Teach me Technical Analysis!!! - Page 12

wow this should be 1st thread i should have visited when i found this site. THKS A MILLION JOCKE

Trying to post a chart not working to well.

Only on the second page but a big thanks already!

I should probably post this in the education board, but I figure I'll post it here too since you guys all analyze charts lol. Any idea why in my 15/60 min charts, the +DI is already above the -DI when in the daily it hasn't even crossed yet? And do you guys know what happened to the ADX when I view a 15 min chart? Here is what my charts look like..

You can look at it at this link if the image below is too small.
http://img70.imageshack.us/img70/9346/charts.jpg

When you use different time frames you will get different readings a daily chart may show positive divergence while a 10 min chart shows the complete opposite. Usually traders use a longer time frame (weekly, daily, hourly) to establish the trend then use a small time frame (30, 15, 10) enter or exit the trade.

I should have looked in the thread a long time ago! Thanks!

Yup. Use at least 2 timeframes...one for the macro view and one for the micro view. Macro gets you on the bigger trend, micro gets you better timing for entry/exit. Different timeframes have different trends so indicators could give complete opposite readings. Hell you could have daily bull divergence and on the 15 minute bear divergence. There are always different cycles taking place in different timeframes.

Excellent original post. Picked up a couple of new tips there. Sometimes it's good just to kick back with a few charts and cross reference the indicators and see how they go with the trends.

Great afterwords too, especially those discussions concerning volume.

Cheers!

Great thread gives the newbies a lot of insight and information!

Very informative. Thanks, and will keep watching this space.

this clarifies the very basic of TA. thanks a lot. I tried learning it from stockcharts.com but helps a lot. stockcharts.com has a lot of info and details on TA though.

Stockcharts.com is awesome. I recommend just using and learning a few indicators at once. Like MACD, RSI, and 50 and 200 day moving averages for starters. Learn the ins and outs of them, get comfortable using them, and then go learn 2 or 3 more. You'll be a wiz in no time.

TA nothing worth but moving average, support and resistances (static). imo

Just becoming a "wiz" on tons of indicators won't make you profitable. The most important part of the game is your psychology. Also the more people look to indicators to prove their bias the worse off they will be. Learn to read a naked chart first because price action and raw S&R is the most important IMO.

This thread helped me a lot. Thanks.

I'm really thankful for this post and glad that I joined this forum.

I know, but for the purposes of this thread, it's about learning TA. That was my base for what I posted. No more, no less.

MC's point was that people focus too much on indicators when trying to learn TA, and not enough on price action. I hold that to be true for myself, but I don't want to speak for others. What's good for the goose may not be good for the gander. I am sure there are many very successful traders who put a lot of weight on indicators. I can't knock something for someone else if it works for them, but if it's not working, then I think simplifying things and focusing more on price action is great advice.

what do you mean exactly price action? simonyadig