Contradicting TA

Trendylines · Oct 2, 2012

Too bad, I was just beginning to enjoy the discussions

Handle123 · Oct 2, 2012

Quote from Nutinsider:

So what do you do when you get contradicting indicators?

I'm looking at a AAPL september 27th candle and it appears to be bullish engulfing...then next day its a bear harami.

This is one example, but I'm curious about what you guys look at next when your initial indicators are contradictory? To me is seems choppy and that would be a sign to just hold pat.

Thanks

I don't use candles per se in intraday or daily/weekly unless it is used as in special situation pattern trading. I am not saying they don't work, but when I started trading, only used bars for a number of years before they came out, so I am more use to just regular bar charts and the patterns they make.

AAPL looked very toppy on highs slightly over 700.00 as volume was less than previous highs, MACD or TSI were showing a slowing down on both weekly/daily charts, plus a Doji at the highs per the weekly, I view it as it should go lower.

oraclewizard77 · Oct 2, 2012

A Doji is a candle.

Quote from Handle123:

I don't use candles per se in intraday or daily/weekly unless it is used as in special situation pattern trading. I am not saying they don't work, but when I started trading, only used bars for a number of years before they came out, so I am more use to just regular bar charts and the patterns they make.

AAPL looked very toppy on highs slightly over 700.00 as volume was less than previous highs, MACD or TSI were showing a slowing down on both weekly/daily charts, plus a Doji at the highs per the weekly, I view it as it should go lower.

kut2k2 · Oct 2, 2012

Quote from Nutinsider:

So what do you do when you get contradicting indicators?

I'm looking at a AAPL september 27th candle and it appears to be bullish engulfing...then next day its a bear harami.

This is one example, but I'm curious about what you guys look at next when your initial indicators are contradictory? To me is seems choppy and that would be a sign to just hold pat.

Thanks

Any indicator that gives me a buy signal at one time and a sell signal the very next time step is worthless IMO. I never saw the value in using candles for myself but I'm in no position to say they don't have value to somebody else. I just ignore any indicators that ever whipsaw me. My only other universal rule on indicators is:

If your indicator needs confirmation, then you need a better indicator.

As always, YMMV.

wrbtrader · Oct 2, 2012

Quote from kut2k2:

Any indicator that gives me a buy signal at one time and a sell signal the very next time step is worthless IMO. I never saw the value in using candles for myself but I'm in no position to say they don't have value to somebody else. I just ignore any indicators that ever whipsaw me. My only other universal rule on indicators is:

If your indicator needs confirmation, then you need a better indicator.

As always, YMMV.

He's not using Japanese Candlesticks correctly. Therefore, there lays the reason for him thinking there's a contradiction, Simply, its not being used correctly...they will be (are) confusing and useless.

Nutinsider · Oct 2, 2012

Thanks for all the responses, I just put in a trade (I'm still doing paper money) and I will let ya'll know how it works out!

Kurgan · Oct 5, 2012

Quote from jack hershey:

All automated systems that take the full offer of the market, have appropriate suppression circuitry.

Is the soviet high school circuitry applicable?45 min class;10 min break after the first class;next 45 min,etc?Do you know why 45 min was chosen for a class,btw?

jack hershey · Oct 5, 2012

Quote from Kurgan:

Is the soviet high school circuitry applicable?45 min class;10 min break after the first class;next 45 min,etc?Do you know why 45 min was chosen for a class,btw?

Yes.

Poorly constructed question No answer for you.

Yes.

I was a black operative out of Kent during holidays. Speak Russian, please.

Kurgan · Oct 5, 2012

Quote from jack hershey:

Yes.

Poorly constructed question No answer for you.

Yes.

I was a black operative out of Kent during holidays. Speak Russian, please.

No need for the capital 'R' in the word ''Russian'' in the middle of the sentence,when it means ''language''.

I agree,poorly constructed.I meant to say,why not take a 10 min break after each 45 min trading segment.But you were talking about bots. Do bots need a break,btw?

jack hershey · Oct 5, 2012

Quote from Nutinsider:

I THINK you are saying "ignore the noise" and just grind the nuts and bolts, right?

In expert trading you will process all incoming information. Half is suppressed half is not. there is no noise, no anomalies and no flaws.

I totally agree with that, and I suppose I am simply trying to determine what is noise and what isnt.

this beleive is common and it has to be dropped and never allowed to gain any foothold in your long term memory. considering something as defined noise is a step on the way out of trading

I guess most TA would fall under the category of non noise because it isnt as biased?

You MUST develop and maintain a NEUTRAL bias. The market supplies a great deal of information.

The general and effective way to learn how markets work is to start at the beginning with the smallest items in a market.

Your mind is like a glass lens. See Hale and See biology.

Im really not sure, but I'm still reading a lot and attempting to get a better feel of the markets.

Disregard the detractors, clowns and jealous people. All they do is fart.

After suppression comes context; Donna explained it to you.

slowly clear a spce to work. Pile the books in smal piles and put them beside your bed. Take a broom and push them beyond reach. Pour concrete along the edge of your bed so it harden as soon as possible.

Go to your computer table and spray paint your screen with black primer. Also spray paint you keyboard and the bottom of your mouse. spray your mouse pad and put the mouse down on it and press it firmly into the wet spray paint.

read my first message to you. Find a blank sheet of white paper. Find a "ruby erasr that erases without leaving a trace. If you have to shave off with a razor a layer from the parts of the eraser that can touch a piece of paper. Get a 0.7mm mechanical lead pencil and 30 spare leads of the proper size.

sit behind these four things and look at them. Place the eraser the extra leads to the side. Fill the first page with a vertical line allowing for margins by using the mechanical pencil.

The item you have drawn is called an event that is taking place in the present.

It is one of two things: a hold or a reversal. Label the page with a 1 and label it "event." In the open space on the page write an (*) twice; once after the "t" of the owrd event and once in the space in the top half of the page.

after the second (*) letter in large symbols of the alphabet "hold" or "reversal".
Regardless, thanks for the response.

you will fill over 100 3-ring binders with such pages before you give up trading forever.

If you drew a volume bar, then you are taking the first step towards becoming an expert.

I gave up on you for drawing price bars. You simple were not up to the task.

I made this task simpler and less complicated since your mind could not process my first task.

A volume bar signals an event or hold unless it is surpressed.

I have told you there is no noise, no anomalies and no flaws in how the market shows you it works. since none of these things exist, then do not think about them. do not talk about them and do not read about them.

Now you mind is empty and still avaialbe to be built with facts (knowledge) skills, and experience. this is not true for the detractors, clowns, etc... They are permanently and totally fucked for the rest of their lives. It is wonderful for all of us others. They come to trading, they learn failure repeatedly and they leave empty handed. No soup for them.

Go back to my first comment and take out a sheet of paper.