Triple bottoms are rare: its game over

'


.......very interesting --- so you trade 'against' (contrary to..) the patterns

and in this respect you are trading against other traders... not the mythical 'market'


ok - so clearly Im new at this

 

I didn't say there was no such thing, I said they are few and far between. If you play triple tops and bottoms you will do well if you are buying all tops and selling all bottoms.

 

He seems thoroughly and unequivocally confused.

 

Exactly.

 

because the triple top says ---- 'buying interest is exhausted so go short'

?

 

There are different time frames for these patterns. Obviously, in the short term, maybe a couple days, these long established support lines can support the market but the triple bottom pattern that was just made happened over 11 months. (from February 07) It is a pattern that will fail in my opinion over monthly time frames.

 

Different time frames. I was making an intraday call right there. I called a bottom when the S&P was trading around 1390, and it closed at 1409.

This triple bottom is dead call is over monthly time frames. I think we're head much lower from here over the course of the year.

 

if the patterns are fractal - wouldn't a pattern manifest itself on the longer time horizons as well as the shorter ones?


if they don't -- how would you know what time frame was appropriate for the pattern?

 

or should I say

'if the price action displays fractal tendancies'

 

If a pattern was established over several months, then you want to trade it on a monthly time frame.
If the pattern was established over several days, then you would want to trade it on a daily time frame.
This pattern has been established over several months. In my view, its a monthly time frame.