Drawing correct resistance and support-lines | Page 10 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Drawing Correct Trendlines 58 replies

Drawing Gann Grid in mt4, the correct way 3 replies

Drawing correct S/R and pivot 8 replies

Drawing Objects vs Drawing lines 1 reply

Drawing support and resistance lines 4 replies

Attachments: Drawing correct resistance and support-lines
Exit Attachments

Drawing correct resistance and support-lines

  • Linked: Trend Trading | Brokerage Account XXXX22
  • Expand
  • Last Sync: Sep 13, 2016
Sep 13, 2016
Last Sync: Sep 13, 2016
Sep 13, 2016
Last Sync: Sep 13, 2016
Sep 13, 2016
Last Sync: Sep 13, 2016
Sep 13, 2016
Last Sync: Sep 13, 2016
to
No trading activity in this period.
  • #181
  • Feb 21, 2008 1:52pm Feb 21, 2008 1:52pm
I was wrong earlier to short eur/usd because buyers still had too much power and I was eager to jump in and didn't wait for any correct confirmation.
In the defense of myself I have to tell that it was a _very_ light position I had because I'm not that new to FX but I still do stupid things

Now it can be the right time to enter some shorts. London went home hours ago, NY session almost over, things are calming down. There is the 1-2-3 pattern on EUR/USD M5 combined with a broken (little) resistance then support line so maybe someone else will have a few pips overnight from a little sell pos. I'm too scared right now

GL
Attached Image (click to enlarge)
Click to Enlarge Name: eurusdm5-02-21-2008--2047.jpg Size: 160 KB
  • #182
  • Feb 21, 2008 2:12pm Feb 21, 2008 2:12pm
Quoting MarkGavalda
I was wrong earlier to short eur/usd because buyers still had too much power and I was eager to jump in and didn't wait for any correct confirmation.
In the defense of myself I have to tell that it was a _very_ light position I had because I'm not that new to FX but I still do stupid things

Now it can be the right time to enter some shorts. London went home hours ago, NY session almost over, things are calming down. There is the 1-2-3 pattern on EUR/USD M5 combined with a broken (little) resistance then support line so maybe someone else will have a few pips overnight from a little sell pos. I'm too scared right now

GL
Can't see your charts Mark, ill try make comment when FF is back up
Measure twice, cut once
  • #183
  • Feb 21, 2008 2:15pm Feb 21, 2008 2:15pm
Quoting aediaz1
Can't see your charts Mark, ill try make comment when FF is back up
Yep there's something wrong with FF right now I hope the guys will solve it soon. I will repost images when it's okay
  • #184
  • Feb 21, 2008 3:28pm Feb 21, 2008 3:28pm
Quoting Rocroy
The trade you proposed turned out a success! Price is moving down to that 50 fib line (it seems that my fib is larger than yours and 50 line thus lower), and it probably bounces back up from supporting tl. Good job!

Be ready to go long at the tl!



Attachment
Just came back, and I can now see where i went wrong with my fib drawing
i will wiat for tomorrow and see if we can rack in some more pip.
also thank for the tl alarms.
cheers
  • #185
  • Edited 3:43pm Feb 21, 2008 3:31pm | Edited 3:43pm
Quoting MarkGavalda
Yep there's something wrong with FF right now I hope the guys will solve it soon. I will repost images when it's okay

Ok. Meantime I'm trying out a indicator regarding volumes. Since we can't post it I'll give you a link for the thread, it's on page 2 by smjones.
Could be a nice addon to measure trend-strength

http://www.forexfactory.com/showthread.php?t=66078
Measure twice, cut once
  • #186
  • Feb 21, 2008 3:37pm Feb 21, 2008 3:37pm
Rocroy, almost forgot to say, damn nice alarm-lines you posted, thx !
Measure twice, cut once
  • #187
  • Feb 21, 2008 5:22pm Feb 21, 2008 5:22pm
Quoting aediaz1
Ok. Meantime I'm trying out a indicator regarding volumes. Since we can't post it I'll give you a link for the thread, it's on page 2 by smjones.
Could be a nice addon to measure trend-strength

http://www.forexfactory.com/showthread.php?t=66078
I'm sorry to say this but I think it's useless. You can only see the number of the trades at your broker... Disregards institutional players, banks, etc... and more there can be 10,000 buyers with 0.01 lots and only 1 seller with 101.0 standard lots and price is gone south... Of course it's a childish comparison and explanation but should do it this late hour ...
  • #188
  • Feb 21, 2008 5:38pm Feb 21, 2008 5:38pm
Quoting MarkGavalda
I'm sorry to say this but I think it's useless. You can only see the number of the trades at your broker... Disregards institutional players, banks, etc... and more there can be 10,000 buyers with 0.01 lots and only 1 seller with 101.0 standard lots and price is gone south... Of course it's a childish comparison and explanation but should do it this late hour ...
You might be right, think they tried to explain how it calculate those numbers, but my head gives me blue-screen (like windows error) when things get too scripty.

