BLUE43

EURNZD - PHILOSOPHICAL QUESTION - WHY

FX:EURNZD   Euro Fx/New Zealand Dollar
338 29 30
5 months ago
WHY PEOPLE BUY A PAIR BASED ON AN IMAGINARY TRENDLINE DRAW ON THEIR SCREEN AND ALL AT THE SAME TIME
5 months ago
Comment: im waiting your opinion on it only if they are consistent of course
https://www.youtube.com/watch?v=VLO4IeRb-lA&list=RDVLO4IeRb-lA#t=294
TheBanker PRO
5 months ago
astrology works in mysterious ways
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Gareth_Roberts
5 months ago
Fear, Greed and the laws of probability.
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BLUE43 TOP Gareth_Roberts
5 months ago
right fear of the retrail trade about to hit its sl is a fact
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BLUE43 TOP Gareth_Roberts
5 months ago
but that dont explain why people buy here at the same time
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Roncriss
5 months ago
Because it works most of of time..LOL..
EUR/NZD Descending Channel short term buy opportunity
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BLUE43 TOP Roncriss
5 months ago
yes i agree but why ?? that is the question?
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Gluckmann
5 months ago
¿Self fulfilling prophecy? Everybody sees price touching the trend line and buys because they were taught to do so.
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Tiberious
5 months ago
Philosophically it's extremely simple, as creatures we learn from experience, either ours or others.
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BLUE43 TOP Tiberious
5 months ago
yes but to make going price up, no only retail traders are enough to do it so why market bounce here ?
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Tiberious BLUE43
5 months ago
Ahh.. that may remain a mystery wise master blue.
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BLUE43 TOP Tiberious
5 months ago
nope there is no mystery
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Tiberious BLUE43
5 months ago
Hmm.. potentially the psychology of a certain movement yields consistent resultant effects wherein as the market drops or rises, we as traders, retail and non retail, begin to believe that the move is over, this collective paranoia repeats until channels become established.. I suppose its similar to Fib levels, wherein an amount of movement is deemed too much to continue and then subsequently is forced into a slowdown.
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BLUE43 TOP Tiberious
5 months ago
yes suppose to bounce fibs are common on retailers i agree, that dont explain why all people enter at the same time just based on a drarw
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Glastron
5 months ago
As idle cash looks to find a strong and secure yield, it is no wonder that the New Zealand Dollar has benefited from the current Euro-Zone crisis. Pairs such as the Australian Dollar and New Zealand Dollar are often viewed as a proxy for Chinese growth and thus have performed well against the Euro in recent years. Although Chinese growth may become a cause for concern as the nation shifts away from export led growth, weakness in the Euro-Zone may cap any significant reversal.
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BLUE43 TOP Glastron
5 months ago
thanks, in fact the question is more simple than your fundamental analysis. Why people and not only retailers cause they are only small in comparison with the global marker enter long on a price based on a simple imaginary trendline ?
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Predictindex
5 months ago
You see a $100 toy. You believe it has value to invest and can be profitable. As the time goes by, the toy is giving "special" discount, due to some bad news and makes the consumption low (Bearish trend start). You wait, because you believe the price of the toy will continue to drop due to the negative news impacts, which it happens (Bearish Trend Continues). But when the price drops to a % of amount, other people (retail,bank,institution,etc) start to buying it because they think it's cheap . And the maker of the toy MUST not let the price drop heavily , if this happen, he will go bankrupt and the toy will longer has value. So the maker will start buying back its toy and wait for a better time to sell it with a better price.

