Staying in the trend

Quote from jgadefelth:

...If there is nothing whrong with indicators what do you recomend for indicators and / or settings. Maybe it is not whrong with the indicators it is just me or the settings that fails. How do you use the indicators right and what settings. The indicators that i think has a potential is BollingerBands, EMA, MA and MACD.

Regards
More...

There's nothing wrong with indicators...

Most likely its just you.

Thus, your expectations or goals via indicators is the wrong way to approach using them.

Therefore, no matter how you change their settings...it won't change your flawed expectations and goals of using them.

Once again...I highly recommend you stop trying to use indicators as a surrogate mother for your inadequate trading plan and flawed expectations/goals.

The best way to do this is to do that one thing that can possibly increase your confidence and encourage you to start developing a trading plan via understanding why Eminis move (up or down or sideways)...

http://online.wsj.com/public/resources/documents/b-econoday.htm

http://www.chartpatterns.com

I'm not saying that's the only reason...

I'm saying its a big reason.

Thus, you need a different perspective (time away from indicators) for awhile.

The markets will be here next month and next year...

This simple 5 day exercise may do some good for you.

It's not the indicator, its not the setting...its you.

After you do the exercise and after you start developing a trading plan...

Only return to indicators if you can find someone to trade side by side with or someone to watch the markets with (in person)...

Only if that person has a trading plan written down on paper because you've proven that on your own so far...

Trading is a dead end street.

Simply, your entry signal via whatever method (indicators or price action only) is only about 1/5 of a trading plan.

That number above becomes less as you gain more trading experience (if you can survive and get to that higher level of trading).

Last of all, start a trading diary that you discuss your feelings or emotions concerning your trading day and each trade..

Do this for a minimum of a few months to see if there's something there that's not suitable for successful trading.

NihabaAshi
 
Quote from jgadefelth:

I have som problems whit staying in the trend. I usually gets whipped out when it has a retracement. or i staing to long in the trend and comes back to point cero with no wins. What can i dò?

Regards
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I don't think exits are your main problem. Develop a comprehensive trading plan (not just an entry plan) then develop the discipline to stick with it. No one can do this for you.
 
Staying in the trend?

That's easy if you know how to find the trend.

:D
Trend Finding is Edge Finding and Edge Finding is Trend Finding
nononsense's axiom
 
Quote from nononsense:

Staying in the trend?

That's easy if you know how to find the trend.

:D
Trend Finding is Edge Finding and Edge Finding is Trend Finding
nononsense's axiom
More...

Determining and verifying a trend is quite simple when you think about it and put forth some personal effort figuring it out. The problem is that it is easier to say it doesn't exist or is too hard to determine then to apply oneself to confirming the information.
I can't tell you how many times my children said, "can't" only to apply themselves to conquer that negativity and figure out what they thought first to be impossible.
 
So then how to use indicators, i think that with patterns you see what you want to see. some of them forms after the best trend has gone and is over or almost over. the patterns are lagging just like the indicators. It would be more intresting if you would explain how to use the indicators the right way?


Regards
 
I'll offer up two ideas:

Use the RS (I've been harping on this lately :D )

Here's an example, courtesy of TorontoTrader2 in another thread (attachment).

Note how the RS line was above its 20 EMA (thin green line). Just before LM fell out of bed the RS line was flat lining and then it moved lower than the EMA. By using the price/vol action you could have gotten in and out in time for a great trade (note: this would be an entry AFTER the huge spike in late Jun 2005).

And if you don't like adding any indicators, use the 3 point break method. That only focuses on price action.

Does that help?
 

Attachments

hello,
Dont you think the trend would be defined taking in consideration the time frame of trading.YOu can have a long term trend and also an intraday trend.

-- N !!
 
Quote from Dynomitedoll:

hello,
Dont you think the trend would be defined taking in consideration the time frame of trading.YOu can have a long term trend and also an intraday trend.

-- N !!
More...



You mean primary and secondary trend.
 
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