This is a near literal recollection of a series of trading therapy sessions I had with a patient. He came to me with the presenting complaint "I want to trade and grow rich with no effort like the infomercials say I can, but I don't trust that their for-sale system is the real deal. Can you help me develop my own?" Business has been slow lately, so brightly "Of course I can!" I instructed "Go buy an eSignal subscription, chart NQ, which I trade myself, and get back to me." Attached is the default chart eSignal brought up for him. Comments to follow.
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The Psychology of Charting
- Thread starter Duref Mudgins
- Start date
So said client says "eSignal must know the best way to trade, because their default is a daily chart. And candlesticks must be the way to go because that's the default. And since up is green, and green is good, I should always trade long. And since red means stop don't go I should never trade short, yes?"
Taking a quick snort of the chilled aquavita in the jelly jar that sustains me with such patients, I reply "Let's fix that chart to be more emotionally neutral, shall we? Purple is profitable and gold is great!" See the attached.
"Isn't that ever so much more soothing and encouraging?"
Taking a quick snort of the chilled aquavita in the jelly jar that sustains me with such patients, I reply "Let's fix that chart to be more emotionally neutral, shall we? Purple is profitable and gold is great!" See the attached.
"Isn't that ever so much more soothing and encouraging?"
Attachments
"But Dr. Mudgins, eSignal's choice of a daily default seems to be telling me I should swing trade, and that is way too dull. Also, I don't like that the candles go everywhich way. Some go up, then go down. Others go down and then up. It's hard for me to see what really happened. And with those long bodies, there's no telling what happened inside them."
Soothingly (you don't want to run the dumb fucks off until they are tapped out): "Try these chart settings. I am sure they will satisfy your need to see what is really going on."
Soothingly (you don't want to run the dumb fucks off until they are tapped out): "Try these chart settings. I am sure they will satisfy your need to see what is really going on."
Attachments
Grateful awed client: "Oh, wow, that's just fucking great! I feel like I am one with the market! But do I really need to see OHLC now at that resolution? And I know what today is, and I can clearly see the time. Do I need that cursor window? And I can see relative price changes clearly, do I need a crosshair?"
(This putz is wising up! I may make a trader of him yet!) But I say, "OK let's make it like this."
(This putz is wising up! I may make a trader of him yet!) But I say, "OK let's make it like this."
Attachments
"Man, am I getting it now! But the window is too small, I really need to see some history, right? And I'm only trading the one thing on this timeframe, so I don't need the favorites bar."
Thinking to myself, maybe this dipshit is on to something "No sooner done than said! Howdaya like this?"
Thinking to myself, maybe this dipshit is on to something "No sooner done than said! Howdaya like this?"
Attachments
"Jesus fucking bleeding Christ on a crutch! I see breaking resistance and resistance becoming support. And vice versa! Is that what you meant about trading being easy-peasy? Send me a bill, Doc, I gotta go trade!"