Hi Spyder, on your chart for friday I have a quesion about the beginning of the day. I see the day with a down tape, then up tape, then lateral movement and a down tape. At this point you have your three points and you draw in your green channel. What am I missing if I ask you: "Where are your two traverses to create that channel"? Thanks.
What I think when I see 'Pace Acceleration' is that I will see some kind of non-dominant movement right after. Pennant, lateral or retrace. In terms of Volume, what I am seeing after Pace Acceleration is either volume decline from the Pace Acceleration bar forward (marked with blue 3 in the attached), or another Pace Increase followed by volume decline (marked with green 1 and 2 in the attached).
Black arrows in the attached point to the instances I was referring to as "another Pace Increase after Pace Acceleration"
pace ... 1 bar ... relates to pace rays pace increase ... 2 bars ... 2nd_pace > 1st_pace pace acceleration ... 3 bars ... (3rd_pace-2nd_pace) > (2nd_pace-1st_pace) peak volume ... 3 bars ... pace acceleration w/ decreasing volatility of last bar
Perfect. Non-dominant movement follows dominant movement. Another segment of dominant movement would then complete a traverse, correct? Both descriptions represent volume declines - only the context is different. For now, stick with what you know represents Pace Acceleration, rather than, jump ahead to examples which may, or may not represent the current context under discussion. *** Now, what do you know (at the close of ) the 11:20 Bar? 1. The market has already created a Point Two on the current Traverse. 2. The market has chosen to create a volatility expansion - widening the current Traverse. 3. The market has created Pace Acceleration. 4. Pace 'step down' (or as you put it, declining Volume) always follows Pace Acceleration creating non-dominant Price Movement. What do you know develops after Pace Acceleration, and after the 'declining Volume' has completed for each occssion you know Pace Acceleration has shown itself on your chart? Your answer must work for all occurances of Pace Accleration irrespective of market day. Again, feel free to use Visual aids. - Spydertrader
Yes, it would. After Pace 'step down', the Volume, after reaching the lowest point, (hitting the bottom, if you will) will begin increasing again. Basically, from what I am seeing, volume will increase after reaching the lowest point during the Pace 'step down'. (Highlighted in green are areas where volume begins to increase after Pace 'step down')