Trading patterns should you look for in day trading!
What’s your favorite pattern?
Please let me know what patterns you like to trade besides the 13 above?
haha none of them, i for 1 don t take patterns in consideration, not even double top or bottom untill hasn t done a fake breakout etc. not saying they don t work maybe in important areas, but…
lol all of them at the hedefunds I have built algo’s for we had to code a system that would alert a trader to any of the above if he or she is placing a positions that goes against the conventional wisdom on the chart…
e.g say a trader put a buy order in after a double top had appeared on the hour chart …
He would get an alert before the trade and he would have to enter notes as to why he is going against the grain…These notes would later be analysed if the trade went wrong
ussually double tops and bottoms get faded, faked, stop hunts etc. i know that s a liquidity waiting to happen when u see such a pattern unfolding as most of the traders see them and jump right in not knowing that s where market will jump(cos price is always searching for liquidity), brokers might increase spread, take all the stops out and then reverse or just continue if the positions are accumulated etc…i dunno i d never trade like that ever again lol. common knowledge doesn t work, that s why many get stepped on, stopped out, market goes agaist them as soon as they enter etc…these patterns might work, atleast some of them at important areas of suppl and demand but after they get tested, hunted etc, creates an imbalance between demand and supply, that s when i d look to enter . anyways, just my opinion on patterns(not to say i can t be wrong, just in my experience trading just that won t cut it)
Where I can learn trading for beginner?, certainly with trading pattern material and trading management…
Good discipline exercise for all traders.
Yep, their trader explained the different trading setups and how to manage the trades and position size, it’s really useful.
My favourite pattern is pull-back from trend, or resumption of trend. Sometimes called a 1-2-3. Or a Gann swing trade. Or a Rivalland swing trade. Or a Donchian break-out. Or break of support/resistance. Or break-out from consolidation. Or from a wedge. They all pretty much rely on the same in principles - price going up, it goes down a bit, then it carries on going up again. Happy days.
I have had success with some of the main chart patterns, and must admit still use them to a degree. I am not naive though, I don’t rely on them solely, to me they are just Indicators, secondary to s/r levels. I will use them as guides to determining a more accurate entry, for example:
Price is heading down to a main support area on the weekly chart, however it has formed a descending channel on the daily. If price is at the bottom of that pattern then I’ll put an entry order in below the break of that pattern as there’s a chance price will move back up to continue the pattern.
I only pay attention to the main patterns as they get way to complex, and this game does not need to be complex.
Many traders might also focus on discipline and mind skills for entering and exit of the trade at perfect timing.
I think joining a course like Udemi or Snap Academy is a good choice, what do you think?