Welcome to NexusFi: the best trading community on the planet, with over 150,000 members Sign Up Now for Free
Genuine reviews from real traders, not fake reviews from stealth vendors
Quality education from leading professional traders
We are a friendly, helpful, and positive community
We do not tolerate rude behavior, trolling, or vendors advertising in posts
We are here to help, just let us know what you need
You'll need to register in order to view the content of the threads and start contributing to our community. It's free for basic access, or support us by becoming an Elite Member -- see if you qualify for a discount below.
-- Big Mike, Site Administrator
(If you already have an account, login at the top of the page)
Experimenting with TICK charts.
Drew in a basic Andrews Fork this morning. Decent slope adherence. I think I got the bottom angle right, but maybe the fork was too high. It never caught the median line in the middle.
You always know your risk before entering any trade. Previously what I came up with uses a 1:1 or 1:2 risk to reward on something that has a high win %. Geometry and Volume Analysis is me wanting to find better entries and bigger potential trades, as well as staying with the larger time frame direction.
The tick chart shows easily 1:3, 4, 5 times reward. Got the slope right and it respected it well enough to make it work.
I have to commend @wldman on his composure, humility, and well thought out responses. My hat is off to you sir.
To the OP:
I followed Tim Morge's forking method once. It looked like the "holy grail" and all the examples looked perfect and thought the missing piece of the trading puzzle was to find someone to teach me how to properly place the fork on the chart. Long story short, I abandoned the fork idea because it didn't work half of the time because we could both be looking at the same chart and can draw our forks completely different. And so I moved on to chasing the next best thing...
Looking back, I think the fork method can work IF.. and I emphasize IF you can consistently apply the forks in the same way, have other tools to confirm confluence (like a swing high/low or an area where other players might be interested), and the other pieces of your trading together like your risk management and psychology. The fork method by itself will do nothing for you and you will soon be off looking for the next best thing.
As I mentioned in the volume profile thread you created, everything can work and nothing can work.. it just depends on how you use it and the information you glean from it. Nothing is 100% in trading and I think the rub with your thread is that it may lead other beginners into thinking this will lead you all to the promised land. There is far more to achieve profitable trading than a fork or line on a chart.
I think there are those in this forum that would generously point you to the right direction, but you have to ask the right questions and listen to what they say (really understand). Most in this forum are not vendors and gain nothing from sitting here writing a post other than the satisfaction of trying to do some good in this world. I would really encourage you to switch from treasure hunting to investigating.
I would be more than happy to read how you implement the forks if you present it in a logical format for why it works.
In trading, shortcuts lead to the longest path possible.
Exactly, that is what the thread was about. What is actually important? Someone please chime in. There is always this cryptic comment like you just posted. "point me in the right direction" There is always a comment like that. So what is it, price action, geometry, market maker games, volume analysis, patterns, coin flip analysis, statistical analysis, risk management. There has to be 3-5 things max that matter most or that are valid from the pit to the screen to the algo.
Learning how and why to draw forks and angles etc... That is part of what I do not like about it, the lack of "rules"...as if trading had rules. I cant explain with each post why I picked each pivot, but I can say those pivots were there before the price action that followed. On the flip side when I see something like Bookmap or order flow, it's greek to me. It does not resonate at all.
In general, I have been trying three things, depending on time frame. I believe every chart I posted can be summed up like this and highly recommend people start practicing to see it for themselves.
1. FORKS: I am looking for a swing high or low to be taken out during a potential reversal. I then draw forks from those pivot points, A B C and at times I try and find the furthest point back I can that aligns that center median line anchor.
I would like to see a touch of the angles that was then created to lend validity to the slope being in play. The ideal geometry would be to drawn on a time frame 3-5 times higher than your trading on.
2. TRENDLINES/ CHANNELS:Any two or preferably more touches of a low wick I draw a starting angle and project it out to infinity. I then I copy that angle to the most recent high and copy it as a mid line as well. If price deviates outside of the upper or lower parallel I copy the same angle and place another line there. Price often drops under or above the perfect channel later to touch those lines and they work. ( See Dan Roe and Coghlan Capitals work - you tube).
3. PRICE SUPPORT: Using horizontal or near horizontal lines at areas of S&R based on candle prints/pivots. Also looking at high volume areas and using horizontals there as well.
For fun: Once you have a working slope at lets say 34.5 degrees, when price reverses, find a way to flip that line exactly the opposite angle and I have a laugh how well that can work, sometimes most of the day.
Add to the mix of what type to chart to draw from....time based, tick based, range based, volume based bars etc, they all have pros and cons as well. In general, people are using 20, 60 240 daily and weeklys.
Most of my charts have been a mix of lower time frames.
Pardon my enthusiasm making it seem like a treasure hunt. I assure you no one on earth has investigated more trading ideas than me possibly...that is one reason the power of simple line is just killing me.
Here is someone who has figured the logical format out.
As requested, picked random bottom on random 5M NQ chart. Assume you would trade 1m or 2m bars from this analysis. All charts of same random selection and what transpired.
I tend to like Andrews and also Modified Schiff more than Schiff. Both had some relevance here.
The green dashed trigger line is a part of Andrews original works.
Chart 2 MOD SCHIFF = Chart 3 ANDREWS.
There are more potential trades then I have circled.
