Best Thread learning to read price action with p/f charts

[Dentalfloss]

spx 2 hour data
support areas shown
they could get tested soon
confluence of trendlines is usually a stronger supp area

 

[malaguti]

price then pulled back from resistance..you have put on the 45 deg res line..good
that could be potential res if it moves back towards it
now..you must track that minor downtrend that occurred from the p/b from res
you should already have noted potential support zones from that uptrend...that only gives you an idea where support COULD come in
so track the minor downtrend on say 1 minute...when it has burnt out then look for long signals
does that explain ??

Thanks for the reply mate, so specifically with regard to the internal resistance..if say I am tracking this on the 1 minute, would I be looking for that internal resistance on the 15min first to be broken before going long? In case it too provides resistance

 

[Dentalfloss]

just track each individual trend
the res in the downtrend...
it is a very short lived downtrend...so 1 minute or slightly above
you are looking at the length of the trend ie..when it started
then playing around with time inputs
the 15 min is too long for such a short trend
it is all about trends...when they started...then just track the price within that trend
the res areas in that downtrend should come from trendlines..

 

[Dentalfloss]

30 year treasury yield
daily data
yield is still in a downtrend on this chart
tested res though

 

[Dentalfloss]

dax
daily data
a major supp area shown

 

[Dentalfloss]

dax 7080-7120 maj supp area imho

 

[Dentalfloss]

malaguti...did i answer ur question ???
ftse 100 /daily data

 

[malaguti]

malaguti...did i answer ur question ???
ftse 100 /daily data

Note quite.
Lets take your 30 year treasury chart as an example. Its daily, you have drawn all the trend lines and lets say I don't have access to intraday for anymore data. So I'm trading off this one chart and box size.
You have drawn the bearish resistance line, and would possibly look to short this, waiting for a double/triple bottom.
Now, you also have drawn the internal supports in green...
My question is on this chart, if you got a double bottom before the green internal lines, do you take the sell signal, or do you wait until you get a double bottom after the internal lines are broken which COULD act as a support?
Does that make sense?

 

[Dentalfloss]

malaguti
30 year
same data ..different settings,,the double bottom low from the previous chart
see how that downtrend was ending

 

[timsk]

Hi dentist007,
Can I ask a favour? Can you post thumbnails instead of the full size charts please as I can't fit them on my screen and any accompanying text goes off the edge as well! For some reason there's no scroll bar - so there's nothing I can do to see it. It's like going to the pictures and standing about a foot away from the screen!

On a separate note, I'm looking at charting software that's strong on P&F and I'd be interested in your views - both good and bad - about Bull's Eye Broker? PM if you prefer not to clutter up the thread or, better still, write the first T2W review: Bull's-Eye Broker
Cheers,
Tim.

 

[Dentalfloss]

malaguti
did the latest chart i posted answer youre question ??

 

[D70]

Hi dentist007,
Can I ask a favour? Can you post thumbnails instead of the full size charts please as I can't fit them on my screen and any accompanying text goes off the edge as well! For some reason there's no scroll bar - so there's nothing I can do to see it. It's like going to the pictures and standing about a foot away from the screen!

On a separate note, I'm looking at charting software that's strong on P&F and I'd be interested in your views - both good and bad - about Bull's Eye Broker? PM if you prefer not to clutter up the thread or, better still, write the first T2W review: Bull's-Eye Broker
Cheers,
Tim.

CQG is strong on p&f.

 

[malaguti]

CQG is strong on p&f.

You clearly haven't tried updata. Knocks CQG P&F charts out the window. I don't know of anything better for P&F to be honest and god knows I've tried most of them...even bulls eye!
Compare my screen shots with Dentists, you'll soon see what I mean!! Doesn't mean my analysis is any better though

 

[malaguti]

malaguti
did the latest chart i posted answer youre question ??

No, and it must be my way of communication, or of course different styles of trading.
I read duplessis and he doesn't cover this area adequately, so its not a chart/box setting/timeframe question. On any box/timeframe you will have the bullish support line and internal lines..at some point in time you will use one chart to pull the trigger on.
I'm pulling the trigger on a 15min, (it doesn't matter like I say even if you pull the trigger on one minute...so giving me another chart doesn't help ).
I'm also pulling the trigger on a confirmed double/triple top as per the book, once I have established an upward/downward trend. Now, for the S&P we are retracing, not that strong an internal line but an internal line nonetheless. I wait patiently for a double top, but lets say the double top happens prior to breaking past the internal (potential) resistance. Do I take this buy, or do I wait for the internal potential resistance to break?
Whether or not I go down to a lower timeframe or box setting I will still have the same dilemma...is this clear?
But thank you so much mate for taking the time to see if I have understood your explanations you are a diamond

 

[Dentalfloss]

Now, for the S&P we are retracing, not that strong an internal line but an internal line nonetheless. I wait patiently for a double top, but lets say the double top happens prior to breaking past the internal (potential) resistance. Do I take this buy, or do I wait for the internal potential resistance to break?
Whether or not I go down to a lower timeframe or box setting I will still have the same dilemma...is this clear?
malaguti...always go down a box size and reversal size if not clear
YOU MUST BE VERY FLEXIBLE WITH BOX SIZES AND REVERSALS
as i always said you must be nimble..able to move around quickly and discard the charts that give you no new information
is that the answer to youre question ??

 

[tanyach]

my forecast of eurusd fro 10.04.2012

Support line:1.2924

Resistance line:1.2939

Bullish aims - 1.2954, 1.2970
Bearish aims - 1.2908 1.2893

 

[malaguti]

Now, for the S&P we are retracing, not that strong an internal line but an internal line nonetheless. I wait patiently for a double top, but lets say the double top happens prior to breaking past the internal (potential) resistance. Do I take this buy, or do I wait for the internal potential resistance to break?
Whether or not I go down to a lower timeframe or box setting I will still have the same dilemma...is this clear?
malaguti...always go down a box size and reversal size if not clear
YOU MUST BE VERY FLEXIBLE WITH BOX SIZES AND REVERSALS
as i always said you must be nimble..able to move around quickly and discard the charts that give you no new information
is that the answer to youre question ??

I short no, but I'm sure the answer is hidden in your wise words somewhere

 

[Dentalfloss]

outlook for non farm payrolls/tomorrow
eurusd 5 min data showing the latest move up
watch the reaction at 2970 area if it p/b

 

[Dentalfloss]

malaguti...give me another example
hopefully i can answer the question

 

[malaguti]

malaguti...give me another example
hopefully i can answer the question

To be honest, buddy, I'm going through the lower timeframes/boxes as you suggested. I'm not sure there is a hard and fast rule for this so I think the answer (not yours, but in general) is pretty grey..
Probably I will post another example in a bit, as it will take some history to build up and ask you to confirm my thinking, but really mate, we're good for now.
As for the S&P chart, break out again..