Diary of Brox

[torosesost]

I'll update this first post later.

[torosesost]

Starting to study Price Action with "Caps - RBD/DBR". Task: Mark 200 caps and watch how the price reacted on each one. Write down how the price approached the caps, how it reacted on arrival and what happened after breaking the cap. Here is the first chart:

[torosesost]

Here are some old graphics:

[torosesost]

Here I continue with the second graph, I am especially interested in how he reacted after the breakup.

[OdisTesco]

Interesting approach, but do you really think dialing 200 caps will give you a valid sample? That�s pure masochism.

[TesiSes21199]

I like your discipline. I wish I had the patience to analyze so many areas.

[GCR3]

The only thing you're gonna get is to go crazy watching so much useless retrogression.

[torosesost]

The idea is to identify consistent patterns of price behavior, even if it's tedious, I need solid bases.

[esSbuu8]

If the patterns are repeated, it will be worth it. If not, at least you will learn to filter bad setups faster.

[uronisC]

Don't get excited, that then when you're going to operate in real it's not as pretty as backtests.

[shiru]

Are you using any tools to mark caps or do everything by hand?

[torosesost]

All manual, to force me to observe every detail. Automate now would be a dangerous shortcut.

[CuchoSrk300]

Too purist for my taste. I frame the areas with a script and then check the most interesting ones.

[JttoaxnwS199]

It reminds me of when I did backtesting with pencil and paper. It was hell, but you really learn.

[EsntTiSuda141]

Don't underestimate the visual learning you're winning, then identify areas of reaction instantly.

[torosesost]

That's the goal. Automate the eye and intuition, not the process of marking areas.

[dojiesnjtto]

You're doing fine, but remember, you'll have to validate this later with real risk management, without that, it's all theory.

[SiTorVuxxo]

What you're doing is what most people don't want to do: boring work. There's the difference.

[kuTkCihaz]

I did something similar with supply/demand, and in the end I discovered that the context commands more than the pattern.

[torosesost]

I totally agree, but first I want to master zone identification before I get complicated with macro context.

[Vurgunesyesh]

If you don't understand the context, the caps are just pretty little drawings on the screen.

[Tkna1977]

When you're done with the 200, make a summary with statistics. That would be a brutal contribution to the forum.

[esizaka]

Better upload the cleanest graphics, so the others can follow your logic without so much visual noise.

[saySaSesNSaros78]

Are you leaking temporalities or caps marks in any frame without distinction?

[torosesost]

For now I focus on H4 and D1. Below there is too much noise for this type of analysis.

[thonoa]

In the long run it is more reliable, but you will need a lot of patience. Intradays are more impatient by nature.

[TescaTorwz1965]

When you're done, it's gonna change the way you see the market.

[Axrvuvuvuvu]

Or you'll burn and drop it before you get to Cap 100, see if you can hold on.

[Tutisun1]

I recommend that you also mark the false breaks. They are the jewel of many PA setups.

[torosesost]

In fact, I'm starting to label the fakeouts inside the caps.

[tuavuvaocaSaguca]

Fakeouts are pure gold, but they need experience to differentiate the good from the deceptive.

[TestxudovuTk]

I combine them with divergences of volume, that filters me many traps.

[gostorru]

Do you plan to develop a complete system based on these caps or is it just an observation exercise?

[torosesost]

For now it is observation. If I find statistical consistency, I will integrate it as part of my trading strategy.

[Oxoborresy1]

Excellent approach. First understand the market and then think about strategies. Many make the reverse path.

[urakaxn85]

When you have your setup tuned in, share some real-time operation. That's what it's worth.

[SuSvusunaxs]

If you get to 200 charts analyzed and you're still convinced, I'm about to test your system myself.

[HocTkrSoT]

I don't understand why so much roll. PA is following the structure and ready. Caps are just ornaments.

[torosesost]

For me caps are a concrete way to visualize supply and demand.

[jrutt59]

It's a good filter, but it's not infallible.

[Gesrnesch]

Are you scoring the number of times the price respects the caps before you invalidate them?

[torosesost]

Yes. In fact I keep a record with: number of touches, depth of penetration and back reaction.

[EsnnesTwbSes]

When you have enough data, you'll see patterns that few see.

[RacuaGakzesSwz16]

In the end, you're going to create a statistical indicator of your own.

[esndray10]

Wouldn't it be more efficient to use AI to scan the graphics?

[torosesost]

Now I want to develop my judgment before automating the analysis.

[biccusC]

Learning to read the market manually will give you a brutal advantage when you use automatic tools later.

[ToSikaaxn]

Have you thought about linking caps to fundamental news?

[torosesost]

Not yet. I�m filtering high-impact events for now, but it�s an interesting topic for the next level.

[desSTkn82]

Don't get distracted by so much data. First solid structure with PA, then adds complexity.