Bride of If You Can Draw A Straight Line

Discussion in 'Journals' started by dbphoenix, Oct 28, 2013.

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  1. dbphoenix

    dbphoenix

    Technically, this belongs in the Ghost thread, but given the subject of the conversation here, I'm posting it here instead.

    This is mostly something to think about. I was doodling this morning trying to place the action in context, and I found that if I treated that one bar last October as an outlier, then the channel became nice and tidy. If I included it, everything shifted downward, and the channel didn't even follow the trend any longer. I wondered if this might be a rationalization, but then price bounced right off this line this morning, so it appears that this was the correct thing to do.

    FWIW:

    [​IMG]
     
    #881     Jan 29, 2014
  2. fortydraws

    fortydraws

    Hi DbPhoenix,

    I did not hold through the pullback. I posted that trade as I was getting stopped out - I bought 63.50 around 9:37/38 and sold at 78.25 around 9:48/9. I am not at my trading computer (I bought myself a fancy computer that is just for trading - call me spoiled), so I can't check for sure, but I do not think we saw 57 trade during the pullback from 84, did we?
     
    #882     Jan 29, 2014
  3. dbphoenix

    dbphoenix

    Sorry, it should be 67, and it's too late to change it. Thanks for catching it.
     
    #883     Jan 29, 2014
  4. Huyang

    Huyang

    Fortydraws: Thanks a lot for your sharing. Very helpful!
     
    #884     Jan 29, 2014
  5. Huyang

    Huyang

    DB:
    I didnot buy the reversal but BO. 9:47:54 @83 and hold the deep PB (one time adverse move), then exit 8:15:05 @ 83.25. Very stressful to hold through deep PB. Only pain, no gain.
     
    #885     Jan 29, 2014
  6. dbphoenix

    dbphoenix

    And here we are at the midpoint of the upmove from 3460 to 3495.

    It's tempting to ascribe all of this to geometry since it's so regular. One can then draw all sorts of lines and patterns and dodecahedrons and bunnies and so forth. But it makes more sense to ascribe it to AMT and mean reversion. This is the level that we keep coming back to, after all.

    And I changed the 57 to 67.
     
    #886     Jan 29, 2014
  7. dbphoenix

    dbphoenix

    And we form a hinge.

    Gee, who'd a thunk it?
     
    #887     Jan 29, 2014
  8. dbphoenix

    dbphoenix

    Third time's the charm. Watch for a reversal op as we approach the day's low. If that doesn't hold, hang on.
     
    #888     Jan 29, 2014
  9. dbphoenix

    dbphoenix

    So. Up 17pts in 9m. Your vocabulary words for today are Mean Reversion.
     
    #889     Jan 29, 2014
  10. dbphoenix

    dbphoenix

    Now 22pts.
     
    #890     Jan 29, 2014
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