Price action with Candlestick Analysis(No indicators)

[sramidi]

Just happened to find this thread when searching through Price Patters.
What a wonderful and simple strategy....

Would the same work for INtraday? I mean real time charts, can we implement this in Intraday charts?

 

[bapu4]

Successfull trading is not easy task IMO one who trades successively making consistent profits are know it well...its most hard job ....lacs/crores of chart he gone through ....how hard to overcome emotions and keep decipline in trading ..many think trading is easy job

Hi,
I know and appreciate but the answer is round and round ,I had a pin point question let Hik answer he will tell correctly,I know lot of hard work is required to master an art,but that doesn't mean that an artist continues same amount of hard work for years together because he has to attain further heights,if he entangles and spends his time in same kind of hard work he won't get time for further development. Any way thanks for your input,
god bless

 

[cellclinic]

http://www.swing-trade-stocks.com/price-action.html

 

[gargindia]

Hi hik,
Thanks for your kind words . Lance Beggs has written in a simple, easy to understand and structured manner, truly thankful to him for that awesome book.

My analysis starts with finding important levels, trend and strength before session. Based on these information i have my if-then statements. At session open i solely watch market depth ( its easier to focus, find strength on its basis), switching to candlestick chart when i feel comfortable.
I keep an eye on 15 min, 3 min and 1 min timeframes, though main focus is on
3 min. 1 min is used when entering a trade, finding minor s/r or trapping patterns.
I do bar by bar analysis till 1130 am, then i review the session and fill journals. After 1130 i do watch price action near important s/r levels but i don't trade.

My favorite setup is CPB(has high success rate and love traps . BOF, TST are also good and PB has to be traded with caution with some filters( volatility, market time, market environment).
Earlier i used to trade only HDIL but now I trade stocks with news or gaps( thanks to Stock in Play in "One Good Trade" by Mike). They have more opportunities and volatility.
Have you tried watching market depth at the session open? it gives me very good idea of the desperation in traders and what they really want.

I see gap as anything else, watching price action around the important levels, strength and weakness only the volatility is high( you may switch to lower timeframe).

Looking for more of your posts.

Regards

what is the meaning of
CPB
BOF
TST
HDIL
PB

 

[akrsrivastava]

what is the meaning of
CPB
BOF
TST
HDIL
PB

Search for Lance Beggs website Your Trading Coach. You will find the details there.

 

[doublebull]

Hi hik,

Thank you for starting this thread. This thread is over a year since started and hope I'm not too late to join the band and learn.

I'm a novice trader and I've a feeling that using indicators is more confusing. So, I've decided to base my trades entirely on price action analysis. No mumbo jumbo and no cluttering of the screen. I've a hunch that I'll be able to relate with just pure price action, better. Now the big question. Where to start, how to start and the tools required. Any good reading material necessary, initially? Definitely, I would be going through all the posts one by one.

Like you mentioned in the first few posts of this thread that anyone interested to learn this skill should begin with identifying Support/Resistance. So, I'm posting a chart for ONGC. Kindly excuse my uncertainty as to the placement of the Resistance and Support lines. So, I'm posting three different images of the same chart. Please show me and guide me the correct one. Also, a big thank you to all the contributors of this thread.

 

[akrsrivastava]

Hi hik,

Thank you for starting this thread. This thread is over a year since started and hope I'm not too late to join the band and learn.

I'm a novice trader and I've a feeling that using indicators is more confusing. So, I've decided to base my trades entirely on price action analysis. No mumbo jumbo and no cluttering of the screen. I've a hunch that I'll be able to relate with just pure price action, better. Now the big question. Where to start, how to start and the tools required. Any good reading material necessary, initially? Definitely, I would be going through all the posts one by one.

Like you mentioned in the first few posts of this thread that anyone interested to learn this skill should begin with identifying Support/Resistance. So, I'm posting a chart for ONGC. Kindly excuse my uncertainty as to the placement of the Resistance and Support lines. So, I'm posting three different images of the same chart. Please show me and guide me the correct one. Also, a big thank you to all the contributors of this thread.

Do one very interesting exercise. Delete the S/R lines from your chart. Delete even the candle bars. Once you have a blank chart, draw a horizontal line anywhere on the chart. Now bring back the candlesticks. What do you see? In all probability, you will find that your horizontal line is acting as a valid S/R line. Do the experiment. Its fun.

 

[dr.pkjee]

Hello All,

I was googling to get help in drawing the S/R lines & got this code which draws 2 lines in real time(making a zone instead of a line). The upper reistance line and lower support line matches hik's lie here. Hope it will help.

