Goldtent TA Paradise

gdx xgd

1. Fullgoldcrown says:

   February 8, 2019 - 6:42 pm at 6:42 pm

   indicators are over rated imho

   there I said it

   Don’t want to offend the indicator crowd BUT

   Yes in a range bound market indicators can be useful when they diverge from price

   But in a trending market indicators get overbought fast and have to reset …often price goes sideways

   The momentum picks up and we keep going up. So what looke like a negative divergence has no substance in a trending market

   That’s my general observation

   And another thing…all these convoluted momentum indicators with their thousands of permutations and combinations

   are not so important when you consider the fact that they are all derived from price action…So price action creates

   the momo indicators ….not the other way around .

   Lastly…the longer the time frame the less a divergence means…as they can go on and on for years.

   Feel free to disagree of course

2. pedro_deleon says:

   February 8, 2019 - 7:11 pm at 7:11 pm

   Depends on who is using the indicators. And specifically, how.

   “when you consider the fact that they are all derived from price action”

   Not true. There are a number that use volume or volume and price combined. They are among the more important ones I use.

   In any event, I use 15 or so routinely. Seldom on the boilerplate specs. And I use ALL of them, for different and VERY specific purposes in my system. If I find a new one now, that adds value to my system, I’m at a loss as to which one I ditch given that my screen real estate is scarce.

   “So price action creates the momo indicators ”

   But price has no bounds, whereas the indicators CAN offer up bearings. When certain indicators hit particular levels, I KNOW that the probabilities of a turn elevate.
   BUT … I never do this in just one timeframe in isolation from the others. The charts most people use may be two dimensional, but trading behavior IS NOT when it comes to TIME.

   • Fullgoldcrown says:

     February 8, 2019 - 7:34 pm at 7:34 pm

     Excellent retort pedro…touche

     Lets face it we are Gold TA nerds…and even we cannot agree on the best approach to trading the markets

     I am intrigued by your “3D” approach …and really have no clue how it works. When you have time please do a post to enlighten us. Without giving away the ranch of course.

     Anyhow…Tell the posters and folks here what you once told me on how difficult it is to be a good trader and last in this endeavor ….making money with mouse clicks

     🙂

     • pedro_deleon says:

       February 8, 2019 - 10:15 pm at 10:15 pm

       My 3D approach is probably easier to comprehend than to implement.
       I’m a swing trader who looks mostly at weeklies for backtesting and signals.
       But daily for entries. And monthlies for trend guidance.
       So my signal definition may look like this

       mMACD#1<mMACD and wRSI#1<wRSI and dSTO#10 ? and if true, it displays a signal on the weekly indicating that one or more dsily signals have been registered in that week. That allows for convenient backtesting of daily signals viewed on a weekly chart spanning lots of time. SO the information flow is ALSO from daily to weekly using the SUM of signals function.

       Bottom line — my chart is like a PDF with layers (timeframes) where there is information flow across the layers.

       • pedro_deleon says:

         February 8, 2019 - 10:23 pm at 10:23 pm

         Much of the text I typed up went missing when I hit Post.

         from dSTO#1<dSTO …. where m = monthly, w = weekly and d = daily.

         If true, I get a signal on the daily. I have dozens of separate signals, for short term, intermediate term, and long term. Also trend versus counter trend, and buy vs sell. The software also has a function called Sum, so if there are one or more signals in a given week, I get a marker on the weekly indicating that.

         So the information flow is down to the daily from all time frames. And from the daily up to the weekly to display intermediate degree signals or higher.

         • Fullgoldcrown says:

           February 9, 2019 - 12:21 am at 12:21 am

           WELL THATS IMPRESSIVE TO SAY THE LEAST pedro

           Continued success

           thanks

           fully

3. Highroller says:

   February 8, 2019 - 7:21 pm at 7:21 pm

   yup, rsi oversold can carry on with the strong trend. Just so many major resistance lines and 200 ma spots make it watchable with whatever I figure. Trendlines can take you only so far also, tough gig no matter what, depends on your timeframe game as you say. Politics might be safer 🙂