I was thinking about 'how great' the RSI 14 would have been for trading the CL (Crude Oil) today?...would not have helped at all!!!!!!!!:eek:
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RSI(14) Indicator for HIGH-SPEED Day-Trading Futures
- Thread starter increasenow
- Start date
Quote from increasenow:
please share...do you use it...and how...?
Basic premise:
Buy when "RSI 14 is under 25" and "sell when RSI 14 is over 75"...agree?...what is the best timeframes to use this with?looking at trading it with the eminis ES, NQ, YM
Could you post a chart????
Where do you get these ideas for signals from????
As people are pointing out to you, your mind has a great deal of cross wiring in there.
Give us a break and at least post what you are looking at and WHERE it came from.
Are you aware that most all inventors of indicators and their corresponding signals did their work before the PC (personal computer) was invented???? The possible answers are Yes and No.
For anyone here in ET to get you reoriented we have to go to where you are and do the rewiring if possible.
Read oddtrader's posts and see if you can identify with your common problems.
Welles Wilder was quite a contributor to trading and how markets work at one time. He was one of the few persons who was able to blend two variables into one indicator.
Quote from frostengine:
Over the past few years here at ET the term "price action" has been coming up over and over. Generally then followed by support and resistance. That makes sense.. HOWEVER no one seems to mention "how" they use price action..
I agree that saying "Price Action" does not actually help anyone who needs help as that seems quite vague and includes everything that occurs in the market.
Frankly, in my own case after watching the charts for a long time who develop a "gut" for it... a gut is also usually technically sound and it is not that complicated figuring out which studies can give you the same results.
I personally do not use too many studies, it just complicates a simple process. I dont give much regard to overused usage of the terms "support" and "resistance".
I would seriously suggest you to follow as many studies as possible and then reduce them as you figure out what works for you. The concept is quite simple... you have to reach a point where you dont have more than a copuple of studies left that are there just for reconfirmation.. most studies that start working for you should eventually become your gut..
I dont know if I worded that perfectly, but frankly you will also at some point say the two word "price action".
As for me, I cant give away more than that, if I start talking it will not take too much time to give away my complete setup and there is no way that it would happen.
Cheers!!
in your" gut" ,or intuitively,you know what the market is doing,all the sct,uvol/dvol,macd,news,fibs,el wav,trendlines ,they are just confirming what you already feel,they just give you confidence. You need a backup from your livingroom,the walls don't offer much,anyone who reads a tape,oldschool,or tech indicators today,is using these to confirm his/her BELIEF as to the markets direction,your gut reads price action,the indicators are just the yes guy who agrees with you . If he's not answering you ,you are early or wrong, i wanted to sell 39-40 today in spus because it had been a pivotal #,gut told me not to get in way of freight train,uvol/dvol confirmed it. You won't always have a feel, but when you do ,that's reading price action,when you get to that point,you will have to learn when to trust your instincts,evntually you will learn how to trade when you're wrong and you will develop confidence to trust your instincts, because when you are wrong it's a small mistake. P. S. we all know what's going on,do u know whether you are in the way of the obvious, a personal liability to yourself? You are in tune with the market thru osmossis, staring at a screen all day. At any point during the day you can answer if it is going up,down,sideways and at that moment and you will be right. There are psych barriers in our thinking that keep us from seeing the truth,those are harder to learn and change than learning to read an indicator,if you are in denial about this small fact,your stubborness will keep you from seeing the forest thru the trees and you will go broke,being in denial about the reasons for that too. The hardest obstacle to becoming whole is honesty. I'm still working on this. Kind of a long winded answer but that is reading price action .
Frost, take a look at what happens after a trend line is broken. Note the price at which the break occurs and follow it forward. Attached is chart of the ER2 from this morning.Quote from frostengine:
Would anyone care to elaborate beyond support/resistance when refering to price action? How are you determining this support/resistance in real time? Sure, can look at a chart after the fact and point out that here it ran into resistance.. here was support.. etc.. but how are people really using this "price action" to find this support/resistance in real time? I am not looking for a hand out... or keys to the kingdom.. simply looking for more than "support and resistance"
Attachments
In real time, I don't think anyone knows if the bar that's printing is S/R. Traders, of course, look at certain prices levels from PRIOR information and then determine if those levels will act as S/R and new prices "test" the old. If prices hold and trade up, it's S and R if prices back down. In many cases, it's a coin flip. Some experts would submit it's a delusion, since the market is random. Traders often identitfy these S/R levels with many tools and sometimes, yes, indicators. Many also look for chart patterns that have repeated themselves more times than not.Quote from frostengine:
Over the past few years here at ET the term "price action" has been coming up over and over. Generally then followed by support and resistance. That makes sense.. HOWEVER no one seems to mention "how" they use price action..
Would anyone care to elaborate beyond support/resistance when refering to price action? How are you determining this support/resistance in real time? Sure, can look at a chart after the fact and point out that here it ran into resistance.. here was support.. etc.. but how are people really using this "price action" to find this support/resistance in real time? I am not looking for a hand out... or keys to the kingdom.. simply looking for more than "support and resistance"
S/R is simply PA at those predestined levels and nothing more. I find it humorous how traders say with a sense of arrogance and esoterica, they trade with PA only as if they are a part of a special group. Gurus, in particular, thrive on mesmerizing newbees with this lingo, as if they have something no one else has yet discovered.
Over the past few years here at ET the term "price action" has been coming up over and over. Generally then followed by support and resistance. That makes sense.. HOWEVER no one seems to mention "how" they use price action..
Would anyone care to elaborate beyond support/resistance when refering to price action? How are you determining this support/resistance in real time? Sure, can look at a chart after the fact and point out that here it ran into resistance.. here was support.. etc.. but how are people really using this "price action" to find this support/resistance in real time? I am not looking for a hand out... or keys to the kingdom.. simply looking for more than "support and resistance"
I define price action trading as algos arriving on time, entering when and where anticipated, in large enough numbers or force to recognize they're active and will be propeling price further. When they arrive late and in insufficient force, it's a good sign a move in the opposite direction is setting up. And indeed those instances are often immediately followed by a clear and immediate failure indicating the few algos which were active, got trapped and are bailing out. Ideally their exits are accompanied by the presence of the same algos beginning to arrive, going the opposite direction.