Well, there is a line based on comparing that first TD ABCD to the standard one that followed, but that's not the main thing here. I'll use a pattern for entry if I already have a premise, without any lines. The reason is, the pattern becomes an entry technique, and hence it doesn't need a line. Other than TL violation entry techniques (and that's a totally differnet use of lines anyway) entry techniques rarely have lines. The premise was established way before this action shown here, especially when it popped over my critical daily line and closed on the high.
Recall what I said on Friday "Well, the Russell is finally at that big, key daily upper //, and it sure looks strong. I guess that's good since no one is prepared for down, but looking at the other indices, it will take a bit before I would bet against this on anything but the lowest timeframes. I'm having a hard time conceiving anything but up, up, and more up, until some catastrophic news hits. The bullishness is so thick you could cut it with a knife. When a market keeps rising on bad news, that tells me something." China dropped around 10% in the 'big' correction, and now is up almost 30% since then, and up about 100% in about five months.
The markets are MONSTER. There is only one side now, and it is ballistically UP. That will change, and it will shock everyone, but right now there are 100% buyers and 0% sellers. When this starts to explode in the pre-market, after Friday's action, my premise is long at almost all costs. Just please give me anything to work with. Premise is clear, only an entry trigger is needed. Those pre-market ABCD's were all I need for entry. Then I watch that last sliding // I had on the daily, which was long gone before the open, and it's just clear sailing until the close.
Ok, understood. Thanks Jim!
Friday set it up for a gap opening, so that tells me I must be up and ready way before the open, or I may get nothing. At least you east coast guys don't have to be ready and fully alert, capable of making great decisions, at about 4:30 AM, like we do out here...
That is true...or you have the option to not go to sleep at all, heh heh
The second ABCD that Duane pointed out on the Tick chart looks like it was the AB leg of an B=D ABCD, no?
Yes, there's a small ABCD in there.
M,J,
My trading day starts sometime after 2am East.time as I trade the FX markets in the overnight sessions and follow their progression almost round the clock. I always keep an eye on the GLOBEX US index futures while trading.If something significant happens overnight,I'd already be watching when it happens. I still continue trading/watching when the US exchanges open but by then I start to switch my focus to the US futures,equities markets...I stop my trading at 4:15pmET,I rest for 30min,do my after close chartwork analysis,etc, then return to my private life(with still an eye on the charts every 15min,lol).At 8pm ,I go to bed until 2amET again..repeat cycle...I even trade the Sunday evening sessions...ok I love trading,I put up monstruous hours,yet I actually only execute few trades here and there(I used to overtrade at a frenzied pace but with dissapointing results).Now I do a lot of watching waiting around,many missed trades too but my goal is to catch the monster probability setups with consistency.So far so good...I also manage various other businesses during the day that require me to be away from the screens so I am not trading with the 15hours schedule everyday though...I wonder how long Im gonna last.
T
Holy Sh#!t. Those are indeed monstrous hours. I used to trade the Forex markets, but apart from the market itself I couldn't handle the hours.
You need to live in Europe to trade FX at a decent time...
Hats off to you for being so disciplined, T.
Did anyone notice the opening low was just about exactly a .382 of that old, unfilled gap below? Geo's middle of the gap, demonstrated once again.
thankyou duane i knew it was back there somewhere...
