fundamentals. I just flow with the charts.

Others will use fundamentals or indicators or both. I really do not mind as long I have my method and it is enough for me.

But the fact is that purely technical trading has been utilized from more than a hundred years ago successfully by traders.

This is exactly what I look at. I do not mind what is going on in the world.

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  • #2,183
  • Jul 21, 2021 7:33am Jul 21, 2021 7:33am
What makes market move?


- Forex - Interest rates, inflation, GDP, risk sentiment
- Gold - Risk sentiment, US dollar, global supply & demand
- Oil - Global supply & demand
- Indices - GDP, risk sentiment
- Govt T Bonds - Interest rates, risk sentiment
- Stocks - Fundamental factors based on companies earnings, and profitability from producing and selling goods and services
  • #2,184
  • Jul 21, 2021 7:54am Jul 21, 2021 7:54am
Quoting scherzi
{quote} Price must be at the right place doing what it should at the right time. Nothing else, nothing more. An example. If you trade based on volatility, you need to start trading when markets open because all orders are still to be filled and that will cause prices moving back and forth more agressively than when markets are about to be closed and there is almost no one interested in trading it.
I didn't mean time as trading hours.
There must be intention in price movement and the goal should be achieved within certain amount of time
X amount of pips in Y hours.
  • #2,185
  • Jul 21, 2021 8:04am Jul 21, 2021 8:04am
Quoting Techanalyst
What makes market move? - Forex - Interest rates, inflation, GDP, risk sentiment - Gold - Risk sentiment, US dollar, global supply & demand - Oil - Global supply & demand - Indices - GDP, risk sentiment - Govt T Bonds - Interest rates, risk sentiment - Stocks - Fundamental factors based on companies earnings, and profitability from producing and selling goods and services
What you need to trade forex?

- Interest rates
- inflation
- GDP
- risk sentiment
- fundamentals
- news
- weather
- current moon cycle
- fibo levels or any other random lines/boxes drawn on the historical chart
- market insufficiency, imbalances
Observer effect
  • #2,186
  • Jul 21, 2021 8:05am Jul 21, 2021 8:05am
Quoting Ihlas
{quote} I didn't mean time as trading hours. There must be intention in price movement and the goal should be achieved within certain amount of time X amount of pips in Y hours.
Yes, you can see it normally from 7:30 to 10:00 UK time and from 8:00 to 11:00 EST time on a daily bases just to mention a couple of standard time intervals.

