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Attachments: The market never cared about your moving average or candlestick analysis
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The market never cared about your moving average or candlestick analysis

  • #1
  • First Post: Jun 17, 2011 1:18pm Jun 17, 2011 1:18pm
Just saying...
  • #2
  • Jun 17, 2011 1:31pm Jun 17, 2011 1:31pm
now that we have that cleared-up i'll go back to trading moon cycles.
Congratulations ScalaFX for coming out of the closet!
  • #3
  • Jun 17, 2011 1:40pm Jun 17, 2011 1:40pm
ahhh... but if you combine all three, your moving average, your candlestick analysis and moon cycles... then you might really be on to something.
  • #4
  • Jun 17, 2011 1:47pm Jun 17, 2011 1:47pm
  • #5
  • Jun 17, 2011 2:05pm Jun 17, 2011 2:05pm
Quoting mike22
ahhh... but if you combine all three, your moving average, your candlestick analysis and moon cycles... then you might really be on to something.
in 3 posts we have summed up the journey of the 90%

fastest resolved thread in the history of FF


  • #6
  • Jun 17, 2011 4:08pm Jun 17, 2011 4:08pm
and neither should you
  • #7
  • Jun 17, 2011 4:31pm Jun 17, 2011 4:31pm
best thing i ever did was stop looking at these two fallacies that are pounded into your head by every TA book and mentor in the game....

Quoting sangmane
and neither should you
  • #8
  • Jun 17, 2011 4:39pm Jun 17, 2011 4:39pm
Shall I code the EA that trades the moving average, candlestick analysis and moon cycles?
  • #9
  • Jun 17, 2011 5:42pm Jun 17, 2011 5:42pm
Quoting tdion
best thing i ever did was stop looking at these two fallacies that are pounded into your head by every TA book and mentor in the game....
Theres nothing wrong with a moving average or candlestick analysis..

moving averages do what there supposed to do.. calculate the average..

candlestick analysis.. look.. do you really want to go up against the Japanese..



problem is like you said.. the way most are taught to use these tools is retarted.. like there entry and exit signals and thats how every book shows it..

There pretty good market condition finders tho.. and if I don't mention there are other ways to define market conditions then someone will get on my case as well
  • #10
  • Jun 18, 2011 12:34am Jun 18, 2011 12:34am
Quoting SteveHopwood
Shall I code the EA that trades the moving average, candlestick analysis and moon cycles?
take your hands off of my edge!
Congratulations ScalaFX for coming out of the closet!
  • #11
  • Jun 18, 2011 3:30am Jun 18, 2011 3:30am
Quoting tdion
Just saying...
And you're absolutely right, because we all know bar charts, and Bollinger bands work MUCH better.


No way I'll wreck this... It's a beer truck!
  • #12
  • Jun 20, 2011 1:19pm Jun 20, 2011 1:19pm
I actually disagree.

What 'the market' cares about is hardly black and white, since 'the market' is made up of all participants, and at any given time how do you know that W traders aren't looking at X technical tool, Y fundamental data, or Z's speech?

You could say the same exact thing about technical s/r levels, all-time hi/lo, 52 week hi/lo, etc. and I would say you are absolutely right some of the time and absolutely wrong some of the time. That there are traders who watch these things alone is evidence enough that 'the market' cares, it just may not care every time, or it may not care as much as other factors.

I do however agree with your general sentiment that a lot of the accepted conventional wisdom, especially in regards to technical trading, isn't the be-all and end-all of trading, and probably does do newer traders more harm than help.
  • #13
  • Jun 20, 2011 1:39pm Jun 20, 2011 1:39pm
It doesn't matter what the market cares about.
All it cares about is order flow (banks, broke rs and other big-$ traders) and setting a good price to cash into later (corporations).

What counts is the market's behavior and learning enough to make a profit off it.
So anything that sticks, is good enough.
And the more in tune, the more profit.
  • #14
  • Jun 20, 2011 2:12pm Jun 20, 2011 2:12pm
Quoting ha-pattern
It doesn't matter what the market cares about.
All it cares about is order flow (banks, broke rs and other big-$ traders) and setting a good price to cash into later (corporations).

What counts is the market's behavior and learning enough to make a profit off it.
So anything that sticks, is good enough.
And the more in tune, the more profit.
The market is a collection of people.. so... the market cares about a bunch of shit.. considering the majority vote id say.. the market only cares about making profits.. be knowing the whole world is not in the markets to make a profit thats not all the market cares about.

Pce Bitches,
NY
  • #15
  • Jun 20, 2011 3:25pm Jun 20, 2011 3:25pm
Quoting ha-pattern
It doesn't matter what the market cares about.
All it cares about is order flow (banks, broke rs and other big-$ traders) and setting a good price to cash into later (corporations).
At the risk of coming across as an idiot, may I ask you how do you define order flow?
The nail that sticks out gets hammered back in
  • #16
  • Jun 20, 2011 4:58pm Jun 20, 2011 4:58pm
Quoting Noloqy
At the risk of coming across as an idiot, may I ask you how do you define order flow?
No, that's probably me that's the idiot.
I really know little about the subject (that futures and stocks, as regulated markets, show their order book), and experienced almost nothing beyond what I've read (a little time & sales, news).

order flow, in the statement given: My thinking is that the biggest orders in forex are only known to those with the most money, i.e. those groups noted, so that most chart movement is due to the flow of their orders.
In turn, as a recent post of Mr. Tdion stated and the Million Dollar Traders tv series showed an example of, those groups produce their order flow in response to news.

So, if one wants to interject caring into the market, news about whatever one cares about would be a good place.
Perhaps I went too far for a lot of traders; it was from the perspective of a (demo) technical charts trader, where what behavior the chart is up to now has to be projected from so I can trade on it. That's more than enough for me to do.
  • #17
  • Jun 20, 2011 6:09pm Jun 20, 2011 6:09pm
I agree, the market cares only about Order Flow (i.e big banks moving the market). Nothing else matters.

Wanna be rich? Learn to read the tape.
  • #18
  • Jun 20, 2011 8:49pm Jun 20, 2011 8:49pm
Doesn't Ed Seykota pretty much specialize in the art of trend following and moving averages?

Seems to have been heavily influenced by Richard Donchian and the likes.

http://www.seykota.com/tribe/Charts/...n/Default.aspx
  • #19
  • Jun 22, 2011 1:26pm Jun 22, 2011 1:26pm
Quoting Nverstop
Doesn't Ed Seykota pretty much specialize in the art of trend following and moving averages?

Seems to have been heavily influenced by Richard Donchian and the likes.

http://www.seykota.com/tribe/Charts/...n/Default.aspx
what a great result! 16 years of backtesting!!
he should upload his statement to myfxbook
Attached Image (click to enlarge)
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  • #20
  • Jun 22, 2011 9:25pm Jun 22, 2011 9:25pm
Quoting sangmane
what a great result! 16 years of backtesting!!
he should upload his statement to myfxbook
lol.... you must not be familiar with the man's history to think he would give two craps about that trash.

He was pretty much one of the forefathers of computer trading and building trading models.

He was building models to trade with before you could type them easily in computers using punchcards lol.

Although reading some of his FAQ sections he seems like quite the "quirky" individual....
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