Hi
Some observations and experiences from my side about P&F. P&F is one way to trade with. If you like such stuff, take your time and test it in your time frames. You can fine tune it down to the smallest time frames or ranges. Trading ranges with P&F can be positing trading and scalping. Some comments in the last post's gave me the feeling, that this is not known to this posters of such comments. To successfully trade position trading with P&F you need good strategies and some times patient. Other times it is like a ping pong game. If market has high volatility on a small time frame, you quickly have to act to place your orders and adjusting to the next range. Critically are the first S&R which occur with P&F. You never know, if it is the next range or just a fake. But this you also have with other tools which many of you use. You use it because you think they are better or you use it, because you feel more comfortable with them. To that level you also can come with P&F trading. If you see a range with P&F, do never use the full range. Take out a piece of the cake and trade that the right way. The peace of cake is shown in the chart from the 3.July 11. You only trade this peace of cake and you not try to catch the absolute high and the absolute deep. Beginners tend to trade like that, as they think they must hit those points, which is not necessary.
EagleOne, thanks for your post and input about that subject. By the way: I will see what I can comment on your chart.
As I told, I will move on with S&R and I now will move away from P&F to a completely other way of looking at S&R as promised.
S&R can be combined with different systems and tools. We can take the support from one indicator or tool and we can take the resistance from an other indicator or tool and start to combine it. We even can use one tool or indicator from one derivative and combine it with some thing completely else. There are no limits to that. If you have some charts about such stuff, post it.
Here an example with the gold chart in which I use option volatility with mathematics. The upper part shows me the option volatility which is on support and the under part shows me the gold chart with the stdv which shows the market on resistance. Time frame is 5 days per bar and the whole chart is a long time chart. Depending on what kind of trader or investor you are, it can be very useful to analyze such chart time frames which such tools.
Tc and do some sport to keep your buddy in healthy conditions.
DanPickUp
Some observations and experiences from my side about P&F. P&F is one way to trade with. If you like such stuff, take your time and test it in your time frames. You can fine tune it down to the smallest time frames or ranges. Trading ranges with P&F can be positing trading and scalping. Some comments in the last post's gave me the feeling, that this is not known to this posters of such comments. To successfully trade position trading with P&F you need good strategies and some times patient. Other times it is like a ping pong game. If market has high volatility on a small time frame, you quickly have to act to place your orders and adjusting to the next range. Critically are the first S&R which occur with P&F. You never know, if it is the next range or just a fake. But this you also have with other tools which many of you use. You use it because you think they are better or you use it, because you feel more comfortable with them. To that level you also can come with P&F trading. If you see a range with P&F, do never use the full range. Take out a piece of the cake and trade that the right way. The peace of cake is shown in the chart from the 3.July 11. You only trade this peace of cake and you not try to catch the absolute high and the absolute deep. Beginners tend to trade like that, as they think they must hit those points, which is not necessary.
EagleOne, thanks for your post and input about that subject. By the way: I will see what I can comment on your chart.
As I told, I will move on with S&R and I now will move away from P&F to a completely other way of looking at S&R as promised.
S&R can be combined with different systems and tools. We can take the support from one indicator or tool and we can take the resistance from an other indicator or tool and start to combine it. We even can use one tool or indicator from one derivative and combine it with some thing completely else. There are no limits to that. If you have some charts about such stuff, post it.
Here an example with the gold chart in which I use option volatility with mathematics. The upper part shows me the option volatility which is on support and the under part shows me the gold chart with the stdv which shows the market on resistance. Time frame is 5 days per bar and the whole chart is a long time chart. Depending on what kind of trader or investor you are, it can be very useful to analyze such chart time frames which such tools.
Tc and do some sport to keep your buddy in healthy conditions.
DanPickUp
