So it looks like we breached the Feb. lows on both DOW and S&P

Discussion in 'Trading' started by Saltynuts, Mar 23, 2018.

  1. Thanks SunTrader. Going to have to read up on EW so I can fully understand. Question - are the supply areas you noted with the black horizontal lines part of the theory, or you just came up with that on your own? If the latter, how did you determine them? Thanks!
     
    #21     Mar 27, 2018
  2. SunTrader

    SunTrader

    It's something I came across years ago. Trending bars (candle body is at least greater than 50% of the total candle length) with the opening price being key for future support/resistance - or in the case of a gap the prior close. Which actually in this new pic I adjusted the support lines to the close, rather than open, because of the gaps which I hadn't noticed duh when I posted the previous screen shot.

    Green boxes are congestion, red boxes breakaway. Google Sam Seiden for how he defines support/resistance zones which is similar to what I look for.

    HTH
    SPX CBR.png
     
    #22     Mar 27, 2018
  3. The bear market of 2018 has began....said me.
     
    #23     Mar 27, 2018