The axioms of financial market analysis (or the whole truth about the right and wrong use of indicators) - page 8

 
mmmoguschiy:
Are you talking about overbought/oversold zones I take it?

"imbalance between supply and demand"

Why does the price of the same pound drop below 5350 and fly upwards from there with a whistle? Because demand far exceeds supply there.

 
Useddd:

1- Into an even greater wilderness have entered))))

2-To have salt in the word HOLD, you need to be aware proactively that now is cheaper than it will be AFTER HOLD, without this advantage hold, and the profit may not be.

How does the word hold salt have nothing to do with it, who knows if you have lots in the scheme, then you can hold as long as you want, swaps only... If you do not take into account knowledge when it is cheap and when it is expensive, you can buy and hold, but the price may not be higher.

The essence is the same, approaches may be different, but the essence is the same, and why are you sure that the salt is in your version, I do not understand ...

1. Yes it simply says that money is paper. Nothing complicated ))))

2) I wonder what if someone walks up to a trader in a bazaar and whispers in his ear: "You may lose all your money, but you may not make any profit". What would he think and how would he react?
Possible variants:
- sharply reduce the price
- sharply curtails trade.
- Pushes him down
- bribe him
- pat him on the shoulder for a good joke
- remain unperturbed.
)))

But seriously, if the question is not about trading in general, but about one deal in particular, the way out is to close with the minimum possible loss in this situation. Do not just sit there till you are blue in the face)).

I think this topic (advantages) has exhausted itself, enough has been said and people are already expressing their dissatisfaction.

 
stranger:

Going to the market again for potatoes)))))

In the market, the supply is 300 kg of potatoes, the price is 2 rubles per kilo. In the morning, they bought 200 kg in an hour and 100 kg are left, which means that the demand is there and the supply has decreased considerably. In other words, the price is not primary.

all correct - The volume of buyers exceeds the volume of sellers? You can move the price up because those who want to buy will buy at a higher price. If sellers' volumes go down quickly, it means that there is demand and we can move the price up. It's a pity this is not yet available in MT.
 
mmmoguschiy:
All right - Buyers' volumes exceed sellers' volumes? It is possible to move the price up because those who want to buy will buy at a higher price. You also need to take into account executed trades (not only limits but also market orders) - if sellers' volumes quickly dry up, it means there is demand and you can move the price higher. It's a pity that MT does not have it yet.
If someone shouts that he will buy ten bags now, it does not mean that he will really buy them, so I only take into account real transactions.
 
Useddd:
How do you know what 300? If there was a significant frame of reference between the change in supply/demand and the price, but it is all instantaneous. In theory yes-not primary, but in practice, a change in supply/demand is just like a change in price itself.
Price changes because of a change in supply/demand, so it is a consequence, not a cause.
 
stranger:
If someone shouts that he will now buy ten bags, it does not mean that he will actually buy them, so I only take into account real transactions.
This is where another axiom comes in - the market maker axiom :)
 
Useddd:

with standard approaches they are late and in volume.

I don't know why I singled out the word useful for nothing.

The useful one is the one that will change more slowly than the money in your pocket.

what volumes are you talking about? Volumes in MT terminal? ))
 
mmmoguschiy:
Here starts another axiom - the market makers axiom :)

I know that yesterday they bought 1617031 contracts for the pound, they have been buying for 10-11 days, which means that there is demand and it is not yet satisfied.

That's the volume.

The value of one contract is 62500 pounds, multiplied by 1617031 and you get the real volume of purchases in money, that's all the maths.

 
stranger:

I know that yesterday they bought 1617031 contracts for the pound, they have been buying for 10-11 days, which means that there is demand and it is not yet satisfied.

That's the volume.

The value of one contract is 62500 pounds, multiply by 1617031 and you get the real volume of purchases in money, that's all the maths.

Logical, Gandalf :) So you're trading on the long term? I'm more interested in smaller timeframes :)
 
Useddd:

I'm not arguing that, in theory... In practice, by your logic, if demand/supply is the cause and price is the effect, then it is logical to think that analysis of the effects of a change in the cause comes earlier in time than the effects of a change in the effect, right? But the processes of cause and effect changes in time are instantaneous. So the consequences of each of them change synchronously in the future.

Not

Everything changes very slowly and without cause there is no effect.

mmmoguschiy:
logical, Gandalf :) So you trade on the long term? I'm more interested in smaller timeframes :)

I'm interested in smaller timeframes.)

Timeframe is relative, the price changes over time because of the change in the supply/demand ratio, in the shorter term it changes mainly because of mm manipulation, so trading intraday is intense and requires a lot of concentration, tracking the timing of news releases and a lot more. A week to a month is short term.