That's a fair point, but does sentiment come before trend (or price), or does trend come before sentiment? I would think it's the latter, since I've yet to meet anyone who formed a positive sentiment in a full-fledged bear market. So I believe price leads market sentiment and thus everything is already baked into price. As for opposite trends in different time frames, they will eventually line up if you wait long enough. After all, a longer time frame is nothing but a collection of shorter TFs. But going back to your original remark, aren't you curious why the market didn't sell off when the Fed raised the interest rates twice in the last two months but decided to selloff yesterday? It's because it came up to the major trendline and, no, this isn't some conspiracy laced coincidence. I'm pretty sure if the trendline was farther up, the market would have come up with some creative BS to resist a selloff until it reached that price level. That's why I don't believe financial pundits. What ultimately plays out in the end is not what they say, but how the chart lines up with important price markers like support/resistance or trendlines (as you can see below).
So getting back to your post which depicted a rising trend line, is this what you expect to be most likely outcome? I do see 3,505 SPX before ATH reached. That’s based on horizontal trajectory rather than diagonal, not that I put any less meaning into horizontal, I guess as another poster wrote, confluence of signals adds value. For example your declining trend line also had confluence with weekly 50 moving average and previous monthly hi which was breached, nothing major in percentage though so wasn’t a breakthrough.
Who taught you to draw lines and what are the rules? I assume we're talking about angled lines, i.e., trend lines. I agree that it's possible to use rules to make sure they're drawn the same way all the time. Victor Sperandeo had a rule to adress this. However, I'm not sure I'd agree with his rules. I know some say you shouldn't include the wicks when drawing a trend line and this would create a vastly different trend line than if you were to include the wick. Some other guy I respect says that when he draws a trend line he wants to connect as many points/touches as possible and will not include the wicks. He also draws them from right to left and not left to right. So, I definitely think that trend lines are subjective in that if you have a chart you will probably have a multitude of interpretations if several people were to annotate it. However, everyone would have the same definition of what yesterday's high/low would be. With trend lines there does not seem to be a universal agreed upon rule for drawing them. As an example, I would not draw in the line Schizo had on his monthly chart.
This seemed intriguing and promising until I opened the chart. There's so many lines on this chart that price is bound to hit one even randomly. Like the background of my chart that have horizontal lines evenly spaced out.
From the L Chan’s blog “Powell did not disappoint and gave a clear picture of what the Fed plans to do with interest rate and warned the public that some pain is expected. That clear message should never be needed if S&P just drop to 3400. As I explained last week, the aggregated effect of all past interest policies can be simplified to the relative price level of S&P500 because wealth effect is very real in affecting the spending habits of the top 20% of those who own equities. A good presentation video made from a discussion of the Blackrock paper by Lyn Alden. The issue is that there is no way out at this point with so many governments having a debt level well beyond bankruptcy. Maybe it is why they all push for wars everywhere so that the debts can be wiped out. A balanced video on a special development happening in Ukraine by Kim Iverson. I don’t care what your stand is for the Russia-Ukraine conflict. MSM are not doing their jobs when all they are doing in the past few years is misleading the public and lied 100% of the time. On the lighter side, a serious discussion about men taking more Viagra then ever. I am way behind with my email correspondence over the past few weeks due to heavy schedule of meetings and catch up with various projects. I will be working on my responses this week. Have a great weekend all!”
LOL. That's because you don't know what you are looking at! And how it's used. LOL! First off, I clearly stated it is a reference chart. More importantly *I* made no mention of "lines", only labels! Lastly, you don't know what a NPOC is and what causes it to no longer be a "N" POC... To be fair, SierraChart removes the label, but only ends the line in it's track. Unfortunately. Good luck with your SR, pivot points, range boundaries, and all the other Hz line stuff conventional wisdom tells you you need or you will surely lose!
Lol. The ego is strong in this thread. FYI more than one way to make money on markets. What might look like sorcery or witchcraft to one trader might be a license to print money for another.
You explicitly said it was NPOC from three timeframes (30-minute, daily and weekly) on a reference chart. I assume that by NPOC you mean a naked point of control? What did I miss? I'm just questioning the value when your chart is littered with lines/labels. Thank you.