Also trying to use a plain volume indicator trying to read if trend is weakening, but I have to admit indicators is not my strong side even easy ones like volume, with pure logical meaning. To my "defense", It doesn't seem to be my logical way of understanding market moves, stupid as it sounds Mostly, an indicator doesn't tell my head anything that candlestick hand in hand with S/R can't tell.

Just have to accept that traders have different way of trading this market (cliché sentence I know!)

I'll stick to my way of understanding the market with my cave-man drawing without to much fuzz
Measure twice, cut once
  • #189
  • Feb 21, 2008 5:57pm Feb 21, 2008 5:57pm
Quoting aediaz1
You might be right, think they tried to explain how it calculate those numbers, but my head gives me blue-screen (like windows error) when things get too scripty.

Also trying to use a plain volume indicator trying to read if trend is weakening, but I have to admit indicators is not my strong side even easy ones like volume, with pure logical meaning. To my "defense", It doesn't seem to be my logical way of understanding market moves, stupid as it sounds Mostly, an indicator doesn't tell my head anything that candlestick hand in hand with S/R can't tell.

Just have to accept that traders have different way of trading this market (cliché sentence I know!)

I'll stick to my way of understanding the market with my cave-man drawing without to much fuzz
You're speaking of my heart.

Also I have to add that I can see you're pretty advanced in drawing why would you try anything else? We should focus on what we're doing right now, I think the 6,557 views of this topic in a few days suggest that a lot of indicator traders keep an eye on our cave paintings I strongly believe mastering price action techniques is the "most best" method available right now and everything other comes after... lagging...

Tomorrow is a new day, more pips, more money, more fun! Have a good night ya'll!
  • #190
  • Feb 21, 2008 6:50pm Feb 21, 2008 6:50pm
Quoting MarkGavalda
You're speaking of my heart.

Also I have to add that I can see you're pretty advanced in drawing why would you try anything else? We should focus on what we're doing right now, I think the 6,557 views of this topic in a few days suggest that a lot of indicator traders keep an eye on our cave paintings I strongly believe mastering price action techniques is the "most best" method available right now and everything other comes after... lagging...

Tomorrow is a new day, more pips, more money, more fun! Have a good night ya'll!
Yeah, thats alot of visitors. Not sure everyone find it educational and helpful yet, but I hope some few has.

Always appreciate your encouraging words. I will hopefully never go away from this type of analyzes, but I have this habit of always wanting to improve any system no matter what. The side-affect of this could be losing focus of currently system, getting off-track. But I feel I have overcome this side effect with time. hehe I forgot to start the second line with "Dear Diary "

See you @ london start, as always, Gn !
Measure twice, cut once
  • #191
  • Feb 21, 2008 8:07pm Feb 21, 2008 8:07pm
luckily, I couldn't sleep, so when checking gbp/jpy it had just broken resistance. Aiming for previous high around 75-90 area.
Attached Image (click to enlarge)
Click to Enlarge Name: gbp2.gif Size: 32 KB
Measure twice, cut once
  • #192
  • Edited 9:18pm Feb 21, 2008 9:04pm | Edited 9:18pm
Hi all,

Here is a flag forming on H1 USDJPY. Risk of falling if it can't firmly above 107.50.

http://i263.photobucket.com/albums/i...0080222_03.jpg
  • #193
  • Feb 21, 2008 9:27pm Feb 21, 2008 9:27pm
I pretty much disagree with the way you draw your trendlines, I find them to be fairly arbitrary, but then again, I wrote a book about it so I'm a critic of everybody (including myself).

I'm curious how you "draw" yours though, since I see lines drawn arbitrarily but then again, I'm nearsighted and blind as a bat so I might not be seeing the reasoning behind your lines..

So I'm curious why you pick certain points to use and not others, and why you don't pick the tops of some lines..
google:
  • #194
  • Feb 21, 2008 9:39pm Feb 21, 2008 9:39pm
Hi twoblink,

I'm always interested in evaluating and improving my practices. Could you be more specific and point out those issues that you would like to change. Please use charts. Thanks,

R

Quoting twoblink
I pretty much disagree with the way you draw your trendlines, I find them to be fairly arbitrary, but then again, I wrote a book about it so I'm a critic of everybody (including myself).

I'm curious how you "draw" yours though, since I see lines drawn arbitrarily but then again, I'm nearsighted and blind as a bat so I might not be seeing the reasoning behind your lines..

So I'm curious why you pick certain points to use and not others, and why you don't pick the tops of some lines..
  • #195
  • Feb 21, 2008 9:54pm Feb 21, 2008 9:54pm
It did not quite played out like we planned because she decided to retrace back to 61 fib level. I got in at 50 fib, missed that 61 fib, opened an other long a little bit later. But it turned out a good trade after all.

