Loading ...NUGT 60
this sector is notorious for its head and shoulder patterns
I imagine the next bounce will be preceded by one or more as well
And, for the TSI apprentices, look what it told you in advance would happen.
Remember, this pattern has a 93% validity rate.
http://www.forex-tribe.com/Head-And-Shoulders.php
The decay in NUGT is so atrocious that for me it invalidates the validity of TA. I know that goes against the grain here, but I have moved beyond these flawed vehicles. JMHO
NUGT was up 1,000% since January.
There’s a saying “ride the horse that brung ya” that explains why I use it for TA.
https://stockcharts.com/h-sc/ui?s=NUGT&p=W&b=9&g=5&id=p95915249879
To each his own. Good luck.
Agree…If you want to play NUGT chart the GDX
TA on a decaying asset is useless except perhaps for a day trade ( minute charts)
Are you saying you made 1000% Tommy ?
I’d be a liar if I said I did.
As for “useless”, that’s just an opinion, not a fact.
1. I haven’t studied or used TSI, so I’m not even in the apprentice category. However, Tommy, if you have time and it’s easy could you direct me to where you suggested how to use it in this case, or briefly repeat the key point?
2. Intuitive things aren’t always right, but it seems intuitive to me that if charting GDX isn’t “useless” then charting NUGT wouldn’t necessarily be useless either–just risky and hard to use. It would make sense that indicators for NUGT would be exceedingly sensitive–way too sensitive in many cases. High signal but high noise with the extra of time decay probably confounding things in odd ways. You could smooth the indicators, but then you might as well use GDX. My ignorant guess would be that the S/N using unsmoothed NUGT indicators, even maybe smoothed ones, would end up being low, thus NUGT tough to use unless filtered in some way–or maybe Tommy is just used to it–as he notes, as in what brung him. You might see something suggestive with super-sensitive NUGT indicators and then confirm with something else, I would guess. I’ve never used either NUGT or GDX nyself. Just prattling.
Hi Karl – Using TSI is like a foreign language to some. It requires using it on a daily basis to learn the nuances.
what tsi parameters would you suggest for daily and weekly gdx?
i’m new to tsi
thx
Here I am using TSI on the daily chart for GDX showing the head and shoulder pattern.
Since head and shoulder patterns tend to play out at a very high percentage rate, they should never be ignored.
https://stockcharts.com/h-sc/ui?s=GDX&p=D&b=9&g=5&id=p58716209131&r=1472678520189&cmd=print
Kind of like holding a royal flush or something like that.
1. Thank you for example of TSI with GDX that you gave later.
2. Not by any means a criticism of Head and Shoulders as a pattern, but perhaps more of me, but I find it next to useless. I can see it everywhere and nowhere, personally, so I ignore it. I don’t even get to the question of whether to wait for it to be confirmed by XYZ. Having fixed criteria may help. However there may be unconscious skills that some people possess at picking out just which ones to focus on?
3. Shell’s question on TSI parameters? Aren’t there different parameters one can use?
Anybody who believes ANY TA pattern is 90+% predictive is setting themselves up for disappointment and losses
I can show you tons of H and S patterns that either don’t play out or don’t come close to reaching their PO
65% at best !
We have been thru this before …This 93% success rate is BS and it will cost novices a LOT of problems…