wrbtrader

I could be wrong but I thought this thread was about "price patterns" and not about "live calls". The only way to do both would to first make a real-time live call and then later (when the person has free time) post a chart with annotation of the live call within the "price pattern". Thus, its impossible to post a real-time chart as a live call because in reality by the time someone logs into Traderslaboratory and attach a chart with commentary...its at best already a few minutes "after the fact". Further, live calls without charts or without detailed reasons why a trade was being taken or without access to the trade method itself...its impossible for live calls to be educational. Thus, if someone wants to just explain "price patterns" they see...hindsight charts are good and educational but assuming the details of the price pattern is explained.

You're essentially talking about scalping that's different than typical day trading. For scalping to work, you need a special low commission rates that the typical day trader doesn't get (e.g. high contract trader, exchange seat). In addition, you need to have a high percentage of winners because scalpers aren't usually trying to capture points...they're usually trying to capture ticks. Also, you need to be using a broker platform and charting/data software that's suitable for scalping. If the above isn't in place...don't bother getting into scalping. You'll be better off just doing typical day trading. P.S. I wonder why you didn't use the word "scalping".

Discretionary traders (anyone not using automation trading) must learn patience and become ritual in documenting every aspect of each trade they take to be able to adapt whenever markets change...markets that are always changing. Last of all, there's much more important things to profitable trading than just trade signals.

It's impossible to do. Therefore, I'm 100% sure you and I have a different definition of "market context". You can read my prior definition on that specific topic in the past here at Traderslaboratory within the same thread about Japanese Candlestick Analysis that was started by a programmer of Japanese Candlesticks. yeah, he finally realized it too. Yet, no harm in trying to do it. Other than that, samual123 best to just stick with learning the definitions of candlestick patterns because his post did ask for a "brief" explanation. Any book can will do for such at Amazon or the local library book collection will do for such. I say that because most traders using Japanese Candlestick analysis can't even properly label the name of the pattern they're trying to trade. Therefore, if someone doesn't know the difference between a candlestick line versus candlestick pattern, hammer pattern in engulfing position versus hammer pattern in harami position...they ain't ready to trade it.

First, get a Japanese Candlestick book with lots of real price action charts and generic charts of candlestick patterns so that you can at least learn the price action definition of each pattern. Most books or website material is for definition (dictionary) purposes only and they do not teach you how to properly trade via Japanese Candlestick patterns. Amazon.com: Japanese Candlestick Next, understand that Japanese Candlestick Analysis was designed to work with (merged with) a primary trade method. Simply, they were not designed to be used alone (by themselves). Thus, do not use them alone. For example, some traders use Japanese Candlestick Analysis with support/resistance analysis. This, there's hundreds of different methods you can use Japanese Candlestick analysis with. Last of all, I do not recommend using software or program codes of Japanese Candlestick patterns for trading purposes. I've discussed in detail about the problems of such here at Traderslaboratory in past topics about Japanese Candlesticks. Simply, this is a discretionary analysis. It can be coded but it will not be profitable as such due to the fact that you can not code/program market context that's needed to occur prior to the appearance of any candlestick patterns.

We're actually talking about two things here...you're suggesting that he not develop a trading plan while simulating trading. In contrast, I'm suggesting when he trades with real-money...do so with a trading plan. Simply, I'm sure you're not recommending someone trade real-money without a trading plan. As for the backtesting, he's already losing money while trading real-money without a completed trading plan. I'm sure he wants to "test things" before traveling on the road to futures trading again...check the tires, check the engine, check the map...be prepare and enjoy the road trip. Yet, if he was an experience futures trader, veteran futures trader or already a consistently profitable futures trader...he's beyond backtesting and already knows what trading instrument is suitable. In contrast, newbies tend to follow trading instruments that's popular in discussions, recommended to them by anonymous aliases, recommended to them by their brokers or "seems" cheap to trade. Thus, their selection of what's good for them to trade will more often than not be an illusion based upon someone's else opinion instead of based upon facts that can only be discovered via comparison process I refer to as backtesting. (Note: backtesting a trade method is different than backtesting to determine what to trade) Regardless, most traders select their trading instruments based upon intuition, feelings, cheap trading costs instead of what their method performs the best while trading. It doesn't matter if he backtest such on simulator or test many different trading instrument with real-money trading. The issue is that he must do a comparison of the trading instruments based upon objective analysis (not subjective) to determine which is best suitable to trade via whatever trading plan he has. Markets will be here tomorrow, no rush. Take his time and get things right the second time around after his initial losing effort.

