all Indexes in channel at 12:20pm 10/22...what will break them out?

Discussion in 'Trading' started by increasenow, Oct 22, 2008.

  1. for what, a buy signal?...hmmm
     
    #11     Oct 22, 2008
  2. There is no need to predict, just as there is no need to catch absolute extremes otherwise known as the best fills.

    Think like a predator, he does not try to kill every potential prey, instead the predator patiently waits for a clear low risk high probability signal and long and behold, reacts!

    TV
     
    #12     Oct 22, 2008
  3. No, just to short today, as the market hacked up 5%. I guess you must not have noticed.
     
    #13     Oct 22, 2008
  4. For those who have studied patterns, a good rule of thumb is check where price is relative to the open. If the channel has been forming most of the day 'below' the open, especially on a gap down, then the likelihood (substitute w/probability, chances, etc.) of it breaking down are much higher.

    A 'W' pattern with an upward reversal of a tight channel is a rare pattern and usually shows up when establishing bottoms. We're not even close to a bottom on this thing. I'm sticking to 5500-6000 on the Dow. See you then.
     
    #14     Oct 22, 2008