Reading Charts in Real Time

[SIUYA 11]

What's particularly interesting to me is how you were able to convey the contextual considerations (in addition to basic concepts of charts/timeframes/how to physically trade with a platform, 123's & 2b's, position sizing, R-multiples, risk:reward, etc.) to your daughter in such an extremely short period of time (a month!). It has taken me months and months and months of full-time dedication to the approach to be able to show signs of consistency.

 

see, post #5368..... first you may have had to un-learn, and get rid of preconceived ideas. An often repeated idea in trading before actually accepting some things.

 

Marko23 - interesting viewpoint .......I never thought of the 3 pushes up in a larger time frame - often it looks more to me as 5 waves........ same thing - also interesting using a simple Tom Demark count as well (not 100% accurate but helpful)

[Marko23 10]

...I never thought of the 3 pushes up in a larger time frame - often it looks more to me as 5 waves...

 

Self-similarity is a key observation for technical trading.

 

With that context in mind, one would have started a short swing on Monday from a 60m chart

 

http://www.traderslaboratory.com/forums/attachment.php?attachmentid=22016&stc=1&d=1281601720

 

That swing trade is in good shape today. The penetrated channel shows an impulsive trend down.

I expect a third push down.

 

Edited August 12, 2010 by Marko23

[Marko23 10]

Just a tiny third push down for EUR/USD.

The short swing was stopped by trailing stop above 1.2825.

 

 

Price did not reach the bottom of the second Darvas box of the uptrend

in the daily chart. The Darvas box is a kind of support zone.

 

[BlowFish 10]

What's particularly interesting to me is how you were able to convey the contextual considerations (in addition to basic concepts of charts/timeframes/how to physically trade with a platform, 123's & 2b's, position sizing, R-multiples, risk:reward, etc.) to your daughter in such an extremely short period of time (a month!). It has taken me months and months and months of full-time dedication to the approach to be able to show signs of consistency.

 

My hunch is it is a couple of things. Lack of learnt behaviour that work well in most endeavours but not in trading. Implicit trust of a child for their parent. Different relationship with money (I guess that could be covered in the first point). And of course constant feedback.

[Marko23 10]

Support from the D'box continues for EUR/USD.

[thalestrader 14]

My hunch is it is a couple of things. Lack of learnt behaviour that work well in most endeavours but not in trading. Implicit trust of a child for their parent. Different relationship with money (I guess that could be covered in the first point). And of course constant feedback.

 

I concur with Blowfish 100%. At 9 and now 10 she has none of the obstacles to success that we learn to impose upon ourselves as we mature. She is also a very smart and highly self-motivated, and very self competitive. What I mean by that is this: she measures her progress in any activity by comparing her present ability only to her own past accomplishments, and not to those of her friends (or her father). In addition to be a very good forex trader, trading the EURJPY almost exclusively, she is also a very talented nature photographer and clarinet player.

 

For anyone interested, she is still trading, though like me, she has not been day trading this summer. She is following the Kiwi-level time frames (60 minute, 240 minute, and daily), and trades accordingly. Most recently she had been long the EJ from July 6, added to her long on July 27 (around there at any rate), was stopped out two days later with a very small profit on the whole operation, and then was in cash until two days ago when she got short right below 112.00.

 

Best Wishes,

 

Thales

Edited August 13, 2010 by thalestrader

[SIUYA 11]

i cant believe i am saying this but - "I am envious of a ten year old"

(for all the right reasons)

[thalestrader 14]

i cant believe i am saying this but - "I am envious of a ten year old"

(for all the right reasons)

 

My completely unbiased opinion is that she is a very special little girl.

 

Best Wishes,

 

Thales

[thalestrader 14]

Current view of the EURUSD ... has me thinking 1.1600-1.1400 may be the next pivotal juncture if this does break lower ... Of course, I never trade without a stop loss ...

Best Wishes,

 

Thales

[thalestrader 14]

A long opportunity following a rally off the above noted trendline ...

 

Best Wishes,

 

Thales

[MidKnight 12]

I really like that long, especially against the context of going quickly below fridays low and then pulling up - two thumbs up for that one!

[fxThunder 10]

I spent a lot of time over the last week and this weekend rereading this thread. I can't emphasise how many new nuggets I gathered in this process.

 

Apologies for a belated chart but I am going to post it regardless.

 

The chart indicates my current short on the EU, targets excluded. I normally look at price action at support and resistance areas to decide on my exit.

 

fxT.

[fxThunder 10]

I spent a lot of time over the last week and this weekend rereading this thread. I can't emphasise how many new nuggets I gathered in this process.

 

Apologies for a belated chart but I am going to post it regardless.

 

The chart indicates my current short on the EU, targets excluded. I normally look at price action at support and resistance areas to decide on my exit.

 

fxT.

 

And the exit at the trendline area.

 

fxT

[thalestrader 14]

A long opportunity following a rally off the above noted trendline ...

 

+30 tick 1st target, + 60 tick 2nd target ...

 

 

Best Wishes,

 

Thales

[Marko23 10]

First correction in 60m chart may(!) develop

 

Possibly

[Marko23 10]

Long started

 

[fxThunder 10]

Short entry on GU just now - still available for taking.

 

fxT

[fxThunder 10]

GU 60 min view.

 

This shows that price meandered back to a 60min down trendline and larger timeframe resistance.

 

Have to pull the trigger at this spot.

 

fxT

[fxThunder 10]

Stop at breakeven on GU now. It must do what it must do....

 

fxT

[fxThunder 10]

Got rid of the GU short at the uptrendline for 20 odd ticks.

 

Just no momo here right now.

 

fXT

[thalestrader 14]

Current view of the daily EURJPY has a short from 112.00, with a sell stop to add to short at 109.00 ...

 

 

Best Wishes,

 

Thales

[fxThunder 10]

To also add one last look at the GBPUSD on the 4hr timeframe.

 

I took this swing long in another account earlier.

 

It has been a busy day for me on this thread

 

Cheers,

fxT

[thalestrader 14]

I know that stock charts don't get a lot of play around here, though I hope to change that a bit going forward.

 

Here is a chart that I posted over at my blog tonight, but I thought it deserved to be in this thread as well.

 

This is a quarterly chart of FDO, showing that it is near an historical breakout. William O'Neil would place a buy point at 10 cents above the olf high. I follow that too at times, though in this case, I'd probably add 25 cents and then round up to the nearest quarter dollar.

 

 

Best WIshes,

 

Thales

[thalestrader 14]

If you think of Darvas, when you see this chart, yes!

 

Darvas and 1-2-3 are a good match. So we wait for Thales' blog...

 

I just posted a couple of charts of Jinko Solar on my blog at The Speculator King: Stock Chart of the Day. Here is one of them, with Darvas boxes drawn over the price action.

 

 

 

Best Wishes,

 

Thales

[thalestrader 14]

Current view of the daily EURJPY has a short from 112.00, with a sell stop to add to short at 109.00 ...

 

Current view of the EURJPY shows nothing has changed ...

 

 

Best Wishes,

 

Thales