Thread: Its All Noise - Right?

Originally Posted by ;

It'd be good to find a debate on this. Wisdom describes the TFs as noisy but an M15 chart is practically indistinguishable from a D1 chart at levels.

It could be a good discussion. Let us begin it here.

I personally can't differentiate what TF chart I am
looking at if it isn't tagged.

Do distinct TF's actually vary with regard to:

Trending?

Randomness?

Noise?

Volatility?



Below: Name the TF.

This discussion could be called noise.

It's not the time frame in and of itself that matters so much - its price level. For instance, 1.2500 is support. (For instance.)

At 1.2500 it is support regardless of what time frame you're using.

Now, to locate s/r using only a 15 min chart - that's a recipe for reductions.

However, daily/weekly support carries through no matter what.

There is also an additional question to answer - Would you wish to sit babysit a trade daily based from a 5 minute chart? Would you wish to sit around and wait all day for that signal? Or, would you check the charts each 4 hours or so, and make decisions every 4 hours?

It is nice to have a life out of trading in the end. When you got right into this, it was about freedom. Scalping a 5 minute chart daily is that in my view.

Compound interest. Do a spreadsheet of 3 percent a month for 20 decades. Utilize a balance to begin with. Whatever you can honestly afford. Have a look at how much it could grow with that slow, steady return. Then do another exercise, ADD cash to the account a couple hundred bucks makes a difference, every few months.

Only a few ideas, and that's all that they are.

Truth is, 4 hour works well for me personally. I really don't fret about being correct profitable.

Clockwork

Originally Posted by ;

There have been some higher level structures which appeared to repeat. For example when a fad (the way I defined it at the analysis ) finished, it would end in one of two ways; either with a failure leg which could not extend the trend, or with a sudden strong reversal leg. Both of these modes of fashion interruption tended to alternate, but there is no reason they should. I discovered a few things, although it may have been just a weird statistical artifact.

Did your research give some (new) ideas regarding exits? Everything you refer as abrupt strong reversal leg frequently have a V-shape on the chart that in many cases lead to the famous candle-stick pattern hammer (called pin-bar here on FF) if I knew your terms properly

Seems like you've done some intriguing research.

I trade GJ off the 5mins chart to ch tops and bottoms...I ch minimum of 50pips occasionally in under 5mins....and occasionally can become up to 120pips....what difference does it make with a larger timeframe?


Waves are built up from smaller timeframes and they become the obvious on the massive timeframe....

Its all based on your egy...I feel the most comfortable with 5mins....it gives me more transactions with high winning probability as well as when I shed...I get more to make up for losses.

Originally Posted by ;

It could be a fantastic discussion. Let us start it .

I can't differentiate what TF chart I am
looking at when it's not tagged.

Do distinct TF's really vary in terms of:

Trending?

Randomness?

Noise?

Volatility?



Below: Name the TF.

Apart from the faster moving speed and narrower levels of S/R there is not any gap.

Lol there isn't any gap, I have tried to point this out to people that liked to express whatever under 1hour is noise before. The market trends on a 1sec chart as it will on a chart the distinction is that the moves you see are to get much more pips on a 1day chart. Take price and timeline away and you cannot tell the difference. A lot of people aim for 50, 100, 150 pips for money that is small, try aiming for 5,10,15 pips etc with money. Now ask yourself how often the market moves 5,10,15 pips vs 50,100,150 pips?????

1 and 5 minutes min charts. Lots of inefficiency, and so lot of chances.

The further your system revolves around utilizing information presented on a lower time frame chart, the higher your chances are of losing money. A two pip spread usually means a whole lot less about a higher time frame in which you're aiming at greater amounts of pips. A two pip entry disperse on a lower time frame where you're aiming at, say, 10 pips signifies an immediate 20% cost on your own trade.

Also think about this. Technically, all it requires is one trade to maneuver price. This usually means that one individual (technically) has got the power to take you in or out of your a trade if given the chance. A decrease timeframe generally becomes more susceptible to a scenario such as this, as the orders are tighter round the current price. A news event that spikes just 50 pips, will signify a movement in case your goal if it's a 10 pip stop or take profit. If you're looking and trading in higher time frame movements, 50 pips is anything, unless it happens to be close to your stop. This concept works outside of news events as well.

Additionally, there is the variable of speed. I don't need to go too far into this, since it is easy to determine price formation is generated a the pace set by the timeframe. The indiion with this stage is that you need skill to translate and adapt to the oncoming formation whilst not allowing your emotions to reevaluate your decision making process. That is assuming you're trading based heavily on what you see in front of you (on a chart)

Now, that said, let me mention that this isn't to say reduced timeframes cannot be used. Time frames offer a more thorough representation of price movement charted graphically. Just another tool. It gives perfectly useful information which may help define entrances, exits, etc.. However, as stated previously, be certain that you are not opening yourself up to the risks involved.

Just my pieces.

Time frames are a construct of creativity. I exchange based on price movement. It's the same regardless of if one breaks up that movement with a start and stop location. (open close) I do not commerce from charts other than to see price flow. So 1 second is the exact same to me daily. In fact, my screen is a spread sheet of low and high for each day and then the bid price running on a DDE feed.

Further, I don't have any use for pattern recognition. It isn't for me, although I know others do well with this. I suppose I am one of those weird tape readers. I look for assistance and resistance, supply and demand regions within clumps of prices These will be.

Who said one had to sit in front of a chart all day? Personally I spend. And there are heights of sr on small timeframes, they play out differently than the ones you are referring to but they do exist. The advantage a scalper has that spends 2 hours a day is after his session is over he does not need to worry about what happens in the market, he does not need to return every 4 hours to look at his transactions etc.. NOTHING get's by him without him knowing about it and reacting based upon it etc.. My point is anybody can trade on any timeframe, the crucial thing is to choose what works for you and own it, period. You trade 4 hour timeframe I trade 1second, it really does not matter provided that we are making money