Trading Action Reaction Lines - A Presentation

[BlowFish 10]

First off I should say I am a big fan of Tim Morge, I think his work is exemplary. There is little doubt (in my mind) that he is the real deal and possibly I would go as far as saying a 'trading great'.

 

He has just done a presentation on trading action reaction lines. It starts of with a history of how they came about then moves into drawing them and actually trading from them. Morge is one of these people that is not timid to talk about actually trading. Even if you don't have much interest in these lines I would still recommend a look. For example I always like to see how he talks through a trade from beginning to end and how he uses price action to manage his position. How to trade rather than just how to analyse.

 

It weighs in at an 1hour 40 minutes or more and I thought was pretty excellent. I should point out I am not affiliated in anyway shape or form, I just enjoy the stuff he presents and hope you might too.

 

http://rs6.net/tn.jsp?e=001cNIv73zlV9mznKIUYdfOA4iK8Jx8zVE7HrAamL7PEPqq6POEQOTfgNp7Ds78RwXScPBD8-qMzq9stfE-owltdHw-J1us9jy52CzlKQMzBwk87FD1rtB_EQbjRM5BomRV1QbfqtAnOyuM3V5MWSC8uQTj6BdF06CeD91i-VW4h7dNzcf9REvxx4Xx1WnT7RhkojW7KxSLyrZGht97shGrEdp0YXp6CsSfJ8G0ZywL4yM4usaBw7Wiz5s72WL9CmFj

 

You need to fill in a couple of details for the CME and it will download the WebEx player but they don't spam you in fact you can put any junk in if you so desire.

[BlowFish 10]

They are usually good however this one has stuff that he has not talked about before. (though has written of) whilst the core bits are always the same there are always interesting new twists. As I said before I like how he talks about managing trades, not many speak specifically about this.

 

There's a new series on medianline.com entitled "The Fed has got no Clothes" its from when he ran a currency desk and sometimes performed 'manoeuvres' for the Fed. Its only up to part 2 but a fun read so far. I think I can guess where its going. Part I is at the bottom.

 

I admire the guys energy and dedication to trading. Runs a fund, trades his own account, manages a prop shop, and helps floor traders make the transition off the floor to the screen. Still manages to find time to post freebies and do webinars while writing his second book and a fairly extensive speaking schedule. Apparently he has recently suffered poor health but seems to be back with a vengeance.

 

Worth checking out even if you have seen other presentations. As I said I am a bit of a fan so caveat emptor.

[namstrader 10]

I was a fan several years ago and was in to it then. I Began to learn other tools and left it. Now am bringing it back as another way to see the playing field. Thanks for the link to the presentation. I thoroughly enjoyed it and learned much more.

 

Thanks Blowfish. I am a fan again after listening to Morge and getting some new setups to ponder. Hitting those lines with 80% likelihood after certain occurrences is something I want to watch and study more going forward.

 

Also Morge mentioned how important playback is for all traders and to be serious about learning, or forget about it. He is smooth and I like to listen to him.

[torero 10]

thanks, guys for the link. I've been looking for a long time or some background how to use pitchforks. I just watch the webinar and was very informative. I'll test them out to see if they fit my method. Good stuff.

 

forsearch, your link doesn't seem to work. Please check.

[BlowFish 10]

Yeah he has traded for 35 years trades billions (apparently) but still spends the odd couple of hours here and there on the simulator!

 

There is a ton of good material on the medianline.com site look for the archives section. For anyone who is struggling with trade management its worth checking out, regardless of your methodology. It's nothing really new (using market structure/price action to manage trades) but there are many concrete examples of managing a trade from begining to end. The only thing I'd like to see is more failed trades.

[torero 10]

The use of price action to manage the trade is what I use and he explains it quite well. Good stuff. Regarding the shifting the pitchforks requires a bit of know-how and practice that's for sure.

[BlowFish 10]

His approach (at its core) is actually quite similar to some discussed in well established threads here.

 

Draws 'lines' where price may reverse (or congest). Use price action to see if that is in fact happening. Enter and manage the trade (based on PA) until another 'line' is hit. He uses an energy metaphor (rather than supply demand for example). How he conducts business is really not so different.