Price Action Journal V1.5
- Thread starter TraderKaizen
- Start date
I was out of town the entire day, and just got back..
Looking back on my charts for the SPY, is it me, or was today one of those "home run"/dream days from a AHG perspective?
Looking on my charts, it looked like many establsihed (up and down) trends with ample week pullbacks to get on board....
Of course hindsight is 20/20, but anyone else agree here?
Even the uptrend in the later day had alot of steam with pullbacks.
again, these charts are hindsight, etc, but what nice moves...
will post what I mean in a sec
Looking back on my charts for the SPY, is it me, or was today one of those "home run"/dream days from a AHG perspective?
Looking on my charts, it looked like many establsihed (up and down) trends with ample week pullbacks to get on board....
Of course hindsight is 20/20, but anyone else agree here?
Even the uptrend in the later day had alot of steam with pullbacks.
again, these charts are hindsight, etc, but what nice moves...
will post what I mean in a sec
I couldn't agree with you more...today should have been a great day for students of AHG and PA.
I took 3 trades this morning. Ended up with one BE, one loser and an 8 point run on my next trade. I will try to remember to post my chart when I get to the office in the morning.
This morning I placed my first 2 trades in my sim before getting kick offline. I logged back on quickly, not wanting to miss the setup that was developing. I entered my trade before I realize it was in my live account. :eek: Oh well, at least it was profitable.
Calling Comcast in the morning, can't rely on the buildings DSL any longer
BYF
Here is my winner from yesterday. Both trades in my sim account were losers.
<i>"Surprised I dont see more comments on today I guess..."</i>
Volatility has turned to outright violence. Looking at the charts in hindsight versus real-time speed of bars are two completely different experiences.
When we look at a static chart, it all appears linear. But some of those price bars on news releases were micro-second explosions. That's what you cannot see in hindsight.
Secondly, when price action changes direction four - five times in a morning, it confuses our senses and leads to discipline breakdown. Price action flying all around is exactly the same as flocks of birds or schools of fish swirling all around to confuse and confound their predators.
A bear chasing one fish or falcon chasing one bird for prey is usually successful. But when fish are swimming all around or flock of birds flying every which way, the predators' senses are overwhelmed. Chase two targets, they catch none.
The same principle is true for traders in wild markets: you can short all the way down or buy all the way up, but the counter-trend whipsaws blow out stops and senses at the same time.
Overall trend was down in the morning, up in the afternoon. But that doesn't mean you can blindly trust those intraday macro-trends to hold. Still must respect stops, and the deep pullbacks often hammer out stop positions before price action gets from A to B to C where it's going.
Bottom line? This wild stuff looks great on paper and tugs at the emotional heartstrings of greed in all traders. But click those entry and stop orders in, we see what reality looks like in place of theory.
Tradable? Yes. Just damn tough in its own right, and far from ideal for easy profits.
Volatility has turned to outright violence. Looking at the charts in hindsight versus real-time speed of bars are two completely different experiences.
When we look at a static chart, it all appears linear. But some of those price bars on news releases were micro-second explosions. That's what you cannot see in hindsight.
Secondly, when price action changes direction four - five times in a morning, it confuses our senses and leads to discipline breakdown. Price action flying all around is exactly the same as flocks of birds or schools of fish swirling all around to confuse and confound their predators.
A bear chasing one fish or falcon chasing one bird for prey is usually successful. But when fish are swimming all around or flock of birds flying every which way, the predators' senses are overwhelmed. Chase two targets, they catch none.
The same principle is true for traders in wild markets: you can short all the way down or buy all the way up, but the counter-trend whipsaws blow out stops and senses at the same time.
Overall trend was down in the morning, up in the afternoon. But that doesn't mean you can blindly trust those intraday macro-trends to hold. Still must respect stops, and the deep pullbacks often hammer out stop positions before price action gets from A to B to C where it's going.
Bottom line? This wild stuff looks great on paper and tugs at the emotional heartstrings of greed in all traders. But click those entry and stop orders in, we see what reality looks like in place of theory.
Tradable? Yes. Just damn tough in its own right, and far from ideal for easy profits.
