Trading Proverb #1. What goes up must come down. What goes
down must come up. If you trade pen and paper methods like all the Wall
Street gurus want you to do, then you will not totally understand how
useful this information is. No, you will just say DUH, and close your mind. MISTAKE!
Oscillating indicators clearly paint the effects of up and down movement. When the oscillators range has been met, the market reverses direction long enough to pull the indicator from its upper or lower limit so it can effectively be used again to find the next high or low.
The banker traders have absolutely no idea what I just said. LOL! GOOD! Keep trading like it's 1920. Meanwhile, those of you who want to use the "computing" power of your computer need to sort through various oscillating indicators to find the ones that use their ranges the most effectively.
The 0 line, or the 50 line, represents the midpoint of your range. To find the best range period, you need to know the equilibrium moving average of the market you are trading. Think of the market as a yoyo. The yoyo moves to the end of the string, then returns to your hand. Find the yoyo on your chart and use that value in your indicator. That will make the 0 line or the 50 line the point where the yoyo is in your hand. Simply trade from the point where it leaves your hand until it runs out of string. Then trade it back to your hand. When you master this, you will smile every time you hear about money management, or profit targets, or stop losses. You will wonder ... what?...why?...lol.
Oscillating indicators clearly paint the effects of up and down movement. When the oscillators range has been met, the market reverses direction long enough to pull the indicator from its upper or lower limit so it can effectively be used again to find the next high or low.
The banker traders have absolutely no idea what I just said. LOL! GOOD! Keep trading like it's 1920. Meanwhile, those of you who want to use the "computing" power of your computer need to sort through various oscillating indicators to find the ones that use their ranges the most effectively.
The 0 line, or the 50 line, represents the midpoint of your range. To find the best range period, you need to know the equilibrium moving average of the market you are trading. Think of the market as a yoyo. The yoyo moves to the end of the string, then returns to your hand. Find the yoyo on your chart and use that value in your indicator. That will make the 0 line or the 50 line the point where the yoyo is in your hand. Simply trade from the point where it leaves your hand until it runs out of string. Then trade it back to your hand. When you master this, you will smile every time you hear about money management, or profit targets, or stop losses. You will wonder ... what?...why?...lol.
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.