I too am not completely sold on the validity of trendlines and far prefer the use of horizontal support/resistance zones. I use daily, 30min and 5min charts for my trading. On those charts ill mark diagonal trendlines on the daily and 30min charts if and when I see them. However I will only use horizontal S/R zones on my 5min chart. My reasoning is that although diagonal trendlines often workout, it is usually as a result of S/R, not the trendline. It is just coincidence most of the time that trendlines appear (and our inate ability to identify patterns in the world around us).
My thinking is that if I see a potential trendline bounce setting up on the 30min chart, ill look at my 5min chart for reasons why that point is going to hold ie: I look for horizontal S/R areas. If I dont see any S/R in that area, I will not take the trade just because of a potential trendline bounce.
Just my 2c.
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I have no doubt the guy is sincere and maybe a good trader but i am not convinced that you can learn how to trade by simply doing hindsight trading. I mean looking at a chart when everything is canned is not the best way to learn how to trade. You need to go bar by bar and make up your mind as price is unfolding on the right side of the screen. Drawing perfect lines on the right pivots after the fact does not mean much to me. In fact, you may feel you need to see one more of these beautiful marked charts as they do not make you think by yourself. This is one pitfall i see with this form of teaching.
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The general problem is when someone disguises hindsight trading as actual real live performance. So long as it is made clear that the chart was not marked up in real time and it is not real time analysis, then I think people can make their own decisions.
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I agree, reviewing the day or certain passages is certainly a good practice. I wrote a comment to this effect in this thread: perfect trading by cunparis. I was more thinking about the same lines of thought as what Big Mike wrote above.
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Skype group of Mack's Price Action Trading System (PAT's)
I have had some decent success usings PAT's system. Particularly with the 2nd entries. I am looking to start a Skype group with others who use Mack's system. The purpose of the room is for a group of trader's to share real time charts and entry's in order for everyone to learn from each other. I want this room to only be centered around Mack's PAT's system trading ES using Mack's methods only.
For those interested, please PM me.
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