The Trouble With Scribbles

Discussion in 'Technical Analysis' started by Buy1Sell2, Mar 30, 2015.

  1. 4418.5 was the overnight high
    And the was a seperate range developing prior to the open with an upper limit of 4415 ish
     
    #391     Apr 13, 2015
  2. dbphoenix

    dbphoenix

    The ONH isn't necessarily relevant. You're looking for the range immediately before the open. This is where traders have found equilibrium (if you're not clear on what that is, Ctrl+F Wyckoff's course and the pdf). The disturbance of that equilibrium is where the opportunities lie.

    The "ish" part of 4415ish is correct. You're not going to get a rigid line. Trades are going to bounce around a bit, in this case, from 14.25 to 14.75. At 0814, traders make a serious effort to get past all this. They get as far as 16.25 and fail. This does not mean that the upper limit is raised to 16.25; it means that the importance of the lower one is confirmed: this is the level beyond which traders can't/won't get.

    When is the next attempt to get past 14.75?
     
    #392     Apr 13, 2015
  3. About 0908
     
    #393     Apr 13, 2015
  4. dbphoenix

    dbphoenix

    Actually 0905. And how many ticks above 14.75 does price rise?
     
    #394     Apr 13, 2015
  5. 3 ticks
     
    #395     Apr 13, 2015
  6. dbphoenix

    dbphoenix

    And if you were to enter at 15.50, what is the recoil? How far does price come back at you after the order is filled (assuming it's filled at 15.50)?
     
    #396     Apr 13, 2015
  7. 4 ticks
     
    #397     Apr 13, 2015
  8. dbphoenix

    dbphoenix

    And at what price does the NQ leave your entry and never look back?
     
    #398     Apr 13, 2015
  9. 4416
     
    #399     Apr 13, 2015
  10. dbphoenix

    dbphoenix

    And there's your thesis: establish the upper limit of the range, enter three ticks above it and expect no more than a 4t recoil.

    What type of order entry would you use, market or buystoplimit?
     
    #400     Apr 13, 2015