I would suggest that instead of assuming that every point between two swing zones is chop, you pay attention to the quality of movement between those zones. Do you see a marked difference in compression between the 2nd and 3rd short? What about the context? The second short is triggered as the Reversal of the bigger down move from 3348 fails. It's an opp to join the weakness at a low price risk point. But what is the 3rd short betting on? There is tested R above and tested S below. So why short?
There were a lot of lines today but depending on your method there were some trades today and the lines kept you on the right side of the trend even though most were short lived!
I am in the process of adding context, I restarted the whole thing (Currently focusing on lines and RETs) in order to find out what was I missing, thanks for your comments they will be taken into account. Regarding your question the second short was pointed out because the line was broken and there was a RET. Now as you point out, there is compression, that was not the case in the second short, and one could argue the third short was taken within the context of a hinge, not a very good idea.
Looks good from here, you should also think about tightening your lines when price movement turns parabolic, or else your line will be broken after the RET.
I am trying to follow this exercise and trying to come up with THE ONLY LINE that matters. So far buyers lost control of the market at 60, then failed to go above the LSH, therefore weakness is the thing to look for. That was confirmed during this hour as sellers broke through the LSL. At the time of the post we are at 43, and sellers stopped putting pressure on the market above 41 which is the 50% level of the upswing from yesterday´s low. Therefore that is what I will focus on during the next hour, will buyers be able to hold prices above 40 or will sellers be able to break through it. Comments are not only welcomed but needed.
The mean of the range from 77 to 22 is 50. This daily supply line intersects here as well. I've been getting a lot of questions about the relevance of the daily and hourly. This is a good example. If one is looking for a retracement to short on the daily, this could well be it. We'll see how the day goes. Somebody trading the hourly would already be short.
Spot on at 50, but why was this the most important level? Because of the intersection with the daily?
For the reasons I stated. Plus it was tested for four hours last night. P.S. Does that count as a "real-time" call?