To hik:-have you any idea about the zones in relation to the line we are discussing?

cheers

pkj

code here for Amibroker:

_SECTION_BEGIN("SupDemAFL");
SetChartOptions(0,chartShowArrows|chartShowDates);
bk=ParamColor( "Bk col",ColorRGB(134,146,149));
SetChartBkColor(bk);
SetBarFillColor(IIf(C>O,colorBlue,IIf(C<O,colorRed,colorBlack)));
Plot(C," | Sup-Res_N-T style |\nPrice",ColorRGB(201,210,196),64,0,0,0,0);

sr=ParamToggle("Plot Supp/Res lines","No|Yes" ,1);
Per=Param("Sensitivity",1,0.5,5,0.5);
g=Param("No.of Lines",3,1,5,1);
x=Cum(1);
Pk1=PeakBars(H,per,1)== 0;
Tk1=TroughBars(L,per,1)== 0;

px1=LastValue(ValueWhen(pk1,x,1));
px2=LastValue(ValueWhen(Pk1,x,2));
px3=LastValue(ValueWhen(Pk1,x,3));
px4=LastValue(ValueWhen(pk1,x,4));
px5=LastValue(ValueWhen(Pk1,x,5));

tx1=LastValue(ValueWhen(Tk1,x,1));
tx2=LastValue(ValueWhen(Tk1,x,2));
tx3=LastValue(ValueWhen(Tk1,x,3));
tx4=LastValue(ValueWhen(Tk1,x,4));
tx5=LastValue(ValueWhen(Tk1,x,5));

XT1 =LastValue(ValueWhen(pk1,H,1));XT1c =LastValue(ValueWhen(pk1,Max(C,O),1));
XT2 =LastValue(ValueWhen(Pk1,H,2));XT2c =LastValue(ValueWhen(pk1,Max(C,O),2));
XT3 =LastValue(ValueWhen(Pk1,H,3));XT3c =LastValue(ValueWhen(pk1,Max(C,O),3));
XT4 =LastValue(ValueWhen(pk1,H,4));XT4c =LastValue(ValueWhen(pk1,Max(C,O),4));
XT5 =LastValue(ValueWhen(Pk1,H,5));XT5c =LastValue(ValueWhen(pk1,Max(C,O),5));

YT1 =LastValue(ValueWhen(tk1,L,1));YT1c =LastValue(ValueWhen(tk1,Min(O,C),1));
YT2 =LastValue(ValueWhen(tk1,L,2));YT2c =LastValue(ValueWhen(tk1,Min(O,C),2));
YT3 =LastValue(ValueWhen(tk1,L,3));YT3c =LastValue(ValueWhen(tk1,Min(O,C),3));
YT4 =LastValue(ValueWhen(tk1,L,4));YT4c =LastValue(ValueWhen(tk1,Min(O,C),4));
YT5 =LastValue(ValueWhen(tk1,L,5));YT5c =LastValue(ValueWhen(tk1,Min(O,C),5));

