Why I always take 5 points on 1/2 ... and opening ranges like yesterday are why I will now sit and wait for something good. If this were twitter, I would #patience
I can't say for sure what is going to happen, but you should replay this sequence if possible 'cause my guess is it is showing down
Here is another example just like yesterday of how trends commonly end with laterals. I had two -8 tick losers earlier this morning, but my third trade of the day was successful. I decided to exit at 47 as it seemed to use up a lot of steam just to touch my existing trend-line, but there's a good chance I dumped the trade too soon. I was feeling a bit cautious though, and it's usually more pleasant to trade in harmony with my emotions. Might make another trade later in the day if I'm feeling really good about the context, but I'm done for now. Good luck to everyone else.
Hi Heroic, Is you downward TC drawn bottom up? Did you draw the lower channel before the upper channel? I am talking about the pink channel. Gringo
What you see is just me being lazy. I draw the RTL first 100% of the time. When the bounds of a channel I've drawn are slightly pushed, I expand my LTL slightly instead of leaving it overlapping bars. Sometimes, instead of disconnecting the LTL and creating another one as shown on the left, I just move the whole thing to the new location to save the trouble.
I was a bit surprised at just how far the up-trend went today after I hopped off, but it makes for a good short if you are patient enough for all the momentum to be expended. Picked this one up just now; days like these really hit the spot. 2/4 for today, but the winners gained more than 5x of what the losers cost.
TA sure sucks ... ... if you don't know what it is or what to do with it. But for the rest of us, we're just here to take the non-believers money
Hi Heroic, Could you elaborate further on what you have observed to enter the short? Sorry I couldn't see it on your chart (post #267). Edit: Thanks for your reply on post #270! Yup, I also don't wish to clutter fortydraws' thread unnecessarily, but was curious about your observations after viewing your chart.
I don't want to un-focus the thread with too much explanation of my personal methodologies, but essentially, I've found that all trends are composed of a certain chain of sequences. After these sequences complete, I start looking for signs of a change in sentiment. The up-trend had all of the components, and the subsequent pushes upward seemed to be weakening in strength. I just picked a low-risk spot to enter short, and held the short as the events I anticipate to occur to confirm growing strength to the short side began to occur. I didn't know that was the exact point of turn, but I was prepared to make a few tiny shorts around that area until it was clear that either the up-trend was continuing, we were beginning to drift aimlessly, or we did in fact drop a few points.