Chart Patterns

This is a discussion on Chart Patterns within the Swing & Position Trading forums, part of the Methods category; Originally Posted by barjon Aye, you’d finish up with a very busy chart Used PF for many years in the ...

Reply
 
LinkBack Thread Tools Search this Thread
Old Jan 28, 2018, 8:00pm   #46
 
f2calv's Avatar
Joined May 2014
Quote:
Originally Posted by barjon View Post
Aye, you’d finish up with a very busy chart

Used PF for many years in the days when you had to draw your own charts. PF was easiest and used less graph paper. The advantage of having a pencil in your hand was that you got a real hands on feel for what was happening.
Yes a very busy plot if the price action carried on like that, but the beauty of p&f as you obviously know is that if the price sticks in a tight range for the rest of the day you get no new p&f columns at all - but a candlestick chart will plot a new candle every 15minutes without fail which would be just noise!

As Tim says kudos for hand drawing those charts

...for my part I have coded my own p&f charting library which can process nearing a million ticks per second so thankfully no pencil and paper needed here

Sent from my Nexus 6P using Tapatalk
f2calv is offline   Reply With Quote
Thanks! The following members like this post: barjon
Old Jan 28, 2018, 8:25pm   #47
The Staff are paid members that perform various roles such as editorial, advertising, support or technical work.
 
timsk's Avatar
Joined Mar 2002
Quote:
Originally Posted by f2calv View Post
. . . As Tim says kudos for hand drawing those charts.
. . . and kudos to you too f2calv for building your own bespoke charting software.

As a matter of interest, as you clearly have an excellent understanding about how PnF charts are built, which of the free platforms available through the mainstream spread betting and CFD brokers would you recommend for those wishing to use PnF? To qualify, I assume none of them - hence you built your own. Nonetheless, which in your opinion is the best of (a bad) bunch?
Thanks,
Tim.
__________________
I'm New To T2W - Where Do I Start? - a must read for anyone new to T2W
I'm New To TRADING – Where Do I Start? - a must read for anyone new to TRADING
The Trading Plan Template - a must read for anyone without a proper TRADING PLAN
Please note: I am part of T2W Admin' Staff - I am NOT a Moderator!
timsk is online now   Reply With Quote
Old Jan 28, 2018, 8:35pm   #48
 
f2calv's Avatar
Joined May 2014
Quote:
Originally Posted by timsk View Post
. . . and kudos to you too f2calv for building your own bespoke charting software.

As a matter of interest, as you clearly have an excellent understanding about how PnF charts are built, which of the free platforms available through the mainstream spread betting and CFD brokers would you recommend for those wishing to use PnF? To qualify, I assume none of them - hence you built your own. Nonetheless, which in your opinion is the best of (a bad) bunch?
Thanks,
Tim.
Cheers! I wrote my own because no other software (that I could see at the time, and this was pretty much 2 years ago that I started) would handle real-time tick data (and according to du Plessis tick data and p&f are the bees knees when used together).

I have also (maybe to my detriment) avoided looking at other p&f software since I started, aside from of course a few of the charts dentist & moneylender have posted in the p&f thread - mainly because I didn't want my software to be influenced by any potential 'competition' should I ever try to monetise it.

Having said that I'm not oblivious to "the competition" in the TA charting world and earlier this evening I did a quick Google to try and find a suitable comparison between p&f and renko charts and www.tradingview.com p&f charts looked pretty swish for those wishing to plot EOD data...

Sent from my Nexus 6P using Tapatalk
f2calv is offline   Reply With Quote
Old Jan 29, 2018, 12:29am   #49
 
jjames69's Avatar
Joined Jan 2013
toppy looking chart here. possible h & s top. the sector index(gray line) is leading the way down, earnings date on february 5th.

Click the image to open in full size.
jjames69 is offline   Reply With Quote
Old Jan 29, 2018, 9:41am   #50
The Staff are paid members that perform various roles such as editorial, advertising, support or technical work.
 
timsk's Avatar
Joined Mar 2002
Quote:
Originally Posted by f2calv View Post
. . . I have also (maybe to my detriment) avoided looking at other p&f software since I started, aside from of course a few of the charts dentist & moneylender have posted in the p&f thread - mainly because I didn't want my software to be influenced by any potential 'competition' should I ever try to monetise it. . .
Hi f2calv,
In the event that you decide to go down this path, I recommend coding it for MT4. There's really not much out there: Moneylender's charts are about the best there is and they're far from ideal. If you get it right and don't take the pi$$ by charging too much, you could have traders the world over beating a path to your door.

By way of example, this chap does a good job for Renko on various platforms, including MT4, but he doesn't offer PnF. A good website, fair price and good service/support: AZ-iVEST.
Tim.
__________________
I'm New To T2W - Where Do I Start? - a must read for anyone new to T2W
I'm New To TRADING – Where Do I Start? - a must read for anyone new to TRADING
The Trading Plan Template - a must read for anyone without a proper TRADING PLAN
Please note: I am part of T2W Admin' Staff - I am NOT a Moderator!
timsk is online now   Reply With Quote
Thanks! The following members like this post: f2calv
Old Jan 29, 2018, 1:54pm   #51
 
neil's Avatar
Joined Nov 2001
Quote:
Originally Posted by timsk View Post
Hi f2calv,
In the event that you decide to go down this path, I recommend coding it for MT4. There's really not much out there: Moneylender's charts are about the best there is and they're far from ideal. If you get it right and don't take the pi$$ by charging too much, you could have traders the world over beating a path to your door.

