When support and resistance fails?
- Thread starter Spragga
- Start date
Quote from Spragga:
Pretty funny coming from a guy who's name is DEADBROKE!
You are why people fail in trading. Your way of thinking is like everyone else who fails.
Keep it up and keep failing and please keep trading. I need someone to take the other side of my trades
>>>>>> I need someone to take the other side of my trades <<<<<
You're going to take the other side of my trades?
I hope you will fare better than Natalie - see below
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The Madam opens the brothel door to see deadbroke standing in the doorway. His clothes are all disheveled and he looks,......well, "broke to the bone" and enormously "needy". "Can I help you?" the Madam asks. "I want Natalie", deadbroke replies. "Sir, Natalie is one of our most expensive ladies. Perhaps someone else...?" "No. I want Natalie."
Just then, Natalie appears and tells deadbroke that she charges $ 1,000 per hour. Without so much as a blink he reaches into his pocket and pulls out ten crisp new $ 100 bills. The two go up to her room for an hour, whereupon he calmly leaves.
The next night deadbroke appears again demanding Natalie. Natalie explains that no one had ever come back two nights in a row, that there are no discounts and that the rate is still $ 1,000 for one hour. But once again he takes out the money. The two go up to the room and he calmly leaves an hour later.
When he shows up for the third consecutive night, no one can believe it. Again he hands Natalie the money and up to the room they go. At the end of the hour Natalie decides to question deadbroke. "I'm not used to having the same customer come back three nights in a row. Mind if I ask where you're from?"
"I am from California." "Really", replies Natalie. I have a sister who lives there." "I know", says deadbroke mischievously with that devilish clean-getaway look in his eye. "She gave me $ 3,000 to give to you."
Ok, how about a comment on topic. With SPY having two prior peaks around 134 I would consider that resistance and after yesterdays break it failed pretty spectacularly today. I trade mechanical strategies, not support and resistance, but as I understand it a failure after a break of resistance is considered a stronger signal than a break through that holds.
Honestly - study Market Profile and shitcan Support and Resistance studies completely. Better reflection of how price action works to determine value areas in the marketplace.
Only logical way I know of to look at S/R is over multiple timeframes - almost like Daily, Weekly, and Monthly Pivot Levels. We use them as profit and stop/loss targets, never as a fade.
Only logical way I know of to look at S/R is over multiple timeframes - almost like Daily, Weekly, and Monthly Pivot Levels. We use them as profit and stop/loss targets, never as a fade.
Re-write the question in your native language, please. If your language is that which emerges @ 0:52 in video below, I can help you - come to papa.
http://www.youtube.com/watch?v=HOEXOBx9eVc