IgazI wrote: Let's visit your house and take a look at the EURUSD together.
This is a 3 minute chart and I will first create a 5 pip box to hunt for price levels; on a 1-2 minute chart you might use a 2-3 pip box.
Sliding the box up and down, try and find a collection of dots behind the various breakouts:
- look for greater distances between closing prices.
- look for price returning to an area.
- two nearby collections create a 'widening' that price bounces between.
There are only patterns and breakouts:
YOU explain the chart to YOURSELF. and keep explaining it to yourself until your mind is satisfied with your answer.
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As you learn new things, and the lightbulbs start glowing, you will apply that knowledge going forward. . .
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One last one for old time sake, then Out:
What IgazI is saying in theory I'll try to break down with a practical example & how I see things.
Picture this:
You are placed in the wilderness. You can feel the winter chill in your bones. Its absolutely pitch dark out, with a slight beam of moonlight shining in, though not enough to fully get a grasp of your surroundings. The space where you stand feels tight. What is this place? As you are feeling around your'e hand comes across a climbing rope. You tug at it, it feels solid. You start to maneuver around your leg hits a what feels like a container. You reach down and feel its content, its metal clips.
Your brain is running in all directions, but internally you know there is only 1 way out this place..to climb. The container only has a limited amount of clips so you'll have to figure how many to use at a time. From your body weight, you derive 3 clips to built a foundation to support your weight, additional single clips will be used temporarily to support you as your leaping to the next level of the climb. You make a quick a mental checklist, 3 for body support 1 for temporary support.
Time to climb... At the base of this abyss you strap 2 to your lower torso and 1 to your upper chest area. The location of the clips are in nice close proximity, You're full supported. You climb abit, unleash and leap to the next level 1 clip in then leap 3 clips strap fully supported..climb unleash 1 clip in then leap 3 clips strapped fully supported. Your support clips offer more than just a mean to support your body weight, They are also used as safe zones when heavy rocks debris fall down from the heavens. You'll need to backtrack, gather yourself & starting climbing again. Little by little you pull yourself out and off you go...
Thats all there is too it. Hopefully this helped someone..if it didnt ya'll can go back to flicking yourselves
(inside joke, dont worry it).
