[bearprofits]

Quoted by tommyfx

Trading is all about picking points where you expect to see a shift in demand/supply ratio, hence this is why we look at past performance to get an idea of where prices are likely to turn which brings us back to the original question of this thread.

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If I throw a ball against a wall it will bounce back, but where? Many different factors go into the equation, the speed in which I threw it, the angle, the spin, and so on ……. But no matter where it ends up, the final destination is based on the myriad of equations that were caused its preceding movements .

Price in a way works in a similar fashion, through the past minutes, hours, days ect…. A multitude of traders have bought and sold, thus creating movements in price and time. These movements IMO are in patterns, some discernable some not. The key is being able to see the patterns in advance and knowing where and when they will end or change direction.

Price, where it is now, and where it is headed is derived from the movements of the past.

just a poor bear's thoughts.

Bear