By way of example, this chap does a good job for Renko on various platforms, including MT4, but he doesn't offer PnF. A good website, fair price and good service/support: AZ-iVEST.
Tim.
Tim -another one for you.

https://ovo.cz/
__________________
neil
....Indicators show the past. Price Action "Indicates" the future.
neil is offline   Reply With Quote
Thanks! The following members like this post: timsk
Old Jan 29, 2018, 3:36pm   #52
 
Penny Picks's Avatar
Joined Jan 2018
Quote:
Originally Posted by neil View Post
Tim -another one for you.

https://ovo.cz/
The Indicators saying "Indicators show the Past" is true. But, they will also play a part in the "Prediction" of a possible price movement.

ie: An Indicator, an MACD for instance, in Price in a "Down Trend" will usually stay negative. However, when the downtrend weakens the MACD will, most of the time, start to "Diverge" from the price. That's the "Predictive" nature of a lot of indicators.
Penny Picks is offline   Reply With Quote
Old Jan 29, 2018, 7:53pm   #53
 
jjames69's Avatar
Joined Jan 2013
Quote:
Originally Posted by Penny Picks View Post
The Indicators saying "Indicators show the Past" is true. But, they will also play a part in the "Prediction" of a possible price movement.

ie: An Indicator, an MACD for instance, in Price in a "Down Trend" will usually stay negative. However, when the downtrend weakens the MACD will, most of the time, start to "Diverge" from the price. That's the "Predictive" nature of a lot of indicators.
i've always felt momentum indicators follow price, and can be lagging. a better indicator showing technical strength would be one comprised of tick volume. sometimes, on index etf's, i use tick volume with moving averages attached to make a mcclellan indicator.
jjames69 is offline   Reply With Quote
Old Feb 2, 2018, 3:49pm   #54
 
jjames69's Avatar
Joined Jan 2013
looking like bombs away in the nasdaq.


Click the image to open in full size.
jjames69 is offline   Reply With Quote
Old Feb 2, 2018, 5:58pm   #55
 
jjames69's Avatar
Joined Jan 2013
Quote:
Originally Posted by jjames69 View Post
toppy looking chart here. possible h & s top. the sector index(gray line) is leading the way down, earnings date on february 5th.

Click the image to open in full size.
triggered, target met, and profits taken.

Click the image to open in full size.
jjames69 is offline   Reply With Quote
Old Jun 6, 2018, 4:48am   #56
 
2 Posts
Joined Apr 2018
rather than looking for chart patterns, it pays to understand the market structure that leads to these patterns.
Chart patterns are categorizing market structure into an idealized limited forms, and market action is far more than being ideal, which means messing more opportunities.
My humble advice for you is to understand how congestion phases begin, form, and end, and how breakouts/breakdowns occur, continue or fail.
The Hawk is offline   Reply With Quote
Old Jun 6, 2018, 6:27am   #57
 
Joules MM1's Avatar
Joined Mar 2005
Quote:
Originally Posted by barjon View Post
Aye, long as you cater properly for the pattern failures (of which there are many - particularly in real time) you’re good to go.
barjon !

great post ....mostly coz it's circular

patterns are secondary, they are merely ideas of confidence and permission to do something.....but really execution levels (where bars open and close, where youre forced to make or enforced in making a transaction) are the tell ....execution levels dictate what youre really doing and the pattern you think youre basing your trade on is a distant idea in reality
__________________
.................................................. .................................................. .............................everything has an art.......
Joules MM1 is offline   Reply With Quote
Old Jul 19, 2018, 2:19pm   #58
 
Quantower's Avatar
Joined May 2018
Here is a good pattern that I partially used in my trading: http://qusma.com/2012/11/06/closing-...ean-reversion/

I guess you find it usefull
Quantower is offline Software vendor   Reply With Quote
Old Jul 19, 2018, 3:33pm   #59
Joined Feb 2002
Interesting reading, thanks Quantower. I will definitely explore the QSMA site a bit more later.

Use of the location of the day's Close for a short-term entry is also covered in Street Smarts by Raschke & Connors but I found it one of the most confusing chapters in their book. They say that days that closed in the top 10 percent of their range for the day had a 80-90% chance of follow-through the next morning but actually closed higher/lower only 50% of the time. This implies that there is a good chance of a midday reversal.

But they then describe their 80-20 strategy which requires that the market opens in the lower 20% of its daily range and closed in the upper 80% of its daily range, in which case a sell setup would be indicated for the next day (vice versa for buys).
tomorton is online now   Reply With Quote
Old Jul 24, 2018, 9:17pm   #60
Joined Nov 2014
What are the easiest chart patterns available for freshmen in tech analysis. Been on fundamental side for a long time, now want to try myself in drawing lines correctly.
hatemypips is offline   Reply With Quote
Reply

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Similar Threads
Thread Thread Starter Forum Replies Last Post
Using chart patterns Joe Ross General Trading Chat 7 Nov 17, 2009 7:53am
Article: Winning Chart Patterns T2W Bot Educational Resources 1 Mar 15, 2006 5:06pm
Chart patterns Easyman Educational Resources 8 Dec 29, 2004 1:00am
FX Chart Patterns SAINT Forex 4 Nov 12, 2004 1:24pm
Chart Patterns tutorial bottomdollar Technical Analysis 2 Jul 29, 2003 4:48pm

Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)