PA "Setups"

[Eddiemorra]

Previous support should become resistance>?....

Sometimes. Sometimes not!!
If you knew when it would work, you'd be a millionnaire.
I looked into this 'phenomenon' a while ago at the advice of a trader on these boards.
I could find nothing that helped to increase the odds of these support/resistance 'flips' working. It was 50/50
I think it's more an example of being fooled by randomness.

Your first line hit your stop? You in short at your second line now?
Maybe this one will work...or not.

Are you in the UK?
Good luck

 

[Buy1Sell2]

Sometimes. Sometimes not!!
If you knew when it would work, you'd be a millionnaire.
I looked into this 'phenomenon' a while ago at the advice of a trader on these boards.
I could find nothing that helped to increase the odds of these support/resistance 'flips' working. It was 50/50
I think it's more an example of being fooled by randomness.

Your first line hit your stop? You in short at your second line now?
Maybe this one will work...or not.

Are you in the UK?
Good luck

Support and resistance lines are typically arbitrary in the mind of the trader and are indicative of how the trader wants the market to behave. This is why they really don't work a high percentage of the time. Diagonal lines are more dynamic. The key to trading is using prudent risk management, not using support and resistance lines.

 

[dbphoenix]

I looked into this 'phenomenon' a while ago at the advice of a trader on these boards.

I could find nothing that helped to increase the odds of these support/resistance 'flips' working.

It was 50/50

Which is what this thread is supposed to be about.

Now under what conditions might these odds change?

(See ND's post)

 

[barcadia]

I think it's more an example of being fooled by randomness.

Your first line hit your stop? You in short at your second line now?
Maybe this one will work...or not.

Yes. Both stops were hit.

 

[dbphoenix]

Something to test. Lots of examples around, easy to find.

 

[dbphoenix]

And yet another something to test. Also lots of examples around, easy to find.

 

[dbphoenix]

Spooky

 

[Gringo]

This is a solid holding of the ground around the apex.

 

[dbphoenix]

This is a solid holding of the ground around the apex.

So much that can be tested . . .

 

[toolazy]

I thought PA has already been proven that does not work ?

anyway, even if it does, short term trading there is no chance of winning.

even if you get right system, other ways will be used to make you lose.

remember when I figured out about some stock for s shorter term trade. Tried to load and platform freezed. Never before freeze. Friendly indian explained to me that I have to reinstall operating system and call back. Anyway stock moved up from there with initial 5% jump overnight.

you cant win this, I am afraid