Andrews Pitchfork (Median Line)

i just saw the answers....thank you all very much for the detailed answers...and i think i got 70-80% of my questions answered..and i shud find the rest myself by working hard )

For example this is the pair where i have orders now...i drew many pitchforks and decided that this one is the best one for the market...and the price passed through the median line...i made my orders...i even did add some extra orders on the way as the price moved in the direction which i expected it to move...and as u see in the pic i placed my stop loss levels a little above the previous "high" ... and my target is the lower median line...

But....here the questions are coming

1-as i read the price cannot pass through the median line comfortabally , because it is an area of energy and it can be passed only by jumping over the median line or by long bars with high volumes....But in my pitchfork the price almost dances on the median line.Doe this mean that i shud draw another pitchfork which fits the theory? Or is this a normal situation ?

2-lets suppose that the price reached my target (the lower median line)..then shud i wait for the price action and enter a BUY order at the most suitable place ? Or shud i never think about a BUY order in a pitchfork which shows downtrend ?

3- if the lower median line is broken by the price...shud my target be the next lower paralel line ? or shud i just sty away making orders in that pair ?

4-By saying "price action"....do you mean the candle patterns like doji , hammer , morning star etc... ? Or do you mean patterns like gartley ?

1- in my pitchfork the price almost dances on the median line.Doe this mean that i shud draw another pitchfork which fits the theory? Or is this a normal situation ?

Price has given no indication that it respects your fork. The forks that work best are those that price has shown it respects, ie. the fork has acted as a robust form of support or resistance.

2-lets suppose that the price reached my target (the lower median line)..then shud i wait for the price action and enter a BUY order at the most suitable place ? Or shud i never think about a BUY order in a pitchfork which shows downtrend ?

Myself, I generally only buy or sell when market structure supports the direction of the trade; I explain what I mean by this here

3- if the lower median line is broken by the price...shud my target be the next lower paralel line ? or shud i just sty away making orders in that pair ?

There is no black and white rule to answer this, there are many possibilities.
eg: you might like to exit at the next median line and wait for market structure to tell you if a second position is appropriate; you may like to exit ½ your position and hold the remainder; or you might decide to hold your position

4-By saying "price action"....do you mean the candle patterns like doji , hammer , morning star etc... ? Or do you mean patterns like gartley ?[/quote]

price action means different things to different people, for me it includes such things as: pivots, individual bars, patterns, channels etc etc


this site might also be of use to you for further education

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I think this is the pitchfork which u are talking about (the one which price respects) ...and things really change when we look at this perspective... :S

... the SNB effectively pegged the franc to the euro, I personally wouldn't bother with this pair, but that's just me.

I won't say it again, but you need to draw forks like a mad man for a bit and they will speak more and more clearly to you.

video

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watchlist
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Did anyone participate in the Marketgeometry seminar this past weekend?

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good chance EURCAD was going to follow EURUSD after euro news

EURUSD makes good close over ML, encouraging EURCAD buy

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EUR/USD Daily

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Charts for those that follow my work. You will find them in the zip file. I did a lot of charting on larger timeframes for multiple pairs.

thanks eagle , helpful to see others' forks, so many ways to draw these things

Sure of course I will be sharing more when I can.