I just dont get it !!!!

[wrbtrader]

They are people on this post claiming that market direction is so important and yet this guy meir barack(whom by watching his videos i consider to really know what hes doing) is claiming that there really isnt a huge effect , well when trading intraday. Not huge but rather small . So once again i come to an inevitable road of confusion

I didn't see anyone in the video claiming market direction is important. I only saw a guy talking about his stock MNTA saying that market direction is sometimes important and sometimes is not important.

His chart in comparison was the SPY for his market direction. Thus, he was comparing the price direction of MNTA versus the price direction of the SPY.

Yet, he didn't give a reason why sometimes the market direction is important versus when the market direction is not important. Therefore, it seems like maybe you saw another video where someone said the overall market direction is important and you then saw this video where someone said "sometimes its not important".

 

[Smart Money]

ah i see. i always felt that instead of the markets direction the stocks overall trend from daily to the minute was a much more important indicator on how things for intraday would go. but what do i know. how long did it take you before you began to make consistent profits. And could you help me out with any good books on intraday trading techinques and strategies?

Wait, you're putting words in my mouth. At no point did I say that the direction of the stock's overall trend was less important than the broader market. The stock's trend is definitely more important, and I have made money going long in a down market. But it's generally not a good idea to trade against the market.

Here's a chart showing SPY (essentially an index): http://stockcharts.com/h-sc/ui?s=SPY&p=D&yr=0&mn=3&dy=0&id=p44577637080

Here's a chart of Citibank: http://stockcharts.com/h-sc/ui?s=SPY&p=D&yr=0&mn=3&dy=0&id=p44577637080

Notice that they peak at the same time. Late May, twice in June, and late in July (a few days ago)

Here's a chart of Apple: http://stockcharts.com/h-sc/ui?s=AAPL&p=D&yr=0&mn=3&dy=0&id=p80722880147
Late May, twice in June, and late in July.

Sure, they are different, but they are running up to the same peak, and therefore have the same down days post-peak.

Here's SPY today (hope this link works): https://finance.yahoo.com/q?s=spy&ql=1
And Now, Citibank: https://finance.yahoo.com/q?s=c&ql=1
And Apple: https://finance.yahoo.com/q?s=aapl&ql=1 (has the same localized peaks and lots of the same trend)

The trend is your friend

 

[cashclay]

Wait, you're putting words in my mouth. At no point did I say that the direction of the stock's overall trend was less important than the broader market. The stock's trend is definitely more important, and I have made money going long in a down market. But it's generally not a good idea to trade against the market.

Here's a chart showing SPY (essentially an index): http://stockcharts.com/h-sc/ui?s=SPY&p=D&yr=0&mn=3&dy=0&id=p44577637080

Here's a chart of Citibank: http://stockcharts.com/h-sc/ui?s=SPY&p=D&yr=0&mn=3&dy=0&id=p44577637080

Notice that they peak at the same time. Late May, twice in June, and late in July (a few days ago)

Here's a chart of Apple: http://stockcharts.com/h-sc/ui?s=AAPL&p=D&yr=0&mn=3&dy=0&id=p80722880147
Late May, twice in June, and late in July.

Sure, they are different, but they are running up to the same peak, and therefore have the same down days post-peak.

Here's SPY today (hope this link works): https://finance.yahoo.com/q?s=spy&ql=1
And Now, Citibank: https://finance.yahoo.com/q?s=c&ql=1
And Apple: https://finance.yahoo.com/q?s=aapl&ql=1 (has the same localized peaks and lots of the same trend)

The trend is your friend

ah wow that was some pretty interesting charts. I think chart reading and ta shouldnt be looked at in such confusing terms. I really think the more simpler and more intuitive emotions would make you a better trader.

 

[TradeHunden]

The market is ruled by fear and greed. A textbook approach with no modification to suit the market you are in will always lead to failure, if reading from a book and following step by step instructions worked in the stock market everyone would be doing this.

 

[Autodidact]

Money management + edge = Consistent profits

I'm not exactly there yet, but I know its possible. I say this because for months and months, I did the exact opposite. I would take my losses, but never my wins. I would get out for 1 point profit, and hang on for a 5 point loss. I was consistently losing every single day. If a person can be a consistent loser, then there must be something going on to attain that consistency, and hence, turned upside down, it could prove to be something that works.