Regardless to you using Al Brooks method and/or Japanese Candlestick Analysis...don't trade Emini ES futures with real-money until you have mastered your trading plan. Just as important, after completion of designing your trading plan, make sure you then backtest it on all available futures trading instruments that you have access to so that you can determine which trading instrument will give you the best chance at being a consistently profitable futures trader. If your backtest results point to the S&P 500 Emini ES futures as the best trading instrument...then trade it. Yet, if it points to something else...I highly recommend you trade that other trading instrument to prevent problematic trading and gives you the best chance to achieve your trading goals.

Why did you decide that the S&P 500 Emini ES futures will be your primary trading instrument amongst all the other different types of futures? I'm going to assume that you tested your trade method on all available futures trading instrument and that your backtest results showed you that your trade method performs the best on the Emini ES. My point is that the goal is to be profitable and if your trade method performs "better" on a another trading instrument as shown in your backtest results...you're going to need a few good reasons why you still want to trade Emini ES when you have hard evidence you'll perform "better" in another trade instrument...assuming you've done the necessary backtesting and that your trade method performs "better" on a different futures trading instrument.

You know what happens when governments can not afford to go to war with someone...they start allowing them to invest in their country (e.g. real estate, sports team ownerships, corporate investments, private education systems et cetera). :rofl:

International economic calendar or international calendar of key events that have impact on the markets. 2012 Economic Calendar Forex Calendar @ Forex Factory http://www.federalreserve.gov/calendar.htm ECB: European Central Bank home page When something is occurring in the markets, there's usually a key market event involved.

Your questions are a reply to me mentioning forum management big C policy in which my reply was a reply to your first reply to me that I was blatantly in breach of protocol after I posted a criticism of someone's service that allowed a student to trade with real-money without any real-time support. I still can not connect the dots between my criticism of someone and your accusation that I was blatantly doing something that you refer to as a breach of protocol. :crap: If you have any further questions about their big C protocol or whatever...please send forum management a message about my posts and yours and maybe they will answer your questions because I really do not know what you want to know. Thus, if you want to talk about thnickster student...I'm ok with that. If you want to get back on topic of this thread...I'm ok with that too. Anything else outside of that within the constraints of this thread topic...don't take this personally, I'm just not interested in listening to you. With that said, if you're asking what is my affiliation with current forum management. There is none. If you want to know what was my affiliation with the prior forum management...none of your business. (I'm now curious about your affiliation with thnickster considering you made a choice to reply to me with the blatant breach of protocol commentary after I directed a constructive criticism to him. I just made sarcasm.) :rofl: I will now stay on topic and if I can't find the discipline to stay on topic...I will move on to another thread and not clutter up this one any further.

I'm not exactly sure what you're talking about nor how you came to such a conclusion from me asking you to "read" past conversation between forum management, myself and others about vendors after my prior reply to someone else about my concerns about their student trading the first time on their own with real-money. :doh: (I do notice you make no commentary to the other person that has no vendor status and that openly said they have clients. You also seem to have not been aware that forum management already knew about my status as a vendor via public and private conversations with forum management about such here at TL) Regardless, the fact remains that forum management had implied they (themselves) would put the big C underneath the names of any one known to have been "vending" here at TL via public messages or private messages here at TL and that they would rely on members to notify them about whom are vending here at TL. In addition, they made an announcement about such in one particular thread about vendors even though I knew they were going to do such via private message conversations between forum management and myself. In contrast, I was not aware that forum management had created a "vendor self-announcement" tab that was embedded inside the "About" tab of all members with the default set at NO until you referred to my constructive criticism about another members service as a blatant breach of protocol. :rofl: Yet, you didn't know anyone not aware of such a tab (except possibly new members) will not be aware that forum management set their status to NO as a question about vendor. If there was such an announcement about a new tab...I didn't know about it and I'm sure others still don't know about it especially those that rarely visit TL. Anyways, if you're still not sure what I'm talking about...I'll repeat...please read my past post here at TL with forum management about vendors and the suggestions made by TL members (including myself) about the problems then... Suggestions that seem to be working by the way. Thus, the changes have been positive so far because a lot of the crap that use to happen have now been minimized

Beast Quest by Adam Blade and Tales of a Fourth Grade Nothing by Judy Blume...great bedtime stories for the kids. :rofl: As for trading, most recent read was The Intuitive Trader: Developing Your Inner Trading Wisdom by Robert Koppel.

