Tribute to Brooks

[volpri]

you cannot discern intention using price data. The vast majority of the flow in the market is not using tick data to generate an investment thesis. The only ones who are doing so successfully are hft market makers. And they do not use Brooks’ price action analysis lol.

I do not have to know the reason for the intention to know there was intention.

Oh ….in case you didn’t realize it I have no interest in generating an investment thesis. I am a trader in particular a scalper, more specifically, a scalper using Brooks concepts…and my adaptations of them along with a few concepts from a handful of other traders. REAL WORLD TRADERS NOT IVORY, ARM CHAIR PROFESSORS, DREAMING UP BS to argue about in the halls of academia.

 

[volpri]

This guy sounds like marketsurfer although somewhat less literate. The only reason I responded to him at all was to alert the journeymen in here that he is simply useless noise. I rarely put anyone on ignore but enough is enough of his gibberish. I would recommend anyone really invested in learning to trade to do the same. To those of who trade for a living, he is just another dope on the internet but to those struggling to learn, he is toxic.

You know marketsurfer entered my mind yesterday. There are some similarities. Especially the talk about price drivers. David harped on that. Remember his book “Beat The Machines?” If it is marketsurfer do you think he is trying to generate a plug for his book?

Yes, if there ever was any such thing as “noise” in the markets we have encountered it!

Toxic is probably a kind word in this case!

 

[volpri]

Hey longandshort:

I figured this below would really get you crapping and short on toilet paper.

THERE IS ONLY THE MARKET AND IT’s movements and every last movement, down to a tick, are intentional.

 

[speedo]

You know marketsurfer entered my mind yesterday. There are some similarities. Especially the talk about price drivers. David harped on that. Remember his book “Beat The Machines?” If it is marketsurfer do you think he is trying to generate a plug for his book?

Yes, if there ever was any such thing as “noise” in the markets we have encountered it!

Toxic is probably a kind word in this case!

I’m guessing there are some copies of that book left Lol

 

[NumberZ]

Ochem is rooted in empirical analysis. Brooks is not.

I think you are speaking from a prejudice and not experience. Why do you have such an ax to grind against Brooks?

Wouldn't it be better for you to try and demonstrate Brooks's shortcomings instead of just repeating unfounded criticisms?

I haven't been through his whole course yet but I am making good progress. I think you do not know what Brooks's methods are.

I also do not think padu knows. To be honest.

 

[NumberZ]

Yes god forbid I question your methodology and approach.

You aren't questioning it. ridiculing it. dismissing it. You have no questions.

 

[longandshort]

I do not have to know the reason for the intention to know there was intention.

Oh ….in case you didn’t realize it I have no interest in generating an investment thesis. I am a trader in particular a scalper, more specifically, a scalper using Brooks concepts…

you're getting confused -- an investment thesis is a rationale behind why you would buy or sell something. it is the raison d'etre behind every trade, except when seeking liquidity.

you are far beyond the curve if you think what i'm saying to "academic" lol.

 

[longandshort]

You aren't questioning it. ridiculing it. dismissing it. You have no questions.

my question is what makes you think that al brooks' understanding of the market is rooted in reality?

as volpri mentioned, there is a claim that behind every tick is an intention -- when in reality this is not true. most investors (so the vast majority of the incremental volume you see) do not trade based upon tick data. e.g. if an institution is buying F shares they are not looking at the 2 minute chart thinking "oh this is going to reverse let me buy/sell here". Instead, most large investors (whom Brooks concedes drives trading) need to budget their orders over a longer period of time -- days, weeks, sometimes months.

 

[NumberZ]

my question is what makes you think that al brooks' understanding of the market is rooted in reality?

My answer to you is that I have his video course and in a very short amount of time I can see the things Brooks talks about happening in the market on my computer screen.

That is empirical.

 

[longandshort]

My answer to you is that I have his video course and in a very short amount of time I can see the things Brooks talks about happening in the market on my computer screen.

That is empirical.

That is by definition anecdotal. Empirical would if you went and tested his approach, e.g. subsequent return given candle formation A. There are, in fact, lots of studies of subsequent returns on candle stick patterns and if you read them they will demonstrate very little to negative returns.