My Trades, Charts, Comments and all things trading
When trading we use a rule based discretionary method which is based on the patterns defined by our tool set. This involves a moving average pair, and trading band, a momemtum filter, and a volume filter.
We focus first on price action at key areas, price bar patterns, then supporting information from our indicators.
This (my) method works for me. The question is not so much if it will work for you, but can you work it. We try to be as unambiguous about how we trade and employ our rules so that we approach the trade setups consistently, make consistent decisions, and get consistent results. But there is a point where experience will be a factor and there is no substitution for it.
I have decided to open this thread so I can offer up what I know, how I trade, and the results I get. I hope this helps.
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Sorry, but I have a bunch of private messages which I cannot answer because I do not have enough posts on this forum yet. So, if your question is pressing then ask it here in this thread, otherwise I will answer it when I have passed the minimum posting requirement.
I trade using range bar charts. This particular setup is based strictly on range bar characteristics. It has the highest probability if used at key pivot points, or extreme deviation moves from some median measurement. Also, if you get a run of about 6 top/bottom closes, then that adds to the probability that the first opposite closing bar will be the reversal. Add a hammer or a shooting star, and it adds the odds even more in your favor.
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I would like to thank you about beginning your thread, it seems to me quite similiar way of trading, I am using support/resistance from previous days, which works and doesnt. I am thinking very often about your mentioned dynamic s/r in your chart, which develops during session, but my eyes are not enough trained to find them.. I am not used to put indicators, channels, etc. in my charts, but could you please describe more your way of trading?
I use range charts. They have a unique characteristic of defining price in terms of a spread. The size of that price spread is defined by the range setting. So, a setting of 4 will go from 1004 to 1000, or from any opening number 4 price units.
So, when I am trading I focus on the price bracket I am using to help define the direction price is moving.
When looking for dynamic support and resistance, I simply look for the levels where the price bracket has failed to move up or down. Range bars tend to create many price boxes..or shelves (that is what I call them). These are price points where the price bracket has gone sideways and can easily be seen. One of my favorite trade setups are designed around this price bracket break of immediate resistance or support.
For other type of charts, like time, tick and volume, dynamic support and resistance would be defined in their terms.
Is this an ok place to ask how your trading got started and how it led to your first commission "gig?" I would prefer to not do an employee based position, but wonder how you were found for those trading positions you took -- and did they help you with your learning curve (assuming you worked with others?) w/o relying solely on your own capital.. do you mind sharing what was good about the path you took vs. how you see it now..?
Trading started with me trading for myself. After a while, I started to become consistent and business associates pooled together and formed a private hedge fund, which I traded as an exempted CPO.
I was solo in trading. After another couple of years, I went full time. The fund closed about 1 year after full time, and I went back to private trading for myself with intermittant moderating gigs, and private mentoring.
The path you are asking about starts with trading for yourself. If you cannot support yourself with your trading, then risking other peoples money to support your learning curve is kind of irresponsible.
The way I see it you do have a good chance of getting other peoples money to trade. People are so desperate out there that many would risk it.
However, the CFTC and NFA rules are strict and if you do not go about it properly you could get into a lot of hot water.
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