I believe you correctly describe how one transitions to a new channel. However, rather than use the word 'adjust' to describe the process, let's simply create a new channel. I have drawn in the Parallel lines (Olive Colored Arrows) as you described above. See attached Chart Snippet. No need to continue the Blue Channels any further. The Olive Colored Channel now dominates. Good to see you coming through the fog. - Spydertrader <img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1300938>
I am a newbie and have a very very basic and fundamental questions: I read Spydertrader's method in Journal #1 and completed the creation of hotlist/final universe of stocks. - Does one perform an ascending or descending sort on % vol change after preparing the list from stocktables.com, which then get filtered into 0's, 1's and 7's. - Second, how does one plot MACD(5,13,6) and stochastic (14,1,3) on the chart. The charts I am using chooses a default (26,12,9) for MACD and Fast Stoch(14,3). What utility can I use to change this? - Third, the only stock that made the cut after I went through the process Spyder outlined was OMRI for 12/19 -- is this correct or am i doing something wrong?. Your inputs appreciated. Hope to absorb and execute on the wisdom on these pages, some day... Thanks.
Descending. You'll need to find a charting program which permits you to change the default settings for MACD and Stochastics. You might try Quotetracker. OMRI should have made the cut, so you correctly obtained that stock. Keep up the good work.
As I understand it, an uptrend has the 1 and 3 points under the data and an downtrend has the 1 and 3 points above the data. Is this correct or an error? REB
That was a very short stay in the Final universe for RBAK. Being acquired by Ericsson, so changes its characteristics.
Spyder, Regarding your last chart, why is the blue FBO not a blue FTT? I'm not clear on the difference between the two. Also, what is the real time trading rule for an FTT? Or is it more of a discretionary trade using PRV?
Thanks for the explanation, Spyder. Although "it" can still be kinda "dense" here at times (g!) I'm sensing something really "new" in my trading, and I feel like a giddy kid on XMAS morning. And with that thought in mind, pretty much winding up the year here, and would like to wish everyone who frequents a joyous Holiday season, and Health, Happiness, and PROSPERTIY throughout the coming year. Peace be upon us ...
This morning assuming you got long on the break of bar four's high how did you exit/reverse this trade please and why? tia