pk1=IIf(x>px1 AND g>=1 AND sr,XT1,Null);pk1c=IIf(x>px1 AND g>=1 AND sr,XT1c,Null);
Col1=IIf( LastValue(C)>pk1, ColorRGB(14,14,100), ColorRGB(180,20,20) );
Plot(pk1,"",31,1);PlotOHLC(0,pk1,pk1c,0,"",Col1,styleCloud|styleNoLabel,Null, Null, Null, -1);
pk2=IIf(x>px2 AND g>=2 AND sr,XT2,Null);pk2c=IIf(x>px2 AND g>=2 AND sr,XT2c,Null);
Col2=IIf( LastValue(C)>pk2, ColorRGB(24,24,120), ColorRGB(180,40,40) );
Plot(pk2,"",31,1);PlotOHLC(0,pk2,pk2c,0,"",Col2,styleCloud|styleNoLabel,Null, Null, Null, -2);
pk3=IIf(x>px3 AND g>=3 AND sr,XT3,Null);pk3c=IIf(x>px3 AND g>=3 AND sr,XT3c,Null);
Col3=IIf( LastValue(C)>pk3, ColorRGB(34,34,140),ColorRGB(180,60,60));
Plot(pk3,"",31, 1);PlotOHLC(0,pk3,pk3c,0,"",Col3,styleCloud|styleNoLabel,Null, Null, Null, -3);
pk4=IIf(x>px4 AND g>=4 AND sr,XT4,Null);pk4c=IIf(x>px4 AND g>=4 AND sr,XT4c,Null);
Col4=IIf( LastValue(C)>pk4, ColorRGB(44,44,160), ColorRGB(180,80,80));
Plot(pk4,"",31,1);PlotOHLC(0,pk4,pk4c,0,"",Col4,styleCloud|styleNoLabel,Null, Null, Null, -4);
pk5=IIf(x>px5 AND g>=5 AND sr,XT5,Null);pk5c=IIf(x>px5 AND g>=5 AND sr,XT5c,Null);
Col5=IIf( LastValue(C)>pk5, ColorRGB(54,54,180), ColorRGB(180,100,100));
Plot(pk5,"",31,1);PlotOHLC(0,pk5,pk5c,0,"",Col5,styleCloud|styleNoLabel,Null, Null, Null, -5);
tl1=IIf(x>tx1 AND g>=1 AND sr,YT1,Null);tl1c=IIf(x>tx1 AND g>=1 AND sr,YT1c,Null);
Col1=IIf( LastValue(C)>tl1, ColorRGB(14,14,100), ColorRGB(180,20,20) );
Plot(tl1,"",1,1);PlotOHLC(0,tl1,tl1c,0,"",Col1,styleCloud|styleNoLabel,Null, Null, Null, -1);
tl2=IIf(x>tx2 AND g>=2 AND sr,YT2,Null);tl2c=IIf(x>tx2 AND g>=2 AND sr,YT2c,Null);
Col2=IIf( LastValue(C)>YT2, ColorRGB(24,24,120), ColorRGB(180,40,40));
Plot(tl2,"",1,1);PlotOHLC(0,tl2,tl2c,0,"",Col2,styleCloud|styleNoLabel,Null, Null, Null, -2);
tl3=IIf(x>tx3 AND g>=3 AND sr,YT3,Null);tl3c=IIf(x>tx3 AND g>=3 AND sr,YT3c,Null);
Col3=IIf( LastValue(C)>YT3, ColorRGB(34,34,140), ColorRGB(180,60,60) );
Plot(tl3,"",1,1);PlotOHLC(0,tl3,tl3c,0,"",Col3,styleCloud|styleNoLabel,Null, Null, Null, -3);
tl4=IIf(x>tx4 AND g>=4 AND sr,YT4,Null);tl4c=IIf(x>tx4 AND g>=4 AND sr,YT4c,Null);
Col4=IIf( LastValue(C)>YT4, ColorRGB(44,44,160), ColorRGB(180,80,80) );
Plot(tl4,"",1,1);PlotOHLC(0,tl4,tl4c,0,"",Col4,styleCloud|styleNoLabel,Null, Null, Null, -4);
tl5=IIf(x>tx5 AND g>=5 AND sr,YT5,Null);tl5c=IIf(x>tx5 AND g>=5 AND sr,YT5c,Null);
Col5=IIf( LastValue(C)>YT5, ColorRGB(54,54,180), ColorRGB(180,100,100));
Plot(tl5,"",1,1);PlotOHLC(0,tl5,tl5c,0,"",Col5,styleCloud|styleNoLabel,Null, Null, Null, -5);

GfxSetOverlayMode(1);
GfxSetTextColor(10);
GfxSelectFont("Old English Text MT", 12, 300, False, False, 0);
GfxTextOut(" Casoni ", Status("pxwidth")-60 , Status("pxheight")-20 );
//Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!


segments = IIf( Interval() < inDaily, Day(), Month() );
segments = segments != Ref( segments , -1 );

PlotVAPOverlayA( segments , Param("Lines", 300, 100, 1000, 1 ), Param("Width", 80, 1, 100, 1 ), ParamColor("Color", ColorRGB(114,128,131) ), ParamToggle("Side", "Left|Right" ) | 2 * ParamToggle("Style", "Fill|Lines", 0) | 4*ParamToggle("Z-order", "On top|Behind", 1 ) );

_SECTION_END();

 

[doublebull]

Do one very interesting exercise. Delete the S/R lines from your chart. Delete even the candle bars. Once you have a blank chart, draw a horizontal line anywhere on the chart. Now bring back the candlesticks. What do you see? In all probability, you will find that your horizontal line is acting as a valid S/R line. Do the experiment. Its fun.

I didn't get the meaning. Could you explain, what purpose this experiment might serve, other than fun.

 

[sudhakars]

Hi,

Please find the attached chart for crude oil, I found that Bullish engulfing in daily chart on Friday, Can anybody please validate..

Your comments are highly appreciated.