https://elitetrader.com/et/threads/charts-for-no-reason.344272/page-22#post-5585199 I like listening to Al Brooks clips. He makes good points along the way... like this one that is illustrated in the chart linked above. cued.... Al Brooks double top journal ... Webster - thorough ; marked by full detail; b · careful about detail : painstaking; c · complete in all respects DP Double Top Pullback or Double Bottom Pull Back DT Double Top, or two consecutive bars with identical highs DTBF Double Top Bear Flag, so when bear sell signal bar, there is a 40% chance of a breakout below the recent swing low, which is the neck line of the double top, and a measured move down. DTBRF Double Top Bear Flag, so when bear sell signal bar, there is a 40% chance of a breakout below the recent swing low, which is the neck line of the double top, and a measured move down. DTHH Double Top Higher High is a double top where the 2nd top is higher DTLH Double Top Lower High is a double top where the 2nd top is lower DTMTR Double Top Major Trend Reversal DTPB Double Top Pullback means there is a reversal down from a double top and the bears will sell below the pullback bar, especially if it closes near its low HHDT Higher High Double Top is a double top where the 2nd high is higher L2 Two legged PullBack in a bear move, but it can also be a 2nd reversal down from a rally, so variation of a double top LHDT Lower High Double Top is a double top where the 2nd top is lower MDT Micro Double Top NDT Nested Double Top TRO Trading Range Open means 2 or more reversals in 1st hour. Usually mostly a limit order market and Breakout Mode. The bulls will look for a double bottom or wedge bottom and then a swing up. The bears want a double top or wedge top and then a swing down. VT V Top which means a strong reversal down from a buy climax without first forming some kind of a double top BGD Big Gap Down so 80% chance of at least one reversal in first hour. The bears want a double top or wedge top on a pullback to near the EMA. The bulls want a double bottom or wedge bottom for an early low of the day. BGU Big Gap Up so 80% chance of at least one reversal in the first hour. The bulls want a double bottom or wedge bottom on a pullback to near the EMA. The bears want a double top or wedge top for an early high of the https://www.brookspriceaction.com/acronyms.php
If Brooks told us exactly how he came up with these phantom statistics 40%, 60%, I'd be inclined to trust what he says more.
So Al Brooks's method was to baffle everyone with his bullshit by labeling every pattern he saw with an acronym, and to label every pattern, whether or not it is a pattern. DTMTR? REALLY? ROFLMAO
I watched a few of Al’s YouTube clips. If it ever worked at that time it probably won’t work anymore. PA changes all the time as market gets more and more efficient though it’s still useful to watch his teaching.
https://www.brookspriceaction.com/acronyms.php That page has 1065 abbreviations so far. They range from one through nine characters. His next book could be kept to a few pages if he only used the abbreviations.
Dr. Al's cool. I'd like to see his example charts to illustrate the variety of DT descriptions. Then ya got these... 99BL 99.5% chance of at least 3 bars with low at least 1 tick below Moving Average at some point today, and then usually soon afterwards get buy signal and new high of day. "Hey Marge, we got a 99BL in store Babe? I'm rubbing my hands together over here. Gonna buy a Boat! They got cliff's notes versions of his books?
How can you not like AL? Kinda fun just by marking up a chart from his cheat sheet. Look at all his observations on the double. DP Double Top Pullback or Double Bottom Pull Back DT Double Top, or two consecutive bars with identical highs DTBF Double Top Bear Flag, so when bear sell signal bar, there is a 40% chance of a breakout below the recent swing low, which is the neck line of the double top, and a measured move down. DTBRF Double Top Bear Flag, so when bear sell signal bar, there is a 40% chance of a breakout below the recent swing low, which is the neck line of the double top, and a measured move down. DTHH Double Top Higher High is a double top where the 2nd top is higher DTLH Double Top Lower High is a double top where the 2nd top is lower DTMTR Double Top Major Trend Reversal DTPB Double Top Pullback means there is a reversal down from a double top and the bears will sell below the pullback bar, especially if it closes near its low HHDT Higher High Double Top is a double top where the 2nd high is higher L2 Two legged PullBack in a bear move, but it can also be a 2nd reversal down from a rally, so variation of a double top LHDT Lower High Double Top is a double top where the 2nd top is lower MDT Micro Double Top NDT Nested Double Top TRO Trading Range Open means 2 or more reversals in 1st hour. Usually mostly a limit order market and Breakout Mode. The bulls will look for a double bottom or wedge bottom and then a swing up. The bears want a double top or wedge top and then a swing down. VT V Top which means a strong reversal down from a buy climax without first forming some kind of a double top BGD Big Gap Down so 80% chance of at least one reversal in first hour. The bears want a double top or wedge top on a pullback to near the EMA. The bulls want a double bottom or wedge bottom for an early low of the day. BGU Big Gap Up so 80% chance of at least one reversal in the first hour. The bulls want a double bottom or wedge bottom on a pullback to near the EMA. The bears want a double top or wedge top for an early high of the https://www.brookspriceaction.com/acronyms.php
Similarly, trading is also about pattern recognition. Unfortunately, stock market pattern changes all the time and that’s why trading is even tougher than being a doctor.