I thought I'd create a new topic and try something out and see if it seems beneficial to everyone. I'll try to post every day or so the times that setups completed that I thought were good based on the methodology. I will only do posts for times for 3-minute or higher timeframe setups. If the setup is on a 1-min or 2-min but could be used as an entry setup for a higher timeframe bias I may mention those, too.

The idea here is to point out the completion points for setups I thought were acceptable so everyone can make sure they see the setup, and go back and do the work, perhaps working through how they might have entered, managed, and so on. Mostly, though, it is to give everyone a chance to see the places I thought were the best setups on a given day based on my application of the methodology. Some will not have 'played out', but were still worth looking at.

One more point. These are not necessarily going to be areas I traded off of, they are going to be areas I thought were good enough to be looking at. I am not implying I traded them. I may have, or may not have, but that will be independent of whether I list them here. I want to give everyone a chance to 'start to see' the areas I think are the ones that best fit the methodology.

Most of these will be ABCD's, even though I will sometimes find areas that have enough for me to consider them without the ABCD. As I generally say to my students 'The ABCD is the 'hub of the wheel', the center point of where I start.' I suggest until one has the methodology down cold, start everything with the ABCD. I may, though, throw in a few setup times where other factors contribute to the area (like POC, pivots, GLOBEX points, and so on) such that some of the usual KT factors may be less.

As you will soon see, the posts will be in a format something like this, of course subject to any improvements I discover as I try this:

March XX, 2009

10:34 AM EXP ABCD, 3-min

Any thoughts or suggestions welcome.

Okay, trying M's suggestion.

4/16/09

10:00 Possible S: 3-drives into area.

10:31-32 S: Flat 3-min ABCD, perfect upper //.

10:55-56 L: ABCD, with ABCD in BC leg, 1.272 finishing move into area, perfect set line lower //, daily pivot, spike line.

12:26-27 L: 3-min EXP ABCD, .382, same lower // from above, another set lower //, TL. 12:41-42 retest shouldn't have shaken anyone out.

13:54 L: Pattern, 1.618 price projection, .486, outer division line from one, set, warning line from other set, ML from another set, lower // from 'standard' set, and on and on.

15:40 Possible S: Main daily/weekly area coming in, 'price rejection' test of 3-drives high. Earlier sets ML and upper // there.

great, that's more than enough I think/hope.
That "pattern" at 13:54 looks like the new pattern. I'll call it the X-Pattern (X as in x-files).

how long did that take you?

Yeah, it is, but the more I point it out, the more people (yeah, right, who, all three or four readers in here?) will try to figure it out, and I really don't want it out there right now.

It took about ten minutes. Problem is, today was super-duper-easy as far as the methodology. We'll see on other days. It's this, or nothing, though.

M format, again.

4/17/09

Super straight forward KT day again.

10:37 L: .886 ABCD with ABCD in BC leg, 1.272 BC, .300, .447, .564, daily pivot (again), lower //, dead exact GLOBEX TL, standard TL, spike line, and more...

11:21 L: ABCD 'retest' and 5-point pattern 'wave 2', lower // and lines again. In case one missed the last setup.

12:35-41 L: 'Wave 4' ABCD (DT joined with a 1.128 standard), .447, lower //, ML on another set. In case for some reason one hasn't stayed with the first setup.

14:39-40 Hit the start of the daily/weekly short area. See daily notes for my thoughts on the short side here.

14:57 Moved too much for new longs, in my opinion, but this pseudo-EXP ABCD here (see daily notes) at .382, 1.272, ML, retest of GLOBEX high from above, and so on, was a good-looking setup. This area was important in the 'context' of the short area mentioned above, especially to watch the price action.

Jim, thank you for continuing the recaps. Your level of skill is very impressive.

re: Initial Balance periods
Some now use the first 90min of rth session.

Initial Balance
– Daily Chart = First 60 minutes
– Weekly Chart = First 2 Days
– Monthly Chart = First 2 Weeks
– Quarterly Chart = First Month
– Yearly Chart = First 2 Months
Stocks – MP year = Calendar Basis
Commodities – MP year = Crop dependent (Old/New)
Bonds the exception – MP year = starting of the year in feb to feb : Feb/May/Aug/Nov Quartile

So how to measure?
Normal Variation Day = look to double (100% expansion) and sometimes treble the IB
Neutral Day = look for the symmetry of rotation from one side of IB to the other side
Same for weekly, monthly...

source: P.Steidlmayer, A.Benjamin

Thanks JIm. Those after the fact setups and daily comments in the "chat room" with M are great. I just start to see more light. :)

For others .. there is no real chat room .. we just called todays daily discussion this way as M and Jim tried to write faster than others can say "bear rally" :)

Thanks again Jim and M.

quote:

---

Originally posted by BBJ

Jim, thank you for continuing the recaps. Your level of skill is very impressive.

re: Initial Balance periods
Some now use the first 90min of rth session.

Initial Balance
– Daily Chart = First 60 minutes
– Weekly Chart = First 2 Days
– Monthly Chart = First 2 Weeks
– Quarterly Chart = First Month
– Yearly Chart = First 2 Months
Stocks – MP year = Calendar Basis
Commodities – MP year = Crop dependent (Old/New)
Bonds the exception – MP year = starting of the year in feb to feb : Feb/May/Aug/Nov Quartile

So how to measure?
Normal Variation Day = look to double (100% expansion) and sometimes treble the IB
Neutral Day = look for the symmetry of rotation from one side of IB to the other side
Same for weekly, monthly...

source: P.Steidlmayer, A.Benjamin

---

BBJ, thanks for that excellent recap. I know many are experimenting with 90-min and other IB variations. I think you follow Ray Barros if I recall correctly, so you know what he is doing. For me, I am just using this in a simple manner, I use the first 60-min RTH bar, and I plot the 50% and 100% IB extension, and see if those fit into my plan at all, my areas. I find they frequently do. As what you posted to alluded to, there are several patterns that tend to form. I don't want to get into them here, because I'd rather show what I take from it in the one-on-one with proper 'context', but I find on days that don't have a wide ranging IB bar, the market usually gets to between the 50% and 100% IB extension. I have found days that stay within the IB quite uncommon. If the area of the 50% to 100% is a key area for my work I frequently see it swing to the other 50% to 100% IB area. Days that are not narrow IB days and trend strongly to and then above or below the 100% extension tend to keep going, in my experience. But my main use is when the 50% or 100%, like VAL, POC, VAH, daily pivot, GLOBEX highs and lows, and so on, if it hits into a key area, it can be a solid additional supporting factor for me.

Jim, I agree with your observations.
Good idea to watch these concepts since I think many pro's use these.

BBJ, if you have any other observations about IB, especially (but not limited to) if they relate to the use with KT methodology, please post them.

Jim, whatever you put down in this forum is of value. I don't have the time to interact as much as I used to right now, but I do read everything and it's much appreciated.