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thalestrader

Reading Charts in Real Time

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My original thought would be a breakout trader would have taken a short at 1 and would be feeling pain. But I can see now a short here is second best as the short should have been at the double top. 2a would have been a nice setup long at support maybe on a lower time frame, a long could also be possible on the breakout of the last bars H at 2b watching for potential R at the H R:R on 2b here looks less than 1:1 so maybe not so good, also not attractive is the fact you are initiating a trade in the midpoint of a range so things could get choppy... If price finds R @ the ranges midpoint then a possible breakdown short @3. If price finds R at the H of the range and triggers short @ 4 initial target is S with hopes of a breakdown. Or Long 5 continuation of the uptrend understanding that you could be potentially buying the H...

 

LOL if this is too much thought into this but this is what I see...

 

attachment.php?attachmentid=17084&stc=1&d=1262493575

tl2.thumb.jpg.ef8a1d8c5fcadd04132ae11aebf6994d.jpg

Edited by DaKine

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Hi Folks,

 

I'd like to hear opinions on this stock chart. Any thoughts?

 

I'd be long intrabar (or immediately after that bar if price was up too fast) on that last bar shown after it probes down and price stalls then pulls up beyond the prior HL.

 

With kind regards,

MK

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Hi Folks,

 

I'd like to hear opinions on this stock chart. Any thoughts?

 

Best Wishes,

 

Thales

 

The last bar closed on the high which i like for higher prices but with resistance so close Id think of buying a retest of the second to last bars low or selling a a break of the low. Over all i favour higher prices. Just my 2 cents.. thanks

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I'd like to hear opinions on this stock chart. Any thoughts?

 

Hi Folks,

 

Thank you for the help you have provided with the above chart. I would like your opinions of the following stock as well. I have provided both the longer and shorter time frames.

 

Thank you,

 

Thales

 

attachment.php?attachmentid=17104&stc=1&d=1262526989

 

attachment.php?attachmentid=17106&stc=1&d=1262527169

5aa70f9061dee_BuySellHold-weekly.jpg.b46f7765a1f890d64a6f3abd418129bb.jpg

5aa70f9065654_BuySellHold1.jpg.038bd50e88022f8ff2bd3dbcf8f2a152.jpg

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Hi Folks,

 

Thank you for the help you have provided with the above chart. I would like your opinions of the following stock as well. I have provided both the longer and shorter time frames.

 

Thank you,

 

Thales

 

Flat @ blue

 

attachment.php?attachmentid=17111&stc=1&d=1262528647

5aa70f9076030_BuySellHold1.png.f420ca0a342f78fcd9d1b437024f4c66.png

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Hi Folks,

 

Thank you for the help you have provided with the above chart. I would like your opinions of the following stock as well. I have provided both the longer and shorter time frames.

 

 

I would wait for 1 or 2 more bars and go long or short accordingly.

 

Gabe

5aa70f907b53c_BuySellHold1G.png.493d6fd8e5c8d6a627a22b193a0a1789.png

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Well based on the thimble full that I think I have figured out at this point. I'll take a stab at it.

 

Since it's moving higher, my idea is that it will have to at some point come back to a point here it previously initiated a move higher to decide if it wants to continue or reverse. But what do I know?

probablelongs.png.e62bf592230389733bdf65133c0ab4a6.png

probableshorts.png.bf332c1138341afdcfe6494f1b090d71.png

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I would like your opinions of the following stock as well.

attachment.php?attachmentid=17117&stc=1&d=1262538475

 

Edit: Maybe I misunderstood this... if the question is what would I do now if I was flat, the answer would be "wait".

short.png.4f82fe6a167864659ef53dd776165cd2.png

Edited by TrueBalance

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Just curious if any of you find that taking these LH, HL setups on trending swings works more consistently than taking them on counter trend setups?

 

I know its all based off S/R for a lot of you guys but i've been focusing on finding the most consistent entries and weeding out the entries that are going to be more PRONE to torturing stops, giving up smaller R:R, work more immediately, and have a overall higher chance of success.

