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Learning to read Price Action with P&F Charting
- Thread starter HolyGrail
- Start date
We just had another one that I didn't take. If it broke the pivot it would have been a great trade, but I won't trade unless it breaks the pivot pretty strongly, and then only on a slight pullback.
The daily pivots are shown in the chart (a nice feature in investor /rt.
I did trade the setup on my button trader simulator and of course it failed with my normal stops, so I guess I feel pretty good about not taking it.
The daily pivots are shown in the chart (a nice feature in investor /rt.
I did trade the setup on my button trader simulator and of course it failed with my normal stops, so I guess I feel pretty good about not taking it.
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It has been said before, but I want to reiterate this. Your chances of success increase dramatically when you trade any pnf signal with the trend.
The only possible exception is when you are at the highs or lows of the day.
That goes for these sync trades as well. If you want to trade them counter trend you need to have lower targets.
The only possible exception is when you are at the highs or lows of the day.
That goes for these sync trades as well. If you want to trade them counter trend you need to have lower targets.
Good luck finding a commercial P&F package. I had to write my own to get something I liked.
The problem is that most charting packages are built around a OpenHighLowClose data framework and hours:minutes:seconds and it makes them difficult to render p&f correctly.
Most commercial packages do not deal with p&f trend lines and convert OHLC bars to columns which loses column data. You really need to build the columns as the data comes in to really see choppy areas correctly and to have trend lines work (IMHO). Here is a screenshot of YM late this afternoon showing YM 1x3 boxes. Also on the screen is Time&Sales for ES, YM and NQ. I use p&f to complement other screens and not by itself.
Good trading! Great thread HG!
The problem is that most charting packages are built around a OpenHighLowClose data framework and hours:minutes:seconds and it makes them difficult to render p&f correctly.
Most commercial packages do not deal with p&f trend lines and convert OHLC bars to columns which loses column data. You really need to build the columns as the data comes in to really see choppy areas correctly and to have trend lines work (IMHO). Here is a screenshot of YM late this afternoon showing YM 1x3 boxes. Also on the screen is Time&Sales for ES, YM and NQ. I use p&f to complement other screens and not by itself.
Good trading! Great thread HG!
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For real time trading I use investor rt, and it works perfectly and dsiplays everything correctly including trends.
For swing trading I use bulls eye broker, which is a program specifically for pnf, nothing else.
Welcome to thread guys. Please feel free to contribute your ideas on trading pnf.
For swing trading I use bulls eye broker, which is a program specifically for pnf, nothing else.
Welcome to thread guys. Please feel free to contribute your ideas on trading pnf.
Great thread HG. Someone earlier in the thread recommended du Plessis's book on P&F. I use the 1 box reversal method in the ES and thought it might be of interest here. The graphic is a comparison of a 1x1 and a 0.5x3 of part of last Thursday. The one box reversal is the only chart where X's and O's can occupy the same column. It allows for a pullback of one box and any increment up to but not including 2 boxes without changing the direction of the chart. This acts as a filter for minor pullbacks while continuing the trend. The small retracements can be seen as an ascending trend of X's with one O under them or descending O's with one X above. I like the way it condenses the chart and I think makes it easier to see patterns forming.
These charts are courtesy of a programmer friend of mine, but I saw on the link to Linnsoft that 5pillars posted that they have the one box chart for anyone that might be interested in following up on this.
These charts are courtesy of a programmer friend of mine, but I saw on the link to Linnsoft that 5pillars posted that they have the one box chart for anyone that might be interested in following up on this.