Perfect example of why S&R is just plain wrong analysis.

There's different levels of support/resistance and most money is made from determining positions based on how assets act around support/resistance. I agree with buying a minor support level after a topping formation would not be profitable. Based on the limited timeframe shown I certainly wouldn't want to buy that "support". How about an asset class that has had significant stops go off for days and has created multiple inefficient gaps and is now headed toward exhaustion right at major support. This is one of the best opportunities. So I think it's a bit more complicated than support/resistance not working.
 
Actuarial_Fun said:
There's different levels of support/resistance and most money is made from determining positions based on how assets act around support/resistance. I agree with buying a minor support level after a topping formation would not be profitable. Based on the limited timeframe shown I certainly wouldn't want to buy that "support". How about an asset class that has had significant stops go off for days and has created multiple inefficient gaps and is now headed toward exhaustion right at major support. This is one of the best opportunities. So I think it's a bit more complicated than support/resistance not working.
More...

Forget about gaps and inefficiencies and imbalances...they are the same voodoo as S&R. Price does not bounce off support, or resistance. Sure sometimes it may give that impression, but a broken clock would give the impression of being right twice a day too. :)
 
images
upload_2024-5-1_21-3-56.jpeg
upload_2024-5-1_21-4-15.jpeg


Based on @wxytrader wisdom, he is now promoted to
a Trading God.
 
danielc1 said:
There is story about a floortrader that believed he had a connection trough a Coca Cola bottle with aliens that tell him which way the market would go. When he was wrong, he blamed it on the connection. He was a very successful trader for years. In retrospect, he just ride his winners and cut his losses quickly. Moral of the story? It doesn't matter what you use for predictions in trading, as long you follow the sound principles of trading. If, that is true, why would you spend all the time in the world on trying to find a system that could predict what is going to happen? And when you find such a system, trying to convince others that this one is the best? There is no money in being right.
More...
There is a lot of wisdom in this post.
 
It's not a matter of whether Support and Resistance actually exists, it's how strong it actually is at any one time that is the question.

Support and Resistance occurs everywhere, even at the Supermarket when buying something.
 
Darc said:
It's not a matter of whether Support and Resistance actually exists, it's how strong it actually is at any one time that is the question.

Support and Resistance occurs everywhere, even at the Supermarket when buying something.
More...

Don't use my quote about supermarket lineups! Yes, lineups move in cycles everywhere.
 
wxytrader said:
Anyway, as I have shown, this call to retrace to 56k goes back to March when we were at ath's...long before you even had any "support levels" to draw in.
More...
Great call. Too bad you didn't have the conviction to act on it. Another shoulda woulda coulda. Oportunity lost.
I know you'll let us know when you take a position.
 
You must log in or register to reply here.
Back
Top