Teach A Man To Fish And.........

[Prabhjeet]

As said in the previous post,a rally within a downtrend is not yet an uptrend........A decline within an uptrend is not a downtrend.


Examples of Rally within a Dntrend and a Decline within an Uptrend in charts below.

Saint

Saint sorry to bother you again but the point with pivots is that it seems easy to trade with them but when trading real time, we get many false pivot cracks.

I am showing the chart of RELIANCE that you had shown but there were many pivot low cracks. My query is that to recognize a pivot can we keep a certain percentage say 10% to be taken as filter for getting out in PIVOT LOW crack during uptrend or can we simply ignore daily pivot low cracks if the Weekly pivot low is still intact

 

[Prabhjeet]

Saint can there be an alternate strategy where we can use two time frames and consider the larger time frame to be the one that decides the trend and keep on attempting reentries even if the pivot low cracks on the chart with smaller time frame.

Attaching weekly and monthly charts of nifty to illustrate the strategy

 

[trader111]

Dear Saint,

This is my first post in ur thread, though I have been following it quite some time. Alright, here comes my question ; guess it is pertinent to the title of the thread.

You seem to promote reactionary trading and bash anticipatory trading. I have seen many traders make good money on the latter style

"I trade in a perticular category where I am a parasite and I elected to front run the smart money and I deal in a manner that is anticipatory as a consequence."
--- Jack Hershey.

http://www.elitetrader.com/vb/showt...highlight=anticipatory+AND+trading#post325498


Kindly elaborate on this topic.

happy trading,
trader #111.

PS: I wish to start a thread on the topic, but fear lack of participation.

PS2:

You are not anticipating a move...........you are letting it happen before you slide in.Anticipating is when you have a weekly downtrend,a daily downtrend and you think "Yep,we have had this one up day,this is the bottom,the numbers say so,my broker and my astrologer concur on that one...."

What do we see?A whole lot of lower pivot highs and lows.......no buys at A.Why?Coz we are in a downtrend.....buying would be committing the heinous crime of Anticipation,Guessing,Predicting,

Weekly charts in ARVIND MILLS are still in a downtrend,buying here in anticipation of a move up was a mistake.Always best to buy a stock in an uptrend........Anticipating that the move down is over is a strategy fraught with danger.

But an entry here is anticipation,prediction and pure guesswork.As far as this one is concerned,we do the most important thing in trading .

Many thought we are going to have more than a 1000pt correction at 9000,and 9500,and 10000,and 11000.And in this anticipation of a top,they lost this move up.We may go on to 15000,and then fall 2000 pts,or we may fall here and now.

Buying in anticipation is dangerous,like trying to catch a falling knife.It's painful for the account and the psyche.

 

[Saint]

Dear Saint,......


PS: I wish to start a thread on the topic, but fear lack of participation.

PS2:

Hi Trader111,

Let's start with the last things first........never fear lack of participation in anything.I have seen some excellent posts from you.....do share with us your wisdom,your experience.If the standard of your thread is above my level,then forgive me.....But if it's at my level,I'll definitely guarantee my participation.So do start this thread......Looking fwd to it.

All the best!
Saint

 

[nick721156]

Yep,weekly putting up higher pivot lows and highs.......the weekly is in an uptrend.

Nope.......once you are clear that the weekly is very much in an uptrend,then drop down to the daily charts......once the daily puts in a higher pivot low and high,you are in.

Also,I buy the breakout,and then on it's all adds .......no waiting till the weekly close confirms the breakout.What happens if it was a fake out......dragged you in to the trade and then dumped?Happens,my friend......take your stops,wait and watch,and stalk,......and pounce back in at the next opportunity.



The daily charts......

Saint

ps:Will pump in a few charts today .....hope it helps!

dear saint.

thanks a lot,

regards,

nick

 

[trader111]

Saint,
please do not talk about levels. you are very mature (in trading experience).
as you must have seen the details with which I read ur posts. I'd quit this forum is someone comes to belittle you.

also "there are bold traders and old traders". you are certainly not the bold type. I wonder how many people respect maturity to fascinating formulas or trading duels.

best regards,
trader #111.

 

[Saint]

Hi Trader 111,

Let's get past the definitions first....too many definitions merely leads to scholarly debates and shifts focus from the simple objective of making profits simply.

I don't know whether trading what you see is better or trading what you think......I do know this.Trade the first change in trend and ride the trend to great profits.

I also know this:Anticipate an upmove in a downtrend.....and you will get yourself thwhacked!


There are all types of individuals.......the type that analyses the food that they eat,the type that analyses the psychological effects of different types of food on our body,the type that wants to know the different timings that food should be taken as per our body rhythm,the type that analyses the diseases caused by eating wrong types of foods.....etc etc

Now can they do one of the above and still enjoy food......Sure!

But as for me,I'd keep things simple......I'd rather just eat and enjoy the eating......mmmmmm,Yummy!

All the best!
Saint

 

[Saint]

Saint,
please do not talk about levels. you are very mature (in trading experience).
as you must have seen the details with which I read ur posts. I'd quit this forum is someone comes to belittle you.

also "there are bold traders and old traders". you are certainly not the bold type. I wonder how many people respect maturity to fascinating formulas or trading duels.

best regards,
trader #111.

Ah,not bold,not that old either.........probably thanks to a lot of intraday trading,I have learnt many lessons faster.

I look forward to your posts....and I sincerely hope you start off your thread soon.

All the best!
Saint

 

[Saint]

dear saint.

thanks a lot,

regards,

nick

most welcome,Nick!

Saint

 

[trader111]

Ah,not bold,not that old either.........probably thanks to a lot of intraday trading,I have learnt many lessons faster.

I look forward to your posts....and I sincerely hope you start off your thread soon.

Dear Saint,
done here:
http://www.traderji.com/trading-psychology/20944-anticipatory-v-s-reactionary-trading.html

regards,
trader #111.