ReadtheMarket - Supply and Demand with Price Action
guess the green dotted line is where the trend is defined? Now price is in down trend, just mark up two zones for sell opportunity, not sure if I follow your logic. {image}
{quote} Absolutely! once in the trend, there is tradable position at every turn. Like UJ pair, it has generated pretty decent returns. There is still a previouse buy that never got filled, still trying to figure out why it was that off. {image}
RIP RTM - long live Nonsense Trading
{quote} is that the kink of some sort from the left? either way its the base of a pole as well {image}
The biggest issue is that zone is ~ 12 points wide. From the management point view, we might bail this trade.
Take the recent UJ trade for example;
It is in the trend and the entry was good, stop loss was 5+ points. It has been stop out now
, as the price approaching to the origin of the move up.Most likely, it might form a short term down trend.
{quote} Absolutely! once in the trend, there is tradable position at every turn. Like UJ pair, it has generated pretty decent returns. There is still a previouse buy that never got filled, still trying to figure out why it was that off. {image}
- #8,070
- Edited 8:41am Aug 17, 2023 8:18am | Edited 8:41am
- Joined Mar 2019 | Status: Trader | 944 Posts
I've thought a while before making this post. It's not RTM methodology, so might not be well received here. BUT.. in combination with RTM concepts it could be quite powerful...disregard if you think it is an off-topic distraction.
The recent UJ bounce point is a good example. It ties in almost perfectly with a 50% retrace of a recent swing up. And then price goes on to make a perfect measured move (both green moves are same size)
How do I know the measured move will play out? Well I don't know for sure of course....but if price is truly fractal we can look at the projection and how it might get there. After the 50% retrace it is safer to wait for price to engulf top of bottom green box (thumbs up). Then I can draw the magenta line swing that broke the high and duplicate it to see where price would need to retrace to in order for it still to reach exact top of 2nd green box. I think what this shows is basically a maths algo in control of price. Of course there is still an IF...THEN scenario if the path DOESN'T play out and calculations can be made to where price will then go.
IF made a comment years ago that even if a level he trades at is broken...he will nearly always still come out with a small profit. I think that refers to one of these patterns breaking down (maybe like an unexpected engulf). When this happens big money has to re-adjust to get on board the new direction which inevitably means a retrace (and no need to take an SL is u pretty much know it's coming.
And also...where would that measured move target happen to be I wonder?
But price is all just random, isn't it ?
The recent UJ bounce point is a good example. It ties in almost perfectly with a 50% retrace of a recent swing up. And then price goes on to make a perfect measured move (both green moves are same size)
How do I know the measured move will play out? Well I don't know for sure of course....but if price is truly fractal we can look at the projection and how it might get there. After the 50% retrace it is safer to wait for price to engulf top of bottom green box (thumbs up). Then I can draw the magenta line swing that broke the high and duplicate it to see where price would need to retrace to in order for it still to reach exact top of 2nd green box. I think what this shows is basically a maths algo in control of price. Of course there is still an IF...THEN scenario if the path DOESN'T play out and calculations can be made to where price will then go.
IF made a comment years ago that even if a level he trades at is broken...he will nearly always still come out with a small profit. I think that refers to one of these patterns breaking down (maybe like an unexpected engulf). When this happens big money has to re-adjust to get on board the new direction which inevitably means a retrace (and no need to take an SL is u pretty much know it's coming.
And also...where would that measured move target happen to be I wonder?
But price is all just random, isn't it ?
I've thought a while before making this post. It's not RTM methodology, so might not be well received here. BUT.. in combination with RTM concepts it could be quite powerful...disregard if you think it is an off-topic distraction. The recent UJ bounce point is a good example. It ties in almost perfectly with a 50% retrace of a recent swing up. And then price goes on to make a perfect measured move (both green moves are same size) {image} How do I know the measured move will play out? Well I don't know for sure of course....but if price is truly...
we are looking at the same place and the price has aleady reacted. I also missed the last entry again. It is frustrating. look at the bright side, did not loss it. just manage our money well.
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