Trading Strategies.....

[titus-uk]

Well, I have only been looking at TA for about 6 months now, and am still getting acquainted. Up until now, I have primarily looked at indicators of various types, and have not really taken much notice of patterns etc (except support and resistance).

However, recent postings by Darth have made me question this approach, so I was wondering what other members think.....shall we have a poll to find out? Ok, go on then!

Which do members find most useful (and I am deliberately leaving out "all of them", as I know in truth thats what we all think!!)

 

[darth trader]

Mark,

it's nice to see that somebody reads my posts!

There is of course some overlap between the approaches you mention eg. breakouts on volume occur from chart patterns, candlesticks are visual representations of momentum and it is a small step from ma's to macd and momentum oscillators.

However I will still find the results of the poll interesting.

Moreover I would add that the market changes and what works now won't necessarily work next week (there are a lot of breakouts at the moment) and the more I find out about TA the more I see it as a whole with complementary pieces of the jigsaw fitting together to show the "big picture".

One trick I'm still having problems with is reading patterns in tea leaves. If anybody can do this let me know...

 

[zippy]

darth trader

I read your posts with keen interest.

 

[zippy]

Candlesticks

Recently I acquired Japanese Candlesticks Charting Techniques by Steve Nison and serioulsy believe that if properly used and understood it could pay dividends.

 

[Morris]

Simple

I have found that the old saying KISS applies to TA. Short and medium term support & resistance levels, as well as trend channels (same thing really) work best for me.

Sometimes think that indicators can confuse the issue (ever had the experience of letting a trade go because the RSI/MACD/Time of the month was not quite right ?)

 

[zippy]

Morris

You have a point there. I acquired AIQ software in January thinking it was going to be my Holy Grail.
I use Candlestick Charting and very simple indicators like RSI, Stochastic, TCI, Parabolics and ATR. Did I say simple?

 

[ChartMan]

Support/Resistance levels,Candlesticks and Chart patterns for me.
Chart patterns to identify possible breakouts ( up and down) Support Resistance to plan entry and exit points and Candlesticks as pointing out warning signs, especially if things are not going to go to plan...

Zippy. I think AIQ is the grail, but only as an anlysis tool. It will never make you rich trying to use it as an automated stock selection system. It's fabulous for "let's try this and see what turns up" and you may have seen I'm using it as my own market sentiment indicator. Each dayI plot the total number of stocks that have risen by more than 5%, fallen by more than 5%, closed within 1% of their intraday high, and closed within 1% of their intraday low.

 

[zippy]

Martin

Recently I have been studying the effect of Stochastic indicator when it reaches 100 backed up with TCI, I have found that usually it tends to be a "short."

 

[zippy]

routine

Martin, what routine do you use for the above? Would you like to share it with us?
Like you I look at the support and resistance levels manually of the stock in question and then use the indicators mentioned above. So far so good.

 

[ChartMan]

I already posted my "breadth indicator EDS " on the bb...
It's under Systems software, then EDS sub section.

 

[waldorf]

Support/ Resistance / Candlesticks/ Chart patterns/ Volume and for confirmation Macd, more or less the same as Martin. Keep it simple for selections then the more confirmations the better.
Col

 

[Riz]

I never get in or out solely on TA basis...I do however use TA as a tool to help with and recheck my judgements...I try to work out the markets in general, watch certain stocks continuously both on the basis of positive/negative news/developments and TA...

I use TA for support/resistance levels to determine my entry and exit points, to follow the volume to make use of it in various ways (not just looking for a volume spike), chart patterns (not in depth though)...

I use MAs, BBs and find them quite useful to see their interrelations with the price line...as for indicators I use RSI, OBV, MFI and Stochastics...I never wait for all of them to give me a signal at the same time, and also never rely on a particular one...

Sorry Mark, couldn't give you a straight answer... therefore just put a few lines on what I do...

Just one last point...most of my losses have occured when I traded stocks that I don't watch closely either on the basis of TA or news only...and almost all my wins are on those stocks that I watch closely in conjuction with the markets in general and with TA support...

One thing I've learnt is that no trading strategy works for everyone...each trader has to try and establish their own way...

Riz