Candle Formations

[bryce910]

I am curious on how much influence other people put on chart formations when they come to make a decision to short or long a currency?

I tend to first look at the 1 hour chart and see if any obvious formations are forming or trend line are being followed. Then from there I drop into the 30 minute and use a few indicators on when to get into the position.

Curious to hear how other people do it!

 

[Sigma-D]

I just typed in a reasonably detailed response to the above post and hit the 'post' button to be told the administrator has banned my IP address.

I''m not typing it all again. Well done t2w.

 

[timsk]

I am curious on how much influence other people put on chart formations when they come to make a decision to short or long a currency?

Hi bryce910,
Welcome to T2W.

The more experienced short term day traders tend to focus on the DoM price ladder and Time & Sales etc. - with technical analysis (TA) playing second fiddle. Those that employ a longer term approach that puts them on the fringes of investing may use fundamental analysis (FA) as their primary tool. That leaves the majority who fall between these two extremes. I don't know what the statistics are, but I'd say that most of them - i.e. 80% of T2W members at a guess - base their trading decisions around some sort of TA or 'chart formations' as you put it. The difficulty is in deciding what is - and is not - TA. For example, does Market Profile come under the TA umbrella? Then there's quantitative analysis which appears to be growing in popularity, whereby traders' use statistics to evaluate the market and instrument they trade. Arguably, this falls between TA and FA as it can be applied to data sourced from either camp.

The top down approach that you employ is a common tactic and one that makes sense within the context of TA. This article on the topic may be of interest to you if you've not yet read it: Price Analysis - A tops down approach by Lance Beggs.
Tim.

 

[Trader333]

I just typed in a reasonably detailed response to the above post and hit the 'post' button to be told the administrator has banned my IP address.

Not sure what happened there but you were still able to post after it. If you are using a TOR browser then it is very possible the IP has been banned as a lot of spammers use TOR which we automatically ban and the way to avoid potential banned IP is to not use TOR

 

[Sigma-D]

Not sure what happened there but you were still able to post after it. If you are using a TOR browser then it is very possible the IP has been banned as a lot of spammers use TOR which we automatically ban and the way to avoid potential banned IP is to not use TOR

I appreciate t2w must take whatever steps it deems necessary to reduce potential spam etc., but TOR doesn't AFAIAA change your IP during the session. It would have been helpful if t2w had told me the IP was on its blacklist when I logged in, rather after I had expended the effort to post.

If TOR users are unwelcome at t2w why not just ban it completely?