Support and Resistance Trading Simplified

[Salcok]

The intention of this thread would be to simplify support and resistance style trading so a trader can quickly scan the market and make educated decsisons with out letting biases enter into the equation.

In case you don't understand SR trading proceed to BRV's No Brainer thread. This is a superb place to find out about SR.. In that thread is well worth reading, everything Steve has composed. He's among those few at FF who's a genuine professional.

Everyone is welcome here to discuss pure price action. I don't need any charts which are unreadable. We need to discuss pure price action. No indiors on the chart. Fibs, MA's, pivots and trendlines is it. However I would like if even that would be omitted because it can distract from price action.

Again everybody is welcome here to discuss pure price action.

Below are some charts of Fridays price action.

[kmeslyna]

90023

J16 is not price action. . its candlestick trading.

Have you ever been a member of J16?

What you are doing is NOT price action it is simply SR..

Price action IS candlestick patterns this type of IB, OB, PB, etc..

[xllsse]

90023S/R and price action is the best way to go!!

[Halsu]

90023

Perhaps you have been a part of J16?

What you're doing is NOT price action it is simply SR..

Price action IS candlestick patterns this type of IB, OB, PB, etc..

Semantics...

[balzalegim]

90023

Perhaps you have been a part of J16?

What you are doing is NOT price action it is simply SR..

Price action IS candlestick patterns this type of IB, OB, PB, etc..

NO. SR is only support and resistance... notice how I state

at support or at resistance price breaks out... that is a combination or price action. . At support and resistance not support and resistance .

Candlestick patterns are created from price action patterns but are not price action in themselves because they are sometimes produced by price movement that is not a correct formation for this stick. . If most of PB's(pin bars) where generated as a part of a price action pattern I suppose u could contemplate them price action but they are not some are produced randomly... The matter of what's price action has caused those who've asked what it is? Rather than have had it replied to refer to something that functions as price action when it is not... Not saying the J16 doesnt work people have been doing what he does for a long time but it is not price action.

[balzalegim]

90023 this really is price action

Price has broken reduced price must not break the failing lower highs to last new trend
price has broken new low price must not break the failing lower highs to keep new trend
. . .etc

Price has broken new failing reduced and has taken us out of this trade since orders are building in the lower highs

[balzalegim]

90023 price broke high triggered stop orders where accumulating at highs
sellers entered the market and new selling orders where triggered in the low and orders begine to accumulate at high.

As price continues to split we continue to input as we take each trigger as price shows strength or weakness.

MM is built into price action because risk is restricted and we restrain it... but correcting stops when in profit and never adjusting stops more into loss... we pursue price adding and accruing new orders as price trends. . This functions like an anti-grid almost. . Where people are amassing losses we accumulate into profit.

[balzalegim]

90023the honest answer about timeframes... that works on all time frames can scalp price action until the cows come home... I say trade higher time frames because it give u

1. More time to respond and prepare and see price action
2. The costs associated with the time frames fall trade higher time frames. .
3. Longer to edit your orders and adjust them when they need to be adjusted.

I dont have quick hands and I am a slow thinker. . I also see that price does not go and that I cover to much of a disperse to trade quicker frames. . So I dont trade them...

I do not believe in the arguement that lower time frames are noise just are not right for me.

[viloxnice]

90023I agree with Domino because he uses price actions using line chart.
Sometimes I'm disappointed when folks discuss price actions
and use MA's, e.g. Stochastic for help - this isn't price action.

I believe that candlesticks are sort of price actions believed on smaller time frames plus would call them'price setups' and it is a massive science that has to be discussed separately.

Price actions is when you use only a chart in different time frames and examine it with SRs and stations and trendlines. That is all. Angles may be used by you too.
Only let us not contaninate the mathematics about price actions.

The final thing that I used before, was Volume indior but now I would rather
work just with charts.

[balzalegim]

90023 currently lets know why PB's work look at this chart it is the same as the chart above.

Notice how the areas that orders pile up in the price action setups are at the break of the open of their PB look at the red line that has been the stop out

you can not find the future of price at which it is going or where it's going to be. . You can not trade where it has been. . You can just find out what's currently occurring.

Orders amassing at the pinbars high stop for individuals trading with trend.

Youll also notice the orders amassing on next bar of all of the stops and activates piling up on other time frames to power bigger motions. Notice that is not at the pb low but in the long run is raised.

Now when the snare is in the ideal place at the ideal support in the ideal direction those stops are also accumulated with new order activates along with the inclusion and accumulation of all of the orders make for stronger moves. . With new highs within activating space we know that the trigger of the orders will push price to a new place that has a high chance of triggering new orders.