Market Discussions

oh well then. I skimmed it and saw "BRN" and stuff and assumed.

Uhm.. yeah. I think you should do this. And make me a trading partner in your business

like seriously i don't know how anyone can read this crap and not be immediately aware it's projecting patterns on past behavior that have literally zero predictive power, since which one applied in the past depends on what happens in the future

I suppose the monthly resistance line right above it (the strongest that can exist in this method) is not enough?


Edit:

Look at the weekly graph.

Look at the weekly price level 535.39.
The price level, placed "at eye glance" is 0.39 different than the reprocess value.

Since I did not recall about PAX Amarria (doing a dozen of analyses on request, I get crazy), the price reading method did the finding for me. How cool, eh? Somebody could have returned to EvE yesterday, not know about PAX Amarria at all yet he'd find price did something right there.

I repeat it again, price discounts the reasons why it's at its level both in the past and in the present. The reasons why is here or there do not matter.

Dear Goons thank you for proving me that the method works even better than I believed. I thought it was so precise only in RL trading but I have to say I am positively surprised at seeing how - unlike me who I forgot about it - it catched the resistance imposed on the mineral.

There's also a feature I really wish the Readers take much care about: those little, almost invisible bars "wicks" above and below the yellow price dots.
In particular, despite we are not looking at proper candle bar charts, we can see the how at the center of the "M" (the tip of the middle "wedge") there's a T shaped pin bar.
That is, an experienced enough player can actually SEE pin bars even on a vanilla EvE graph.
Many double tops and bottoms have such pin bar at their center.
That pin bar is in trend with the price before the RM and thus it's a safe trade whose take profit level is the resistance sitting at the ceiling of the "M" (3800 in our example).

Similar bars also appear in vanilla RMs that are just "random" oscillations and not a double top / bottom and those bars are all safe trades as long as there's enough space between them (at the bottom of the RM) and the top of the RM to make a profit after taxes.

Once price breaks out of the double top RM, we look for selling opportunities. As said above, this happens if the double top is confirmed.
A first sign of the double top being confirmed comes from the outside bar's "wick". If it hits the RM bottom, it means sellers were there and they took liquidity from the RM bottom now acting as new resistance.
Some times we'll have an actual swing retracing back to such RM bottom, some times we won't. It's hard to predict when the swing happens vs when it does not (depends on nearby other price levels, RMs and so on).
Unlike RL markets, even the largest EvE markets often don't have the liquidity to show a swing retracement so we have to look at that bar "wick" as I described above.

Another neat RM feature, expecially on double top / bottoms RMs, is the ability to learn about the approximative next price target in advance.
While irregular RMs are not very reliable (50 percent chance), double tops and bottoms tend to push price bottom / up by about their same height.

Therefore we may simply a segment over the RM height and copy it above (double bottoms) or below (double tops) to know where price will go about 70 percent of the times.

Here is our double top with such segments drawn over it, in blue. The second segment has always to be drawn at the location of the bar that breaks out. We'll see why in a future article.

The accuracy of the target greatly increases if price is free to get there without important price levels, BRNs etc. in the way.
Otherwise price will snap to the closest important level. In our example, we have BRN 3000 in the way down.

But there's an important consideration to make here. As I said several times, BRNs are not necessarily price levels.
In the past, 3000 has been a decent price level (see how the leftmost price dots have "wicks" hunting and touching 3000 both from below and above) but not strong enough to halt price and act as support or resistance. Price just hopped over it.
Compare with 3500, where price formed a whole RM around it. Therefore 3000 becomes a so called "money management" level, where in RL trading you just move the stop loss behind it, without closing the trade.

Once price reached the target pointed at by the blue segment, we close the short position (RL markets) or stop selling (EvE).
Price might still decide to keep dropping but look, the blue segment not randomly happens to hit BRN 2500, which will act as support.
Therefore we have to look for price to close below 2500 before being sure it was not yet done with its going down.

T shaped bars are EvE graphs flavour or version of the Pin Bar candle bars. Like them, when located close or at a price level, they may indicate a set of situations ranging from price inversion to price exhaustion. For more information about Pin Bars I suggest searching for them on the Investopedia website or James16 thread or even the "Beyond the Candles" thread. These sites should be linked in the original post.

