Great video! thank you David! My opinion: the best is to use Trend line - helps a lot and is easy to identify if is uptrend or downtrend. The others not all the time works/helps. Many thx for the free lessons which u give us.
On the opening of the video I was disappointed that you were going to cover fib. I’m so glad you added that fib is something you’re not a fan of when you did actually cover it. Simple trend and MA price break has done well for me personally. Especially if the price pulls back to those levels into prior structure. Great video as always! Thanks for sharing your insights!
Thanks Jay. We decided to be honest about it and experience just hasn't proved the Fib as a reliable method. It does look great and it is a way of interpreting things according to "natural laws" but markets these days are impacted by so many things all the time, that such a method struggles with consistency.
@@Capitaltrading Agreed. Although one could also argue that since fibs are so widely used, and considering price action reflects human behavior, it at least acts as a sort of self fulfilling prophecy.
How about trying to find channels? I find them quite useful. Also interesting to know would be why the price follows the trendline. Is this because many traders draw trendlines and change their buy/sell behaviour accordingly?
Thanks David for the vid. I also don't use Fibonnacci in my trading, as I'm not sure which retracement level is the most 'authentic' or 'genuine': there are so many lines that the price is likely to hit one or other line sooner or later but that would just be coincidence and have nothing to do with Fibonacci theory. Am happy to be corrected! The bearish/bullish RSI divergence is a good one that I have often profited from.
Good presentation. However, I was surprised that you didn't mention the concept of higher highs, higher lows and vica versa. I feel that looking at this price action in a trend is very basic.And what about Point of Control concept in determing thhe end of a trend? However, I am not a certified technical analyst.
Thanks Dolev, and yes the Fibonacci is a very interesting indicator. If used correctly it can help out, but you have to be careful with it, as the levels in the real markets aren't always aligned with what it predicts.
If holding forex trades for 2-3 days & entering on 15 minutes chart action,what should be Guiding time frame chart for trend direction.If one uses daily for trend,then trader is paying for overpriced merchandise marked up over many days.Going with 1H trend for direction,the trend can flip on A dime. Decent trend on 4H chart is not going to flip on A dime. I think that 4H trend is optimal for direction.Objective is to buy on correction & to keep stop loss 30-50 pips for risk control.Seek wisdom
