Alternative Technical Templates.

[JimmyMac]

Look like a bit of tail end activity into the London fix judging by the Dollar jabbing on Euro & Cable.

They'll be more than a few fund head honcho's glad to see the back of this quarter & that's for sure. As usual, liquidity is dire today & won't begin stacking up again until well into the back end of this week.

[Tess]

Originally Posted by Tess

But the "point" being it's continued to soften, so folks could have used either option (the regular s&r intent...or the pattern confirmation) to leg in on a continuation move.

Still displaying weakness into this mornings action with that next support camp down @ 9775 beginning to whistle it's welcome

And here we are sussing out the next step of the bearish journey. This channel of previous demand (9775-9710) will harbour the usual cross traffic of stop activity & again, players will be eyeing the peak-trough behaviour to guage their trailing stops on the move down.

The next step down from here takes us to a small pocket of potential headwind @ 1.9640-9600 ahead of the more solid late 07/early 08 floor @ 1.9400.

Above here, the steps are highly visible via your intraday (15m) chart & the small hourly to judge the upside offers on profit taking.

[johnnykanoo]

Ok I know you guys were makin fun of Tess about the head and shoulders. Do you feel it isn't a relevant part of price movement or at the very least some sort of retail self fulfilling prophecy? I am looking at the GBP/USD and I see a sort of half assed head and shoulders there? Is it reliable to use that in conjunction with other pric empvement to say that the cable is still bearish? Also do you think the heavy hitters use "patterns" in the sense of knowing where the retail money is and manipulating price?
I tried a white chart I hope you can see it better than my usual black ones.

[tonymand]

For me H & S is too subjective in real time and I wouldnt particularly go looking for patterns. However I have had some success with flags and pennants but it is usually just an additional aid in a situation which already contains my usual set up criteria

[Jocelyn]

Hi johnnykanoo,

Neither Tess, I or Jimmy use or place any reliance upon chart patterns. The only price templates we recognize are the ones posted alongside our comments.

If folks wish to research, analyze & trade on the back of chart patterns, then that's for them to decide & implement.

We have a couple colleagues here who occasionally reference technical patterns as they form, & we certainly listen & take note of their views & comments at meetings etc, but our decisions are based purely around our tried & tested methods of execution & trade management, most of which you've already witnessed in the posts on here.

One of the fella's just took a snoop at your chart & couldn't find anything of interest there, certainly not a tradeable h&s pattern.

Most of the fund & CTA folks we communicate with regularly don't trade off price patterns no. Neither are we aware of any Bank prop traders who recognize & trade from a pattern sheet.

The larger money players certainly aren't in the least bit interested in the technical whereabouts of the majority of the retail traders. They have their own problems to worry about.

Most of the un-informed gambling money do a decent enough job of tripping themselves up on their own without requiring the intervention of anyone else to accelerate the process

I'd worry less about what they're up to & focus more on wrapping your own strategy nice & tight

[Tess]

I knew posting that darned chart up was a big mistake. Jim said it would come back to haunt me LOL

Apologies johnny & anyone else. I hereby promise & assure not to mention, discuss or post any of that nonsense again!!

I'll pass the buck (& blame) across to Sean & Jose hehehehehe....

[johnnykanoo]

hehehehehe!!! Ok Jocelyn I appreciate the input. I don't particulary use patterns either Im just more or less curious what the big money is doing. As of recently I have revamped my entire style and it is really working well and Im feeling better and better about interpretting price movement. I don't use "indicators" to trade anymore. I watch major fib levels and take notice of stochs but I think stochs really only shows whats obvious in price anyway and also like Tess said it isn't reliable in a strong movement.I am finding myself more and more concerned with the fundamental aspects of price movement as well. One of the commentarys I subscribe to is Barbara Rockafeller. Have you heard of her? I like her insight she takes alot of the relevant information from her newswires and writes a summation along with her view of what it means. Anyway Ill shut up now. Tony hows the new system coming along? You know you inspire me as somebody not afraid to learn and to teach as well. thank you, John

[Jocelyn]

Originally Posted by johnnykanoo

One of the commentarys I subscribe to is Barbara Rockafeller. Have you heard of her?

I'm certainly aware of who she is John, but I'm not familiar with her ongoing work.

If you find value from various folks work & can slot the info in alongside your own research then that's great. That's what it's all about - researching, formulating & filtering pertinent information to enhance your bottom line.

If some of that info also assists in accelerating your knowledge base & increases awareness of what's influencing price out there, then that's got to be a bonus huh?

[tonymand]

Its going well Johnny. Took a loss on the GY earlier but thats all in the game.

[Harry Potter]

Hi there

Originally Posted by Jocelyn

Neither Tess, I or Jimmy use or place any reliance upon chart patterns. The only price templates we recognize are the ones posted alongside our comments.

So you guys use candlestick patterns exclusively when price neares an s&r level?