The trick is to really get through that string of -3-3-3-3. I think with a good trading plan, you won't have that many in a row, but its possible I'm sure, and you can't let it affect you.

Everything is easy when you have an edge, you took quick profits because you did not.

The vast majority of traders, especially and including this board, lack such an edge at least you realize that without an edge, you are toast.

And yes, money management is imperative, but that's a given.

 

[Sergio77]

Candles are worse than coin because MMs fade them.

 

[Tavurth]

Cool. I think you're using the candle colors opposite how I do. Here it looks like red means the close was higher (bullish). I'm not changing my answer...it wants to rally. It is forming a penant, which (is supposed to) mean that it will jump one way or the other. Notice how the bottoms are rising? That's a bullish indicator. The last candle looks like someone put in a limit sell order too low...the fact that the last three candles are bullish are all good. The last three troughs were "V" notches...indicating that the owners aren't fooled by manipulation. Trough bottoms all line up, which is sort of a fractal thing...also bullish. If it were my money, I'd bet that it was about to jump upward soon and test one of the higher highs.

There are still about 400 candles to go if Smart Money (or anyone else) is interested in continuing?

 

[Smart Money]

There are still about 400 candles to go if Smart Money (or anyone else) is interested in continuing?
View attachment 155112

Heh...3 for 3...but if I do more, I'm risking my reputation now. I can keep going if you can display what is there a new way. I am guessing that the candles are 1 minute candles, or maybe 3 minutes. They need to be consolidated over a longer time period...like 5 minute candles or 10 minute candles. The time intervals are so short in the chart you're displaying that you (I) really can't gauge the volume changes. I get the feeling that this financial instrument is too thinly traded at the time scale provided to see the "motives" of those who might be trying to manipulate it. Also, if it is again possible to give the candles color (perhaps white for bullish, and red for bearish). These are the things I would do if I was trying to predict what happens next. It appears from what you've given me that the stock will be rangebound for a while, but with such a strong upward trend, going long with a stop is probably the way to play it because it doesn't seem to want to drop. But I'd love to see "longer" candles with color to feel good about it. (Don't forget the corresponding volume bars with the candles).

FWIW, I do not do short term trading...I'm a swing trader...but I have made some money in situations where I knew what needed to happen in the long term, so I knew the short term was out of place. I have had situations where it was obvious to me that the price had to close at about $10 a share (usually to get to an upper Bollinger or Bollinger midline), so when I see that the price is only $9.50 per share with a couple hours to go before close, I sometimes will go long for that 50 cents. Just because you play a short time interval doesn't mean you should ignore the longer time intervals (long duration candles)...they can provide good info.

SM

 

[SunTrader]

Candles are worse than coin because MMs fade them.

Yea and they fade RSI/Stoch/MACD levels and they fade MA's and they fade TL breaks and they fade ..... and they fade ....

It really is amazing how they can keep track of it all or care to.

 

[Redneck]

Money management + edge = Consistent profits

I'm not exactly there yet, but I know its possible. I say this because for months and months, I did the exact opposite. I would take my losses, but never my wins. I would get out for 1 point profit, and hang on for a 5 point loss. I was consistently losing every single day. If a person can be a consistent loser, then there must be something going on to attain that consistency, and hence, turned upside down, it could prove to be something that works.

The trick is to really get through that string of -3-3-3-3. I think with a good trading plan, you won't have that many in a row, but its possible I'm sure, and you can't let it affect you.

KP..., appears you're making headway..., Good

Below is some food for thought Sir - to do with as you see fit of course

============

Consistent methodology / approach

Consistent creation of context (context is a gauge / measuring stick..., not a forecaster)

Consistently trade within said context

Maintain consistent and routine action(s) throughout

Create a plan for each trade (SL / PT / way of managing)

Know your set ups intimately

Trade each occurrence of said setups.., no exveptions

Remain patient…, detached…, objective…, humble.., relaxed…,open and receptive

Maintain a quiet and centered mind throughout the entire session

Entries are important = as they provide minimum risk / maximum reward

Exits are important = as they ensure minimum loss / maximum reward **within the limits our your present skill(s)**

Set each stop where the trade fails

Look for / trade – the behavior supporting the set up



Edge = an indication one thing will occur over another (paraphrasing Mark D.)

(no need to over think this one)



Proper trading is the goal

The result will be consistency



RN