Closed those longs some time ago, now looking for new long entry. I'm hoping she would visit that red tl again...

Quoting boomer1
Just came back, and I can now see where i went wrong with my fib drawing
i will wiat for tomorrow and see if we can rack in some more pip.
also thank for the tl alarms.
cheers
Attached Image (click to enlarge)
Click to Enlarge Name: gj now.gif Size: 22 KB
  • #196
  • Feb 21, 2008 10:42pm Feb 21, 2008 10:42pm
Quoting twoblink
I pretty much disagree with the way you draw your trendlines, I find them to be fairly arbitrary, but then again, I wrote a book about it so I'm a critic of everybody (including myself).

I'm curious how you "draw" yours though, since I see lines drawn arbitrarily but then again, I'm nearsighted and blind as a bat so I might not be seeing the reasoning behind your lines..

So I'm curious why you pick certain points to use and not others, and why you don't pick the tops of some lines..
Hey twoblink I guess you are talking to me, right? Yes I am not too serious about how to draw trendlines according to specific rules, though I understand some different people/experts have differents ideas on how to draw them.

But in my mind the price will move anywhere, either break clearly, touch on or cross a little, cross substantially but retrace quickly on different people's trendlines. That's why I don't take it too serious only if the trendlines I draw don't deviate too far from the trends. Likewise, there is no rigid shape of flags or any other patterns, provided that they look like that pattern.

Trendlines are only one of many signs that I would consider in my trade. I would look for S/R levels, live price actions, patterns, volatility etc. Afterall, trading is a probability game, price will move up and down, break or retrace without any trace after you enter. All these things are only stuffs to help my trade actions.

Regards
pipal
  • #197
  • Feb 22, 2008 12:42am Feb 22, 2008 12:42am
I'd like to comment too

Trendlines have a certain definition or specification, and if drawn and interpreted correctly, according to the spec, they are imo the most precise and fastest "indicator" for trading. And trading is very simple compared to a situation where you try to interprete several indicators. Analysing bad trades, learning from errors and improving your trading plan is much easier if you only have a few variables to consider.

This is just my experience.

On the other hand, if tls are drawn in an ad-hoc manner, I would not call them trendlines at all, rather sketchlines or whatever, but not trendlines. Then they obviously serve a different purpose than tls.

R

Quoting pipal
Hey twoblink I guess you are talking to me, right? Yes I am not too serious about how to draw trendlines according to specific rules, though I understand some different people/experts have differents ideas on how to draw them.

But in my mind the price will move anywhere, either break clearly, touch on or cross a little, cross substantially but retrace quickly on different people's trendlines. That's why I don't take it too serious only if the trendlines I draw don't deviate too far from the trends. Likewise, there is no rigid shape of flags or any other patterns, provided that they look like that pattern.

Trendlines are only one of many signs that I would consider in my trade. I would look for S/R levels, live price actions, patterns, volatility etc. Afterall, trading is a probability game, price will move up and down, break or retrace without any trace after you enter. All these things are only stuffs to help my trade actions.

Regards
pipal
  • #198
  • Feb 22, 2008 1:51am Feb 22, 2008 1:51am
Quoting Rocroy
I'd like to comment too

Trendlines have a certain definition or specification, and if drawn and interpreted correctly, according to the spec, they are imo the most precise and fastest "indicator" for trading. And trading is very simple compared to a situation where you try to interprete several indicators. Analysing bad trades, learning from errors and improving your trading plan is much easier if you only have a few variables to consider.

This is just my experience.

On the other hand, if tls are drawn in an ad-hoc manner, I would not call them trendlines at all, rather sketchlines or whatever, but not trendlines. Then they obviously serve a different purpose than tls.

R
Hi Rocroy,

I see your points. Hope you don't mind my taking it not so serious. It's only my own mind trying to trade with uncertainties (what I learn so far). Like you guys in this thread, I don't use any lagging indicators, but trading naked with helps of price actions, including S/R levels, patterns, trendlines etc.

Nice to share with you guys.

Regards,
pipal
  • #199
  • Feb 22, 2008 2:16am Feb 22, 2008 2:16am
Man, thats the price for taking a trade when walking around in half-sleep. Resistance have to be tested before we can turn into support.
Attached Image (click to enlarge)
Click to Enlarge Name: guppy.gif Size: 32 KB
Measure twice, cut once
  • #200
  • Feb 22, 2008 3:05am Feb 22, 2008 3:05am
Sure, it's ok, we all have our own style to trade

R

Quoting pipal
Hi Rocroy,

I see your points. Hope you don't mind my taking it not so serious. It's only my own mind trying to trade with uncertainties (what I learn so far). Like you guys in this thread, I don't use any lagging indicators, but trading naked with helps of price actions, including S/R levels, patterns, trendlines etc.

Nice to share with you guys.

Regards,
pipal
7 traders viewing now