How to spot Busted Chart Patterns only with price action

[i960]

That chart is definitely in central time. The section you're talking about didn't happen until 1342ET.

Anyway I would argue that that H/S looking thing did indeed drop off near 1310 and that was that - end of the move. But it bounced off a 190.4x level it had just broke out of back around 1240, finding support, and went back up. However there's a bigger point here in that it's a 1m noise chart in the middle of a range, having just recovered from dropping below the range. This is not a place you should be putting on shorts or even trading IMO.

I'm going to post an ES volume-based-chart from the same day to show what I mean:

Trade at the edges. Trade off of more significant levels.

 

[Autodidact]

Well, I'll going to take a neutral position. I couldn't care less how anyone chooses to use the hints I'm providing them. But I'll provide them anyways in case someone wants to go beyond the run-of-the-mill traders.

The second biggest hint I'll give to this thread: The pattern(s) you're supposed to see within those larger basic patterns is slightly more complex.

Third biggest hint: There is only one sub-pattern (ie. intermediate knowledge pattern) in each of those charts.

So there, if you managed to figure out why those patterns got busted based on these two (third one sort of doesn't really count) hints, bravo! If you haven't or not willing to try, tough luck!

I only see one pattern, you come out as an Internet idiot!

 

[Autodidact]

Hi

Last week I had couple off rough days I was trap in couple busted charts patterns. I would like to hear opinions. If there is a way to watch only the price action and avoid the pattern or get early from the busted pattern. By the way the trends and context where right. I double check it after. Also you can see how a lot of traders saw the same because the pattern executed outside and reverted. Any thoughts?

 

[Erick Gomez]

That chart is definitely in central time. The section you're talking about didn't happen until 1342ET.

Anyway I would argue that that H/S looking thing did indeed drop off near 1310 and that was that - end of the move. But it bounced off a 190.4x level it had just broke out of back around 1240, finding support, and went back up. However there's a bigger point here in that it's a 1m noise chart in the middle of a range, having just recovered from dropping below the range. This is not a place you should be putting on shorts or even trading IMO.

I'm going to post an ES volume-based-chart from the same day to show what I mean:

View attachment 157685

View attachment 157686

Trade at the edges. Trade off of more significant levels.

Thanks for taking the time to review. Did you add manually the green support on the bottom of the H/S?

Thanks!

 

[Erick Gomez]

@Autodidact heheh Yep I am removing them..

 

[i960]

Thanks for taking the time to review. Did you add manually the green support on the bottom of the H/S?

Thanks!

Yes - but the most important part of a H/S is the neckline IMO. However, if it's just some H/S looking thing within the middle of a range on a 1m chart - it has a high chance of failure.

 

[fxwizard]

I only see one pattern, you come out as an Internet idiot!

Lol, another noob on board. But that's expected. Most ppl never progressed beyond elementary school, or should I say kindergarten when reading price action...

 

[Eddiemorra]

don't take the head and shoulders short as it's getting support from the bollinger band, maybe

ANd the double bottom trade looked like it worked (not a failure)

 

[murray t turtle]

Erick what are the timeframes here? What days?

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Good question; wisdom is profitable to direct.

 

[PriceActionLady]

My bad the time frame it was 1 minute, the day it was September 30 @12:42

View attachment 157684

I cant really help on that one, i rarely trade below 30 min chart