To apply that, if you spot a trade at 8:00 AM UK Time you may be sure it will move till 10 or 11AM before you can close it, for instance (m5 and m15).
  • #2,187
  • Jul 21, 2021 8:15am Jul 21, 2021 8:15am
Question for the room; why arent more fx traders using binary options? Choosing time expiries near the close of sessions seems to be a sure fire way to take advantage of intraday volatility. Given some basic knowledge of quarter levels theory combined with the 7-1-7/9-1-5 time strategy. Seems so obvious to me how safe it is, excluding Sun/Mon and Fri. of couse
"TIME AND PRICE IS ALL THERE IS"
  • #2,188
  • Jul 21, 2021 8:18am Jul 21, 2021 8:18am
Quoting Techanalyst
Stocks - Fundamental factors based on companies earnings, and profitability from producing and selling goods and services
Should consider entire stock market crash too. Reasons described here in wiki.
  • #2,189
  • Jul 21, 2021 8:18am Jul 21, 2021 8:18am
Quoting Mpfreefx
Question for the room; why arent more fx traders using binary options? Choosing time expiries near the close of sessions seems to be a sure fire way to take advantage of intraday volatility. Given some basic knowledge of quarter levels theory combined with the 7-1-7/9-1-5 time strategy. Seems so obvious to me how safe it is
Because traders can calculate how much 2+2 is. And understand that adding more unknown to the formula is the way to lose only. Too many forces are playing againts up (fees, swaps, slippages, networs issues, fat fingers etc). And adding more factors is idiotismo.
Observer effect
  • #2,190
  • Jul 21, 2021 8:21am Jul 21, 2021 8:21am
Quoting ryuryu
{quote} Because traders can calculate how much 2+2 is. And understand that adding more unknown to the formula is the way to lose only.
Im not the shapest tool in the shed i know, but what do you mean by "unknowns". you would only be reacting to time and price. am i missing something? also previous highs and lows
"TIME AND PRICE IS ALL THERE IS"
  • #2,191
  • Jul 21, 2021 8:31am Jul 21, 2021 8:31am
Quoting ryuryu
{quote} Because traders can calculate how much 2+2 is. And understand that adding more unknown to the formula is the way to lose only. Too many forces are playing againts up (fees, swaps, slippages, networs issues, fat fingers etc). And adding more factors is idiotismo.
not that I am trying to change your mind or anything, but i could relay some charts and order tickets that might change your opinion. I must admit it does require a steel lined gut some days but if predetermined, "levels of interest" i might say, are maintained by specific times everyday. the right contract can be chosen day in and day out. it seems your view on the subject is limited to the types of platforms you might be aware of. but hey, your not the first to think im crazy regarding the subject.
"TIME AND PRICE IS ALL THERE IS"
  • #2,192
  • Jul 21, 2021 8:38am Jul 21, 2021 8:38am
I don't know what levels of interest are. As a trader I'm trying to recude a number of factors that are playing against me. So adding execution time is meaningless and sounds like giving a head start to the broker. But broker already has it (swap, spread, slippage, commissions, min-max lot size, etc).
Observer effect
  • #2,193
  • Jul 21, 2021 8:50am Jul 21, 2021 8:50am
Quoting ryuryu
I don't know what levels of interest are. As a trader I'm trying to recude a number of factors that are playing against me. So adding execution time is meaningless and sounds like giving a head start to the broker. But broker already has it (swap, spread, slippage, commissions, min-max lot size, etc).
Brokers (reputable) are not our enemies. Prefer partnership mentality and treat swap, spread, slippage etc as normal business fees. Just need to consider them in your trading approach. I trade profitably with deals opened more than 3 weeks. No problems. When you are confident about strategy - no fear to keep open deals for a long time. Just not go "all in" if want peace of mind.
  • #2,194
  • Jul 21, 2021 8:57am Jul 21, 2021 8:57am
Im done this month. I got 8,77% profit in 4 trades. 1 null trade and 3 profitable trade. It was the best month of the year.
  • #2,195
  • Jul 21, 2021 9:09am Jul 21, 2021 9:09am
Quoting scherzi
{quote} AB=CD is one of the basic abstract patterns in harmonic trading. It means that after a retracement, price will sometimes continue in the same direction at least the same distance it moved before retracing. For instance, given the two points A and B that you highlighted, the ABCD pattern would be met if price would do what I have drawn. Otherwise, the ABCD pattern would not be applicable to your chart considering these A and B points you indicated{image}.
Thanks man
ABCD basic but powerful pattern . But i need to know one thing if the high performance of this pattern come from that two legs take same time and price so why we cant draw C point from the start of second leg ?
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  • #2,196
  • Jul 21, 2021 9:36am Jul 21, 2021 9:36am
Quoting bilal1947
{quote} i am not that knowledgeable but many times i know the direction and i aim for minimal or no drawdown entries (it looks funny perhaps or arrogant, not sure how other perceives) and still perfecting them so i am still learning among other live traders guidance. i dont follow fundamentals but when they plan to move price fundamentally or randomly, and its about to happen they leave clues itself in price, like, before rain one can observe clouds mostly. so its like that. {image}

At the end of the Xtreme brutal day trading
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"Exchange of hands"
  • #2,197
  • Jul 21, 2021 9:46am Jul 21, 2021 9:46am
Quoting bilal1947
{quote} At the end of the Xtreme brutal day trading {image}
You are the monster!
  • #2,198
  • Jul 21, 2021 11:14am Jul 21, 2021 11:14am
Quoting Rahmandorai
Sorry for irrelevant post but anyone trade ABCD harmonic can help please Which point is a C ? As i know ABCD pattern essentially compare the two impulse waves "steep and price" AB and CD so Is it right to select point number 1 as C ? or it should be the deepest point of AB ? {image}
Let me save you some time. Harmonic patterns are absolute garbage. Stop trading this shit asap and you will find a successful way to trade sooner. You are literally wasting your time with them.
  • #2,199
  • Jul 21, 2021 11:18am Jul 21, 2021 11:18am
Quoting Techanalyst
What makes market move? - Forex - Interest rates, inflation, GDP, risk sentiment - Gold - Risk sentiment, US dollar, global supply & demand - Oil - Global supply & demand - Indices - GDP, risk sentiment - Govt T Bonds - Interest rates, risk sentiment - Stocks - Fundamental factors based on companies earnings, and profitability from producing and selling goods and services
You are a funny dude Techanalyst...I mean Fundanalyst lol. Seriously change your name to reflect your beliefs. Let me tell you EXACTLY what moves ANY market. In its most fundamental form, what moves the market is LITERALLY people buying and people selling!!! ROFL
  • #2,200
  • Jul 21, 2021 11:19am Jul 21, 2021 11:19am
Quoting trickshady
{quote} You are a funny dude Techanalyst...I mean Fundanalyst lol. Seriously change your name to reflect your beliefs. Let me tell you EXACTLY what moves ANY market. In its most fundamental form, what moves the market is LITERALLY people buying and people selling!!! ROFL
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