This example will need more details to support , but I hope you get the idea.
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BLUE43 TOP Predictindex
5 months ago
yes i think you got something interested, retailers enter first with sl and small account, biggers calculate the fear zone or unconfortability zone based on that and decide to enter
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BLUE43 TOP BLUE43
5 months ago
but all of that its just based on a simple trendine with no signification in fact, just a line, where strong money impulse will go
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Glastron
5 months ago
Forex and any other markets are manipulated 24/7. You can see the same patterns over and over.Only few major banks control almost 80% of all Forex market. These banks have even admitted rigging markets and have been fined for that with billions of $, but all that is quickly forgotten and practically not covered by the mainstream media.
This is how it works. Price is always moved to the level with the most stop orders. Either stop loss, buy stop or sell stop. In order to move the price up someone has to sell at first so that they can buy and move the market up. Sometimes it may be harder to notice, but that is just because it can not be done in too obvious way and they have to accumulate the positions over the time. This will appear as a range bound market.
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BLUE43 TOP Glastron
5 months ago
mmh i dont agree with price market manipulation but but in fact "strong people" can wait all others have a sl hit to enter better price in fact, but the problem is not that, the problem is that they calculated where they can hit a max sl to enter safety, because they knew where retailers are ,,,
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YoussefRazak
5 months ago
The power of supply and demand.
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BLUE43 TOP YoussefRazak
5 months ago
supply and demand on a simple trendline ?
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TheYangGuizi
5 months ago
Reversion to the mean!
snapshot


Is my theory at least :P
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harilaos
5 months ago
because the whole of the market is based on imaginary lines, drawings and excuses far away from the real economy. milestones trigger reactions in relation to the actions of the forex community. money is not made on work and value Ricardian political economy.
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Citoles1000mg
5 months ago
I think some trend-lines ‘do' fit into the taught mathematical formulations well, and some don’t..
Because;
Those that do fit; are for ‘you' to collect the money from the ‘unpredictable’ dumbs,
and those that don’t; are for 'THEM’ to get the most back from the ‘predictable’ ones.. :)

We trade in a world in which they teach us where to put the stop-loss! ;)
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Glastron
5 months ago
We put the trend lines there to help make since of a potential pattern. That being said we do know that the market move in waves that can be grouped into meaning by basing it on patterns in nature.

Fractals
Fractals are structures that can be split into parts, each of which is a very similar copy of the whole. Mathematicians like to call this property “self-similarity”.
You don’t need to go far to find examples of fractals. They can found all over nature!
A sea shell is a fractal. A snow flake is a fractal. A cloud is a fractal. Heck, a lightning bolt is a fractal.
So why are fractals important?
One important quality of Elliott waves is that they are fractals. Much like sea shells and snowflakes, Elliott waves could be further subdivided into smaller Elliot waves.

Wave 1
The stock makes its initial move upwards. This is usually caused by a relatively small number of people that all of the sudden (for a variety of reasons, real or imagined) feel that the price of the stock is cheap so it’s a perfect time to buy. This causes the price to rise.
Wave 2
At this point, enough people who were in the original wave consider the stock overvalued and take profits. This causes the stock to go down. However, the stock will not make it to its previous lows before the stock is considered a bargain again.
Wave 3
This is usually the longest and strongest wave. The stock has caught the attention of the mass public. More people find out about the stock and want to buy it. This causes the stock’s price to go higher and higher. This wave usually exceeds the high created at the end of wave 1.
Wave 4
Traders take profits because the stock is considered expensive again. This wave tends to be weak because there are usually more people that are still bullish on the stock and are waiting to “buy on the dips.”
Wave 5
This is the point that most people get on the stock and is most driven by hysteria. You usually start seeing the CEO of the company on the front page of major magazines as the Person of the Year. Traders and investors start coming up with ridiculous reasons to buy the stock and try to choke you when you disagree with them. This is when the stock becomes the most overpriced. Contrarians start shorting the stock which starts the ABC pattern.
+1 Reply
fxfxfx Glastron
5 months ago
"Wave 4 tends to be weak" meaning the price variation is not that steep or exactly the opposite?
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JohnQuid PRO
5 months ago
Because Trading is nothing more than an assumption and for retail traders this is the only way to "predict" a market..Same as the use of the fib lines and the possible "resistance or support" of a 200EMA. :/ and everbody draws the same lines? Trading is more like a game where everyone uses the same class setup like Modern Warfare 2. The Retail traders with their small USP gun get blown out by the glitched akimbo Models of the big banks.. Only the smart retailers with alot of hard work get to achieve a prestige and use the same weapon class as the big boys.. :/ LIFE blue.. -.-
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JohnQuid PRO
5 months ago
i mean wtf is this based upon millions of dollars are traded in the range of a poor drawn line with an imaginary pen
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