Channel Breakouts? am i doing this right?

Nodoji,

What are the longer time frames you use to determine S/R when daytrading?

For example, do you consider the longest time frame like the bear market we're in?

Or do you tend to stick to the last few days, then weekly, monthly and yearly S/R levels?

Also, do you trade of chart patterns?
 
Quote from vingbel:

Nodoji,

What are the longer time frames you use to determine S/R when daytrading?

For example, do you consider the longest time frame like the bear market we're in?

Or do you tend to stick to the last few days, then weekly, monthly and yearly S/R levels?

Also, do you trade of chart patterns?
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What I've found is effective for intraday trading is to look for entry/exit points based on fast/slow stochastic crossovers at overbought and oversold points. For example, when the %K line reaches an extremely oversold point, then pivots and crosses the falling %D line on a 3-min chart, 80% of the time you have a perfect long entry. (Crossover at the overbought condition indicates a possible short entry). The other 20% of the time you either get a scalp trade or an exit with a small loss. The 20% of the time this strategy tends to stall or fail is in the middle of the day (the lunchtime doldrums), or when you're trading a stock against its overall trend. But if you catch it in the first or last 90 mins of the day, the moves are generally solid.

I use a 30-day daily chart for near term S/R levels, and compare to a 1-year for major S/R levels (although major support levels were broken all over the place in this market over the past couple months).
 
Quote from NoDoji:

What I've found is effective for intraday trading is to look for entry/exit points based on fast/slow stochastic crossovers at overbought and oversold points. For example, when the %K line reaches an extremely oversold point, then pivots and crosses the falling %D line on a 3-min chart, 80% of the time you have a perfect long entry. (Crossover at the overbought condition indicates a possible short entry). The other 20% of the time you either get a scalp trade or an exit with a small loss. The 20% of the time this strategy tends to stall or fail is in the middle of the day (the lunchtime doldrums), or when you're trading a stock against its overall trend. But if you catch it in the first or last 90 mins of the day, the moves are generally solid.

I use a 30-day daily chart for near term S/R levels, and compare to a 1-year for major S/R levels (although major support levels were broken all over the place in this market over the past couple months).
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Thanks, NoDoji. Much appreciated. What setting do you find most useful on your stochastic indicator?
 
Quote from NoDoji:

Vingbel, I just choose "Full Stochastic" from my Etrade chart tools and it displays both lines.
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Do you know what they set both lines to? What the moving periods are?
 
No I have no idea. I just select "full stochastic" from my Studies list. I recommend you put in some settings on your system and study the charts to see how well they signal.
 
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