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No, no - - I'm joking I did read it. But based on what you're saying here, you must not put much faith into fibs? Are fibs your least important element of confluence behind PPZs/round numbers/trendlines?Ignored
Fibs are a useful guide, but only when we see strong PA. I guess I am saying they add weight to a decision I am already making, but they are never the reason for entering per se. They just give us a guide that rather than a quick PA trade, we are likely to be buying into the resumption of a trend, so our potential profit is alot higher. They also give us a hint that price could break through nearby levels if things pan out the way we expect. But, as I said, they only work when everyone else is buying into them, and we wanna see PA for that. I'd never blind trade a fib level, whereas I would happily close my eyes and short at .9990, especially with options expiring in the near future.
I dont really use trendlines, unless I am demoing Rac stuff on my baby account. They are just too subjective. Unless there is big PA there bouncing off the trendline, I'm not interested. And if there is big PA, it usually coincides with something else. Trading a trendline without PA is pretty much just saying 'hey guys, market is going up - buybuybuy!'. That may or may not be a poor strategy, depending on your views, but it isnt the kind of setup that I want.
* the obvious retort being 'of course they do, thats 40% of the chart! go write a book about MA cross systems!'
When you have to shoot, shoot. Dont talk.
) venture into alpine climbing.
)
I definitively will, great lesson, thank you Sir.