 

What I mean by that is say on the following chart, (the "Scalper" pivot study is applied making the white dots) is it easier and more consistently profitable to find entries on swings that are already trending (making new swing H/L's and pulling back to LH, HL's themselves) rather than trying to fight the perceived trend.

 

*Please note this is a pretty horrible example using a VERY small tick chart, but it illustrates the point fairly well I think. All example trades use that confirmed L or H close and rotation to test at either a DT/DB or HL/HL.*

 

attachment.php?attachmentid=17118&stc=1&d=1262539185

 

Now granted this is just an excerpt of price from last Friday but I think the overall message might be true. Yes, some of the best trades you encounter are purely counter trend - but how much additional risk do you undertake trying to find that one thats going to collapse immediately? And how probable is it that it will work in comparison with trending opportunities?

 

This post is not intended to say you are all doing something wrong, but simply point out an observation and give you something to think about. I will take counter trend entries sure - but I make sure those opportunities give everything I want and more before committing to them because personally I feel that they are lower probability opportunities. I want to wait for the best opportunities out there and frankly, I find that trending pullbacks offer the safest probability of not only success, but getting paid at LEAST 2:1 for my effort.

 

In the 3 trades I outlines, all were textbook entries, all worked to some extent or another... but only two of them ran for at least 2:1 and they both had something in common - they weren't counter trend.

 

Again - just to provoke some thought guys. Hope it helps. Cheers! :)

picture1.thumb.png.6250a9e329e3a52800ba4741e4c16dcf.png

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hi folks,

 

thank you for the help you have provided with the above chart. I would like your opinions of the following stock as well. I have provided both the longer and shorter time frames

 

............sell......

 

Edit: I'm not suggesting sell on this bar, I mean I should already be short and be holding that short from the 3 thrusts up move or at least from the false break high at which point I would be entering pretty aggressively.

 

Edit 2: I agree with previous poster too, which is the shorter timeframe? For some reason I had assumed it was the first chart.....

Edited by MidKnight

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Hi Folks,

 

EUR showing more life against the USD than the Eagles are against the cowboys. I'd have rather seen this happen closer to the Tokyo open, if not at or jusdt after, but what I want and what happens often diverge. Take the Eagles, for example ...

 

I'll see you folks later.

 

Best Wishes,

 

Thales

5aa70f911572a_2010-01-03EURUSD3.thumb.jpg.22b3421c21e2b0f11ac458a42e6fbc31.jpg

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EUR showing more life against the USD than the Eagles are against the cowboys ... Take the Eagles, for example ...

 

Please, please take the Eagles ...

 

current look at the EURUSD ... sometimes what I want and what happens diverge, a lot.

 

Best Wishes,

 

Thales

5aa70f911ddc7_2010-01-03EURUSD4.thumb.jpg.3e303075bde7646164986f092264cae3.jpg

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Looks like USDJPY is trying to do the same thing as those big charts Thales posted while ago.

 

We'll see if this is turns out to have been a good opportunity for a long entry into the potential big picture breakout.

 

Best Wishes,

 

Thales

5aa70f9122f81_2010-01-03USDJPY1.thumb.jpg.50af7bb345ef3cd5aa833fa74ab56e00.jpg

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Edit 2: I agree with previous poster too, which is the shorter timeframe? For some reason I had assumed it was the first chart.....

 

The shorter timeframe has more bars. For example, a daily bar chart will have 5 bars for every one bar on the weekly. So a weekly chart covering the same lebgth of time as a daily will only have 1/5th the bars of a daily chart.

 

Best Wishes,

 

Thales

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current look at the EURUSD ... sometimes what I want and what happens diverge, a lot.

 

yea and to think i had a baby short from 4320 and scalped for 10 ticks and a baby short on eurjpy from 33.12 and took it at 32.95. oh well, hind sight paints perty pictures.

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yea and to think i had a baby short from 4320 and scalped for 10 ticks and a baby short on eurjpy from 33.12 and took it at 32.95. oh well, hind sight paints perty pictures.

 

When price comes out of one of those wedge-like ending diagonals in the direction opposite of what one would expect, it is usually goes a ways before it tries to reverse itself again. Usually, but not always.

 

 

Best Wishes,

 

Thales

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