Then I would venture to guess that a leather chair that's been in the air conditioning all night is rather interesting to sit on first thing in the morning.:eek:
You can see "LPS" labeled on the right of the chart. this is an example , Usually a break above a level then return to level where resistance then becomes support is a nice setup for me personally. As far as bullish hammer pre conditions. I follow some strict rules, Here's a little bit to show you how detailed of a practice hammer trading really is for me personally. On top of these rules there are more that are left out this is only a piece of the whole puzzle in my hammer trading. Reversal Signal * Body should be Greater than Upper Shadow * Low of white hammer Less than lows of the prior 3 bars. * Long Lower Shadow Greater than length of the lower shadows of prior 3 bars. * Long Lower Shadow Greater than bodies of 3 prior intervals * IF 3 prior consecutive red bars then, Close of the Hammer Greater than Open of the prior bar * If one of previous 3 candles is a Red WRB then the Lower shadow of the hammer must be longer than the bodies of the 3 candles prior to the WRB Continuation Signal: * Must be 3 candles between most recent green WRB and White Hammer. * 3 previous bars must have @ least one Dark Low Above the Open of the Hammer. * IF 3 prior consecutive red bars , then Close of Hammer must be Above Open of most recent dark line Maybe my detailed rules for hammers don't really add any value to the "simplicity in TA" topic but generally the info provided in the long tails tells you a lot if you're looking for a more simple route.
Well folks I've done a lot more than I set out to do. My initial objective was to try to catch the top and look at the long term downside potential and that was it. However I couldn't resist posting obvious big signals when it was leading into a panic but it's a distraction from what I focus on so this might be my last post. Really it would just be more of the same and I hope you got the idea. Anyway I hope you have learned some things, perhaps been provoked to study areas you might not have considered and hopefully got some benefit out of my meanderings.
Looks like a symmetrical triangle... When it comes to the volume... I notice the last three selling days on 8/18, 8/19, and 8/25 had higher volume than the last 7 buying days. Seems bearish. However, the last 4 buying days (aug 22,23,24,26) are equal to or greater than the prior 3 (aug 12,15,17). So it doesn't seem like buyers are totally wimping out either. What do you guys think?