very intelligible post , but that quote is the bull's eye !
james16 Chart Thread
- #110,183
- Apr 12, 2012 9:21am Apr 12, 2012 9:21am
:
- #110,184
- Apr 12, 2012 9:33am Apr 12, 2012 9:33am
Heres GBP/AUD.
Daily DBHLC (to the pip) a few days ago bouncing off the RN 1.5500 and 365 EMA after a short term reversal correction (reversal from a long term downtrend). Inside bars forming since. Daily MACD does not show downtrend divergence but weekly does in the long term. If the DBHLC breaks, it seems to have a couple hundred pips of space to move.
Im looking at FTA around 1.51653
Thoughts/Comments?
-H
-H
- #110,185
- Apr 12, 2012 9:43am Apr 12, 2012 9:43am
What a "rounding" effect on gbp/aud! And a little DBHLC that maybe... something to watch.
Took the break of the few day old DBHLC (and now a break of multiple IB's). Closed partial (40 pip) on FTA 1.5300. SL to BE. Hopefully now going down to 1.5165. Going well. Finger crossed.
-H
for now[i'am in demo]
Sometime the horizon disappear. Twitter: @_whiteout
- #110,186
- Apr 12, 2012 9:44am Apr 12, 2012 9:44am
- Joined Oct 2010 | Status: full time beer drinker | 1,345 Posts
Looking great so far , here is an update of my analysis . Hope you enjoy it :Attachment
- #110,190
- Apr 12, 2012 11:27am Apr 12, 2012 11:27am
Took the break of the few day old DBHLC (and now a break of multiple IB's). Closed partial (40 pip) on FTA 1.5300. SL to BE. Hopefully now going down to 1.5165. Going well. Finger crossed.
-H
Fantastic trade and a fantastic entry. This stuff really works, eh?
- #110,191
- Apr 12, 2012 12:06pm Apr 12, 2012 12:06pm
- Joined Sep 2010 | Status: Trader | 1,122 Posts
Human
- #110,193
- Apr 12, 2012 12:22pm Apr 12, 2012 12:22pm
- Joined Aug 2010 | Status: Tööröh | 14,292 Posts
Hero calls followed by margin calls...
- #110,196
- Apr 12, 2012 1:47pm Apr 12, 2012 1:47pm
Hi everyone, this question:
1) why sometimes the divergence does not work?
2) whether or not to look at it?
thank you
Attachment
sorry for the language, the second question could not write correctly
If not up, then down, otherwise sideways :-)
- #110,197
- Apr 12, 2012 2:23pm Apr 12, 2012 2:23pm
- Joined Jan 2008 | Status: <<--(-$-)-->> | 5,571 Posts
coz divergence alone means nothing.its the additional signal to pa and confluence not the primary
Trading for us is all about confluence. We can look at fibs, MAs, divergence, even PA bars in isolation and wonder all day long why they didn't work.
The trick lies in combining these factors together to leverage their value.
What's that story where this guy breaks a small stick easily, does it with a bit more effort with two together, is panting and puffing with three and almost can't break four of them together.
g.
I believe . . .
- #110,198
- Apr 12, 2012 2:56pm Apr 12, 2012 2:56pm
- | Joined Sep 2009 | Status: Trader | 1,227 Posts
Just to add on to what majestic said,
Trading for us is all about confluence. We can look at fibs, MAs, divergence, even PA bars in isolation and wonder all day long why they didn't work.
The trick lies in combining these factors together to leverage their value.
What's that story where this guy breaks a small stick easily, does it with a bit more effort with two together, is panting and puffing with three and almost can't break four of them together.
g.
I like it!
- #110,199
- Apr 12, 2012 3:31pm Apr 12, 2012 3:31pm
- | Commercial User | Joined Aug 2006 | 12,004 Posts
Just to add on to what majestic said,
Trading for us is all about confluence. We can look at fibs, MAs, divergence, even PA bars in isolation and wonder all day long why they didn't work.
The trick lies in combining these factors together to leverage their value.
What's that story where this guy breaks a small stick easily, does it with a bit more effort with two together, is panting and puffing with three and almost can't break four of them together.
g.
Hi everyone, this question:
1) why sometimes the divergence does not work?
2) whether or not to look at it?
thank you
Attachment
sorry for the language, the second question could not write correctly
I'm sure by now you understand how important having conflence is, but here's my theory on WHY they work (my humble opinion)
Thousands of traders in the world uses indicators, tools to help them analyse the charts, and most of these indicators have their roots in fibs, MAs, divergence, trendlines, BRN, etc
By having all these indicators saying the SAME thing ("confluence"), then it means more people will follow the direction of the indications. Imagine you have only a small percentage of people using divergence, but the rest are using other tools which says otherwise, thus it "doesnt work". however there is always a margin of error, because we never know exactly how many people are doing the same things
But PA adds into a new dimension for me, and the more people use PA, the better it is for me, because we all follow the same method. WE become the trend.
As senior Pinbar said "PA is the order flow"
Duckie