No one seems to use indicators

[learner2007]

Why would one need indicators if the actual price movement can be read? For those who can't read price movement, indicators may be the tool of choice.
So just as the nurse only feels your pulse, the doctor listens to your heart! Do you want to be a nurse or a doctor?

 

[themickey]

Yep, indicators which you may use for buy & sell signals are a total waste of time imo.
Indicators which are used in an algo to supply you information is how I use.
For example, RSI to create a volatility measure.
Or RSI to indicate which stocks have been running up or running down hard would be another.

If you multiply price by volume you get turnover. If you use a eg 28 day MA you will get average turnover over 28 days. If current turnover is greater than a MA28 t.o. you get to see a possible spike in interest.

This is the way to use indicators imo and not as buy/sell trading signals.

 

[learner2007]

An extremely valuable and much overlooked point is what the details of the actual price movement can do which indicators are incapable of doing to nearly as great an extent.

One of the world's greatest TA traders once said:

The price movement will tell you what to do 1% of the time. But, more importantly,
99% of the time it will tell you what NOT to do!!

 

[murray t turtle]

Candlesticks and multi time frame analysis I like. To me everything else is noise that gets in the way of the descision making process

%%
Good points, Mr Bekim= i agree about 95% -88.8%; 200 day moving average works well [if we work well LOL]no matter how few admit that..................................................After all these years; Paul Tudor Jones admits to using a 200 dma-NOT a prediction

 

[murray t turtle]

Why would one need indicators if the actual price movement can be read? For those who can't read price movement, indicators may be the tool of choice.
So just as the nurse only feels your pulse, the doctor listens to your heart! Do you want to be a nurse or a doctor?

%% Nurse or doctor??
Fine choice ;i prefer trader/investor; 50 day moving average underlines or overline$ price.===============================================

 

[Jeffro72]

Seems there are a good amount of free form traders here who trade off of experience and a keen eye. But for a mechanical trading system (especially automated), it would still require some form of an indicator to generate buy and sell signals. Likely something proprietary.

 

[uexkuell]

...
If you multiply price by volume you get turnover.

Could you please elaborate on what you mean with this?

(Guess you do not mean actual multiplication of share price by volume at this price?)

 

[themickey]

Could you please elaborate on what you mean with this?
(Guess you do not mean actual multiplication of share price by volume at this price?)

Yes I do mean multiplication of share price by volume at this price.
Volume is quite meaningless, turnover has context.
A 5c stock can have high volume but when you analyse it, only has $100,000 turnover for the day.
In order to guage if a stock has the public's interest, turnover is what to look for.

When looking at a price chart for example a stock may go from $1 to $5 over 2 years, now if volume remains constant, turnover has increased 5 fold.

If you run searches over stocks, looking for potential contenders, you need to weed out low turnover stocks, volume alone wont give you that information.

When doing searches for contenders, I may wish to look for turnover drying up (often portends a breakout). Now over a long term lookback, price may have moved considerably downward, you can see price drying up by measuring turnover, not volume, as the price and volume alone masks the turnover drying up.

All my charts in Amibroker have turnover bars coded in, not volume bars displayed.
Hope this helps.

 

[Jeffro72]

Yes I do mean multiplication of share price by volume at this price.
Volume is quite meaningless, turnover has context.
A 5c stock can have high volume but when you analyse it, only has $100,000 turnover for the day.
In order to guage if a stock has the public's interest, turnover is what to look for.

When looking at a price chart for example a stock may go from $1 to $5 over 2 years, now if volume remains constant, turnover has increased 5 fold.

If you run searches over stocks, looking for potential contenders, you need to weed out low turnover stocks, volume alone wont give you that information.

When doing searches for contenders, I may wish to look for turnover drying up (often portends a breakout). Now over a long term lookback, price may have moved considerably downward, you can see price drying up by measuring turnover, not volume, as the price and volume alone masks the turnover drying up.

All my charts in Amibroker have turnover bars coded in, not volume bars displayed.
Hope this helps.

^All of this. Yes.

 

[Sprout]

Yes I do mean multiplication of share price by volume at this price.
Volume is quite meaningless, turnover has context.
A 5c stock can have high volume but when you analyse it, only has $100,000 turnover for the day.
In order to guage if a stock has the public's interest, turnover is what to look for.

When looking at a price chart for example a stock may go from $1 to $5 over 2 years, now if volume remains constant, turnover has increased 5 fold.

If you run searches over stocks, looking for potential contenders, you need to weed out low turnover stocks, volume alone wont give you that information.

When doing searches for contenders, I may wish to look for turnover drying up (often portends a breakout). Now over a long term lookback, price may have moved considerably downward, you can see price drying up by measuring turnover, not volume, as the price and volume alone masks the turnover drying up.

All my charts in Amibroker have turnover bars coded in, not volume bars displayed.
Hope this helps.

Interesting.

What would you infer from two successive bars but the previous bar (B.1) where Price is increasing and volume decreasing and the current bar (B.0) where Price is decreasing and volume increasing?
In both cases the turnover number being the same.

P.0*V.0=T.0
P.1*V.1=T.1

T.1=T.0

If T.0 > T.1 Then Turnover (T.0) is increasing
If T.1 > T.0 Then Turnover (T.0) is decreasing