As for the wicks, they are the EvE graphs flavour or version of the candle bars "shadow and tail". They are segments coming out of the bar body and their length shows how strong are buyers (wick below / tail) and sellers (wick above / shadow).
They also perform other important tasks:

- They go hit the so called "liquidity levels", i.e. they show where buyers and sellers go take orders out, which in turn it make them stronger and able to push price where they want.

- They may define the so called "controlling bars", a very, very advanced market concept I will not cover on the EvE forums because it requires at least 6 months of study and practice to understand.

- They may define the bounds of the so called "boxes", the areas that enclose Range Markets. Boxes are part of another advanced market concept called "market dynamics" which I will not cover on the EvE forums as well. Only way to learn about these advanced concepts is joining RL webinars that currently are not available in English anyway.

It's a good day to sell Nitrogen Isotopes. Resistance at RN 1100 is holding very, very well, if it keep holding like this, people could start dumping and then...

You are trying to learn something that was good 20-30 years go but now is quite useless.
I would not spend more time into learning indicators than the time I'd spend into studying early '900 vintage cars.
There is a SEA of garbage / outdated / redundant information. I am posting a distilled extract of just what's worth learning. Even "just" learning and practicing this stuff will take you years. Trading is not a joke. Trading is a full and hard profession. Those who want to make a living on it, expect to have to study and practice for years.
Trading is simple, but NOT easy. Trading is not for everyone.

I am going to post a list of the only stuff you should read if you actually are in for a serious learning. All of those are related to the so called Price Action trading methods. This is a different and contrasting approach compared to Technical Analysis (where stochastics belong to).
Most of those traders had commercial spin-offs for many reasons.

I will list those none the less because they have "free for everyone" sections that contain free content that has high learning value. Just skip / ignore the closed payware sections. When I state: "only read XXX guy posts" it means you should skim over the rest. Most forums have the OP discussing some good stuff but then random talk takes over and inflates pages count to the thousands. The original concept is the stuff to learn, not the chatter.


Here are the main worthwhile resources to learn:

1) Babypips
2) James16's Chart Thread
3) James 16 Group
4) My own web site Vahrokh.com free trading course
5) FXGroup's Beyond the Candles
6) PREZZO
7) PriceFXGroup.com private group
8) Strat's Long Term Stress Free Trading
9) Strat's Forex Trading


Key and comments to the above resources:

1) Babypips: only and exclusively read the School of Pipsology. Notice the italics.

2) James16's Chart Thread: Only and exclusively read the first 200 pages, only and exclusively learn from James16 and mbqb11 posts. Beware that some times they use moving averages, they may be safely ignored.

3) It's a partly commercial (read: payware) website created by 2) due to other traders pressure. Press only the Guests button and watch the several videos by all the authors. They are some years old but teach a LOT, expecially the trader mentality.

4) This a still incomplete free trading intro / course by me, condensing in few pages what's teached in 5), 6), 7), 8) and 9).
A very unique feature, it shows EvE applications of the trading teachings. That is, you will find tutorials and examples about how to install free software to analyse EvE markets like you do with RL markets.

5) English version of 6), the WPD-WPG (What Price is Doing, Where Price is Going) RL and EvE trading method I also posted on 4) and am talking about on this thread.

6) Original WPD-WPG trading method, first seen and discussed on an Italian forum (therefore it's in Italian).

7) Almost entirely commercial (read: payware) website created by 6). As of now it's in Italian only but is due to open an English version (if you browse it, you see it is bi-lingual). It shows some very long, free videos talking about WPD-WPG taken during the free for all webinars announced in 6.

8) Another prominent trader talking about his PA method. I think the 6) author took concepts and worked them out again from this guy. Only read his posts.

9) A very nicely organized tutorial by 8). It's the free section of a commercial (read: payware) website of him. Just read the tutorial and ignore the rest.


Suggested order of reading, from the basics concepts to the most advanced:

1, 9, 8, 4, 2, 3, 6, 5, 7.

The first (1) will really teach the first basics, the last (7) is advanced enough to teach from almost zero to how to best place and scatter orders, brokers tips and so on.

I just created an article about the full Tritanium trade with updated comments, many step by step zoomable charts, theory and trade screenshots (for the unbelievers ).

Sadly this forum is vastly insufficient to render it so you'll have to read it on my website.

Thanks for the info excellent articles well worth the time and trouble to read.