Learning to read Price Action with P&F Charting

anyway,something noted from the price action.at this point it is more important to trade from resistance / short..support is really not known in these turbulent times
see arrow from this morning"s price action.price up at resistance..got quickly shorted down.seems to be happening on most days in the european session.so just thinking..better not to call support areas.better to look for resistance areas
imho

eurusd..10 min
dbqcxu.gif
 
Quote from progressa:

Dentist

Your charts are most informative and I've been admiring their clarity.

I have a newbie question however...

you seem to vary your box settings (9x3, 14x3, 19x3 and so on)... How do you determine which box size is the best fit for what you think the chart is telling you? Is there a policy of one size fits a particular time frame that you have in mind, whether you're trading intraday or swing trading. Or is it an arbitrary thing to back up your opinion, ie the equivalent of flicking through different time frame candlestick charts to give you a better feel for the market?

Any info much appreciated - I've spent the last week learning as much as I can about PnF, this seems to be the most comprehensive thread so far.

Thanks,
Progressa
More...

hi pogressa.glad you are learning
basically,what i am trying to do iss show meaningful price action on the chart,so it means that i have to be nimble and discard the ones that show me nothing new.so by varying time imput,box size and reversal,you are tryi get a picture of the price action
 
Ok, I see, thanks for that.

If you don't mind, one more question - and sorry if this is more like babypips, but there aren't many decent forums for P&F.

How do you get these box sizes? 13, 8, 9, 43 etc... do you calculate them from ATR, some previous large move, fibs or some other measure? It's just that they seem random (although admittedly they seem to work fine!)

From reading through this thread from the beginning I've toggled my chart from anything from 0.5x3 to 25x3 but it's difficult to know which is appropriate.

I have to say, even 1x1 looks quite good to my eye at the moment - although I realise that's probably negating any value of using P&F - but it does seem to offer a decent smoothed version of what's happening (intraday that is)

Thanks,
progressa
 
well,i got the euro wrong.it bounced,early in the week,on news of ecb intervention and then on non farm payrolls
however,now the chart looks interesting
a high pole in a downtrend...this could be a dead cat bounce
hourly data input 32 by 3 reversal

pleanty of resistances around.a couple of vertical counts have been put on.
stocks bounced in line with eurusd chart this week

chart date is from beginning of august 2010

300glc8.gif
 
dollar index etf..uup
bullish etf on usd
2 weeks of data on this chart
dollar went billish on tuesday.note,lots of uptrendlines/green.the bulls soon got in when it pulled back
broke the res at 23.20 area,now gone back in for a test as a support
looking like a gap down on the indices for monday,uneless other news comes in

13z7uq8.gif
 
hourly data input
32 pips by 3 reversal hilo plot
3 months of data
eurusd
2itludh.gif

lets see if this support holds and thea new uptrend is happening.could be a bounce in a downtrend.certainly in a resistance area now


2itludh.gif
 
cable
hourly data input.4 months of data
50 pips by 3 reversal hilo plot
downtrend......now look at the consolidation and the support at 1.5400
so nfp tomorrrow.i have drawn a trendline/blue,from the latest low .to see the reaction,if there is strength or weakness in the dollar..



2mdkw47.gif
 
You must log in or register to reply here.
Back
Top