Nicely done annotating that Lateral Point Three. If you held through the non-dominant FBO Bar, the market rewarded you quite handsomely. - Spydertrader
Thank you Spyder (and Romanus) for providing me with a great mound of good stuff to work through and neatly place in my third, 4 inch, 3-ring binder (what a dorque). When I returned to the thread in mid-July, I incorrectly thought that a 1 incher would suffice. Wrong!!. So back to the cave for a while but before going let me explain and give an answer to your statement Spyder which queried my statement of last PM: 09-29-08 12:20 AM Quote from ljyoung: 1. You appear to be saying that the two bar BO of the FBP is entirely sufficient to validate the 'exclamation point' point 3 in my snippet in such a way as to finally complete the 1,2,3 TRAVERSE sequence which began on 9-23-08 and the fact that this occurred INSIDE a LM is NOT of consequence. Correct? -------------------------------------------------------------------------------- ST: I do not understand why you keep referring to the 'traverse sequence which began on 9-23-2008' when the traverses all begin on 9-24-2008. See Attached. Perhaps I am carrying things too far (when has that ever happened before?) but what I'm thinking about is your statement here: http://www.elitetrader.com/vb/showthread.php?s=&threadid=113310&perpage=6&pagenumber=1308 "Before Bar One ever opens, the trader reviews the latter part of the previous day in an effort to complete a 'Pre-Flight' Check. What do we know about the end of the previous trading day? We can 'see' a Down Traverse completed, and followed by, a Lateral - which ends the day. What must come next to complete the sequence? The market has moved dominant, then non-dominant, leaving only another dominant piece of the puzzle. Before we can begin to form this final piece, we need to make sure the market has finished moving in the non-dominant direction." What I meant was that at the end of the day on 9-23-08 we were left with a completed down traverse (red dominant) and an incomplete lateral traverse (black non-dominant). As you said, we were thus presented with the task of determining,on 9-24-08, when the lateral traverse was done and when the final down traverse (red dominant) began. That's all. If I have applied nomenclature incorrectly, please correct. TIA lj
A Traverse (down) followed by a Lateral Traverse while awaiting the completion of another Traverse (down) represents a channel (down) sequence (and an incomplete one at that). Vocabulary issue. Nothing More. No worries. - Spydertrader
Hi Romanus, I would like to express my appreciation for your contribution to this thread. I am attaching Spyder's chart of 20080923, of which he said if one studies only this chart one can learn much. (No doubt you have studied it!) The first observation is the blue point 3 at 10:15. All closes are within the shadow of the 9:50. (Don't know why no lateral annotated), but the point 3 is there. The second, is is the pink down traverse from 10:35 to 11:10. Again point 3 is annotated, but no increasing volume outside the lateral. I'm trying to reconcile these annotations with this statement of Spydertrader to dkm "Ask yourself, "How does increasing black Volume form in what you believe to be a Point Three Up Traverse?" Check each bar and 'see' what causes the Increasing Black. Breakouts of formations do not a trend make." The only thing I am coming up with is that dominance was already established form point 1 to point 2, i.e. the "trend" was already made before the point 3. Price then created the point 3, but volume did not confirm it subsequently. Regards.
Aye, Guava rules! When you have a chance - could you elaborate on "No SoC" mark pointing to 1135 eob. Thank you.
Sorry for not being clear, I meant the reasons why no permission exists to seek change at that point.