I still don't know whom you're talking to but I will say this if you're talking to me when I join there was NO vendor identification. Secondly, I was specifically told that management will place a big C under the names of any vendor that's here looking for clients. You can contact forum management to verify what I was told by forum management about them updating someone to the status of vendor if they felt that person was here to look for clients. With that said, if forum management has changed their policy in that they are not identifying vendors an want vendors to identify themselves via updating their own forum profile on their own regardless if TL is not a source of clients for the vendor... I was not aware of that policy but am now aware of it via your suggestion to click on the About tab that I haven't visited in a few years. Therefore, I will now visit my own profile (its been a few years) and look for my about tab to see if I can update my own status as you politely suggested. Edit - My status is now updated and I can now see that the info in our profiles have changed since I've joined TL (in the past...there was no vendor tab and now there is). Heck, they even have a Indicator tab. Where's the Price Action tab ? :doh: :rofl:

My constructive criticism of a vendor is not a breach of protocol and you may want to talk to the current forum management and past forum management specifically because they know who I am. Further, I recommend you read my earlier past public messages with forum management about vendors considering you do not have access to the private messages between them and I. At least at the very minimum...I highly recommend you contact them directly to voice your opinion if you feel something is wrong about my criticism. I assure you they are very comfortable with my status and purpose here. http://www.traderslaboratory.com/forums/sendmessage.php Is it possible you were asking thnickster to identify himself as a vendor when you quoted me in my constructive criticism about one of his students trading alone for the first time with real-money.

I strongly believe a student should not be left alone to trade via real-money for the first time unless you are their to guide him/her through their first day of real-money trading because everybody knows that real-money trading is a lot different than simulator trading or hindsight chart learning. Hopefully, that was as much of a learning experience for you as it was for your student in that you no longer allow a student to trade on their own the first time with real-money. Thus, you now give in-person mentoring on the first day of real-money trading and/or you provide a real-time chat room for your clients to use where you're available on their first day of real-money trading. If they choose not to use your support on their first day of real-money trading and things go bad for them...that's on them. If you don't understand, just view this from a sports perspective. Just imagine the fallout if coaches of professional athletes or amateurs just didn't show up to watch or coach their athletes on their first day of real competition... The coach would get fired and/or create an environment where the coach is viewed as not reliable.

The use of the phrase "price action trader" has become laughable lately because too many that use that phrase are traders that still indicators on their charts...usually just one or two indicators. Yet, when you ask them why they have indicators on their charts...they say the indicators have no impact on their trade decisions. :doh:

Money Management Position Size Management Stress Management Intermarket Analysis involving how other key markets impacts the price action of whatever it is that you're trading. Trade Management involving all that stuff that occurs after entry. Strong understanding that profitable trading involves much more than just trade signals.

Hi, There are three types of trading schools and all three are very expensive. Info below not posted in any particular order 1) Formal Education that's affiliated with a business, economics of finance degree. For example, some of the USA top universities offer "trading classes" at their school of business. Some have even gone as far to create top design trading rooms. Forums - Public/Private Universities Forums - Trading now taught in many Universities Two of the countries top two schools said enrollment in these formal trading classes and trading rooms is up +48 percent since 2008 and has been climbing almost every year for the past 10 years or so. Most participate in some sort'uv yearly national trading competition just like some NCAA championship sport. 2) Informal Education associated with hiring a vendor/trader (someone that trades very little), trader/vendor (someone that vends very little) or just a vendor (someone that doesn't trade with real money but may trade on simulator only). Books, seminars, mentors, mechanical codes/systems, automation codes/systems, discretionary strategies and so. 3) Informal Self-Taught associated with you being/becoming smart enough to learn from sitting in front of your monitors studying real-time price (primary) and hindsight price action (secondary) for thousands of hours. If you're one of the lucky few that survive your first three years of active trading...you may have a decent trading plan. In addition, you'll spend hundreds of hours reading freely posted trading information to determine if the message post will contain any information that may help your own trading performance. I'm not going to get into the bashing arena about any of the above. Therefore, their worth is really dependent upon the individual trader that's done due diligence.

