I'm into anything that offers low risk and good reward, preferably with good accuracy. Sounds like a joke but that's what I'm really after when trading. As far as time frames, I prefer volume based bars but tick charts will do as long as they are not ultra small. Thank you. Anek
I just thought you prefer buying higher (W at top) and selling lower (M at bottom), rather than buying low (W at bottom) and selling high (M at top).
Waiting for confirmations tend to give you worse fills, that is correct, but you more than make up for it with a higher accuracy rate. Wish I could have it all but have not found that one yet Anek
Here is a hypothetically annotated chart of ER2 from today, whether it is a W or a M pattern can be established with a help of the histogram. <img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1627626>
TY! I made one also Even though 2 different time frames/types have been used in both charts histogram points to where either Longs might be locking in/bears trying to take charge or Shorts might be locking in/bulls trying to take charge. There is a lot of emotion present in short term trading, not willing to give back profits when a potential turn is upon us.
Have you considered crude long trade for tomorrow? What do you dislike about it? I think it pretty much suits your requirements apart from price not closing above rectangular resistance zone, for me it's a tad too late now for entry, unless it re-tests either 20 average or current lows and by doing so creating a divergence on something like a 2-4 hour charts, haven't checked yet.
Anek- mind throwing in your .02 HK$ on this (on topic, different market).. i imagine you'd wait for a level of confirmation on any reversal- something that can mean missing 10% in the HSI (Hang Seng). if you look at the HSI: http://stockcharts.com/h-sc/ui?s=$HSI&p=D&b=5&g=0&id=p81828517695 it's probably one of the better short term overbought setup's i've ever seen. 19.386 to 28,900 (high so far today) since mid august bottom. today, opened down then it ran up 950 points on a rope, but has now given back 400 of that move into the lunch break. to me, a break back below where it bounced before lunch and then failure to break back above should lead to a negative close, which would point to a change in trend. your thoughts...
J, I don't watch oil, just eminis. G, Oh man, that is one sweet double bottom, and the second support touch with a hammer. Those plays are solid as a rock (multiple confirmation) Well, it exploded to the upside, as expected. I would examine the 50-62.8 fib levels and base it on that since the previous support/swing is just way down there. You could also try a conservative trendline. Anek