AGAIG: Getting Ready To Trade Futures (stocks) or How To Select Good Charts In ThinkOrSwim

[csricksdds]

GETTING READY TO TRADE FUTURES (STOCKS) or HOW TO SELECT GOOD CHARTS​

Over the weekend, a useThinkScript member asked me to evaluate five chart setups which I will do. Also, this morning @antwerks posed the same question using the same five charts plus two more.

I’m sharing my answer here as I think it’s a worthy discussion concerning how we evaluate charts (or other things in life).

I have been an amateur photographer through the years and am always amazed at how much information a camera can capture through the mere opening and closing of a lens (the eye of a camera). I have several cameras in my closet, and yet they all do the same thing, which makes me wonder why I have needed so many in the first place. Of course, now my phone is my newest camera!

Ironically, the stock market does the same thing over and over. It goes up, it goes down, and it goes sideways. In essence what we need to do is capture what the market is currently telling us (a snapshot if you please) and then make timely decisions for the actions (trades) we wish to make from what we see.

Now, using our internal camera, what chart fits our eye and gives us adequate current information when we look at it for a mere ten seconds? That is how I view each chart offered on this site.

This is my process:

I open a new offered chart and view it for ten seconds. Next, I turn to an imaginary friend sitting next to me and describe what I have just seen. Can I give my friend enough information to tell them what the chart is representing about the stock being portrayed and what, if any, trade might be contemplated?

If I can’t do this, the chart is probably too busy for me and does not give enough basic information to immediately see what is taking place. As I have often said, "If you can’t see it, why trade it?”

Now for the charts these two individuals posted and asked to be evaluated by anyone. It appears that the first five are the same charts for both individuals with number 6 and 7 are two added charts.

Using my above evaluation method, I find 1, 2, 4, 5, and 6 a little too busy for me (realize my brain is 82 years old and might not capture as much information as quickly as a younger brain).

I loved the fact that chart numbers 3 and 5 incorporated a couple of AGAIG indicators, which made it easier for me to visualize.

Yesterday (4/5/26) I posted TREND ENGINE VOLUME RADAR UPPER LABELS on useThinkScript and gave the link for my double 5 min chart.
This is the type of chart I use for futures (which I like to trade) as well as for stocks or ETFs.

Your eyes are your camera lens and your brain in turn processes the image received, which provides the most comprehensive AI (Artificial Intelligence) one has available.

My AGAIG charts have all been developed with the above purpose in mind.

Hopefully this is worth the read?

 

[antwerks]

awesome - great start - sorry for the busy charts I know you love simplicity, but I wanted to get as much in front of you as possible while I have your time. It is more of a pick and choose - weeding as they say on which ones from your camera look promising!! thank you so far!!!

 

[csricksdds]

awesome - great start - sorry for the busy charts I know you love simplicity, but I wanted to get as much in front of you as possible while I have your time. It is more of a pick and choose - weeding as they say on which ones from your camera look promising!! thank you so far!!!

Thanks for your feedback. I love your posts. On futures I like to get two plays in place on each and for them to close for profit, i.e. on a $5 spread to have a CDS and PDS in place for around $3-4 total paid for both spreads, or a NDX $10 spread to have CDS and PDS in place for less than $10 (5-8 total on both) and relax and let them cash close.