Thanks txuk for pointing this out - I've been concentrating so much on the 5 min, even such a simple thought as checking some higher fractals can get lost in the fray. Having software that would accurately transpose the lines from the higher fractals would be nice too :eek:
Spyder, it means that beginners should trade only first dominant traverse of the channel and ignore others, right?
No. It means Beginners look for FTT's, and then, Beginners follow the Rules Outlines previously. - Spydertrader
ok. I have read and re-read this thread many times and really confused especially after your answer. I think I am too stupid to understand you but nevertheless thanks.
Maybe this will help. An FBO in one channel (at the same point in time) could also be an FTT in another (and opposite) channel. Follow the FTT's. - Spydertrader
there is no permutation, if channel slant up the sequence is B2R, B2R..until R2R, if channel slant down the sequence is R2B, R2B..until B2B, channel and sequence verify each other.
it is true and clear but my Q was about another thing. Suppose we get FTT (call it FTT_1) and then BO. Between the next FTT (call it FTT_2) there can be numerous traverses, dominant and non-dominant. What should beginner do when he see non-dominant traverse? Exit or hold?
Well, I thought you were referring to the FBO in my statement you previously quoted. Now, I am not sure of what question you mean to ask. However, if your question means, "What do we do after we get a BO?" (meaning how long do we hold), then my answer is this. After a BO, a trader holds until the next FTT where we begin the process again. - Spydertrader
Rustrader - you perhaps are trying to read too much into this aspect of the methods. Snipped from Spyder's post on pg. 1 : Once you locate an FTT and begin to follow price from that location, look for three possible âEnd Effectsâ and take appropriate action. 1. Another FTT (Reverse) 2. An FBO (Exit) 3. A BO (Hold) So you've spotted your FTT, and have entered the trade (hypothetically at this juncture) opposite this previous dominant traverse which has terminated at the FTT. Our best case scenario would then be to see price retreat back to the right trend line of this dominant channel and exit the trade, if price seems to stall. A price pause here would lead us to believe we are seeing a FBO, and per the rules, would dictate the exit. Naturally, if price just barrels through the rtl, we would stay in the trade (hold) until we suspected a new FTT within our currently annotated channel, which hopefully has been provided with a new 1-2-3 formation. Then as stated, once we suspect a FTT appearing in this channel, we would exit w/ nice profits. Third possibility - we have entered off the original FTT and drawn our new 'tape' projections. Subsequently, price then fails to reach the left side of this tape, and reverses against our position - if it continues against us, we can now believe we have witnessed a FTT within this tape, and we again exit, per the rules. Try spotting apparent FTT locations on your previously annotated charts (or use Spyder's posted daily summary charts), and consider what each of these three scenarios will look like. The next trade will once again begin with a new FTT (as a beginner, it might help to focus on the current DOMINANT channel, and just look for FTT's within it; further, always be on the lookout for the maximum volume spikes, as they often precipitate the FTT) Sure hope this doesn't just confuse you more. I simply commiserate with the feelings of bewilderment, and as I find myself in basically the same situation, thought I could possibly help out. Best of luck ...