Hi, If you're profitable while using a type of chart...their jealous you can use a type of chart and they can't. Therefore, I wouldn't even exploring other types of different charts/software (you refer to it as upgrading) unless I wasn't profitable or I felts my profit level could improve if I use something that someone else has recommended. Also, you mentioned you're trading Light Crude Oil futures via the 1min charts especially during increasing momentum...that implies you're day trading and holding your trades usually no more than a few minutes or less. I myself day trade via 2min, 3min, 5min and 15min charts. In addition, I swing trade via 60min and daily charts...position trade via daily and weekly charts. I've tried tick charts...they're OK but too fast for me especially in volatile price action. In other words, I have trade management problems when using tick charts. By the way, I often visit some of my institutional trading pals at their offices...they aren't using any fancy types of charts...they're just using time based charts. Thus, if its ok for them...I'll continue using time base charts and not try to outsmart them in trading via the illusion of using a fancy type of chart. :doh:

It's always amazing how someone using price action will argue with someone using indicators that indicators don't work. Just the same, its amazing how someone using indicators will argue with someone using price action that price action don't work. I've watch traders in live trading in front of my own eyes using price action profitably and others using indicators profitably. The only commonality they have is that they aren't fools to believe that its their indicators "exclusively" the sole reason why they are profitable or that price action "exclusively" the sole reason why they are profitable. You guys seem to forget that profitable traders rely heavily on market experience, trading experience, market context, money management, position size management, proper trading environment and many other things in a trading plan that's often forgotten in these silly debates about "indicators versus price action". In fact, the one thing I've seen in the few profitable traders I've had the opportunity of watching them trade in person on a consistent basis is that those other things (mentioned above) that's often forgotten in these types of debates...they are critically important to profitable traders. In fact, on any given trading day, its those other components of a trading plan that's more important than any indicator or price action setup. Simply, if you're consistently profitable using indicators or price action...don't be a newbie nor naive in believing you're able to do such without those other critical components of a trading plan that's mentioned above.

Hi, Maybe you meant "profit/loss curve" or "performance curve" because learning curve is something different. Simply, just because a trader has "learned" a trade method does not imply that trader can "apply" that trade method consistently successful in real-trading (with real money).

It seems like you've said that you've backtested your "hammer patterns" and when you've applied such in real-trading that you're consistently profitable via your "hammer patterns" via your statement that they are "almost always successful". My question to you is via the above observation, why do you care about the theory of hammer patterns because it would obviously seem to me that someone that is consistently profitable while using a trade method would already know the theory behind the pattern...sometimes refer to as the psychology of the pattern or the supply/demand theory of the pattern. By the way, I'm not bashing "hammer patterns"...I too use them consistently profitable but I don't use them alone. Thus, the "market context" in which I apply the pattern is in my opinion more important than the trade signal itself. Simply, the "market context" tells you the direction of the price action and gives you that critical understanding of the price action whereas the trade signal (e.g. hammer pattern) gives the signal to enter the direction of the price action. Also, one of your charts does not represent a "hammer pattern" (circled in yellow) @ http://www.traderslaboratory.com/forums/attachments/104/27817d1331257230-underlying-theory-behind-candlestick-charting-picture-7.png Regardless to your incorrect identification of hammer patterns, it would then seem that you have a good understanding market context and/or not trading hammer patterns by themselves to be consistently profitable even while incorrectly identifying candlestick patterns.

I'm going to assume you're asking that question because you want to be a trend trader in either the EMD, ES, NQ, TF or YM futures products. It's a very simple solution...backtest your trend trading method on all of them and then determine which of them to trade for intraday trend trading based upon the backtest results of your trade method. My point is that someone that replies via saying for example NQ is best or TF is best or YM is best or whatever...their reply is based upon their trading style, their trade method while trading that specific trading product. Thus, unless you're using the exact same trading style and trade method...their answer will lead you into trading something that will most likely not be suitable for you to trade. Thus, to avoid any problems, just backtest your trend trading method and you'll easily answer your own questions about "which emini has the best intraday trend".

Don't scalp until you're getting special commission rates that correlates to the lowest rates your broker has posted publicly. In fact, the few profitable scalpers I know are leasing exchange seats.