WoW just got weaned myself off of one of those Krazy forex forums. I feel a little dirty. Gotta get back to basics. Whew!!

Man I Love this pattern, so little risk, so much to gain. In the trade before everyone else. Thanks Jim. This is an interesting spot.

OK maybe we roll over like Jim said. Hey Jim, what kind of sets do you have on this chart?

Pardon my interruption. Here are some lines I would want on here.
Daily chart and then 240

Wow nice work M, you are making a great case for the Webinars, your charts are fantastic. Thanks for sharing them. They add new perspective.

Duane

Yeah, that's the kind of work I'd be showing. But, the interest isn't there, so unless a miracle happens, webinars are DOA. And so far, for a week live in person with Jim, during market hours, premarket hours, after market hours, GLOBEX, just non-stop until we drop, for the amazing price of: 'Free!', we have a total now of, drum roll again, please... One person. Thanks, Marco. So, like webinars, DOA...

I didn't show this but add a set with division lines and outer parallels from 2/9/09 high to 3/11/09 low anchored at 8/5/09 high.
Look how it tested the lower // from below.

so if I was in this trade the next critical spot from management perspective would be give or take circa 1.57 which is also where the .382 from year's low comes in

quote:

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Originally posted by jimkane

Yes, D, and it could be set up to take out that primo ABCD, which is a big pattern. What would be cool is if it ran to the 1.272 off this pattern here, to go to the key .382 and the 1.128 ABCD, where my best line sits, basis the futures. My area Fib is around 1.5670-90, and the line is lower but upsloping, so it depends on how long it takes to get there. A quick move to the line at the 1.272 ABCD and 1.618 of this pattern here would be around 1.5540, and the key .447 is at 1.5456. Let's see what it does.

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"My area Fib is around 1.5670-90, and the line is lower but upsloping, so it depends on how long it takes to get there." Hmmm, should be 'Fib area', but anyway...

So, it does a 4PT 'shakeout' and goes up a little more to a 4PT/flat hybrid (which would not have caught any stop I'd set off that 4PT), and then rolls down, as we suspected. But after a near 1.272 off that pattern it hits into my area, and starts up strong. Basis the Dec futures contract the low was 1.5702, 12 pips above the stated area. For a pattern of this size (3 days per bar traded timeframe, more than half way from a daily to a weekly traded timeframe) 12 pips is close enough for me to be ready for an entry trigger, especially with the upsloping line and the extra time it took with that 4PT shakeout. Now it sits up about 350 pips off that low. The crazy part is if this pattern even plays out to a minimum usual place, that's the mid to upper 70's. The way the dollar is tanking, I'm thinking pound at 2 in short order, Euro at 2, Aussie and Loonie way over parity...

No comments, eh? Now almost 600 pips off that low. Up almost 600 pips and spotted the area within 12 pips. I like this methodology. A setup to get it down there, and a great setup there. Can't ask for more than that. Getting very close to my 'first thrust' area.

Sorry Jim, I did not see your comment, I am still amazed at the ferocity of this move! Yeah, nice call, thanks for the perspective. It is nice to have the master of all ABCD's break it all down!! It unfolded exactly as you scripted it! It was really fun reading the forex forums over the past few weeks as they talked about the head and shoulders top forming!! I mean I started buying at 1.128 wave 5 of the D leg, a true Kane Klassic right from your first book!! This is what I love about Cable, remember when the Russell use to hit all of your numbers, .685 and 1.128? Well it is the same with Cable. Any way nice call, maybe you, M, and I can take a nice vacation when this one is over!!

Since this is FX related, I guess I'll post it here. Did everyone see the 'flash crash' in cable this AM at 2:56? Look on a 1-min. That's spooky, it is even starting to happen in FX now. Notice the rebound right afterwords, kind of the mark of the 'flash crash'. Here's an article on it:

http://www.zerohedge.com/article/dutch-bank-algo-blamed-gbp-flash-crash