Thanks for posting your chart Kompi, I appreciate that!
The thing about speedbumps (continuation patterns)...
1. RBR (rally base drop)
2. DBR (drop base rally)
... is that they are good "with the trend".. they are good as Momentum trades, to trade with the momentum and impulses, not when price is already coming from an area where supply took control. I never take Speedbumps in those sceneraios, like this one, most of the times fail, did my forward tests on that.
With the trend having not yet reached opposite D1 SD areas, I will lean on Speedbumps
Against the trend or having the opposing D1 SD areas been hit already, I will not lean on Speedbumps, but at the extreme valleys/peaks (rally base drop and drop base rallies)
That's the way I do it for better or worst, I just follow those simple rules. They will fitler out MANY bad trades, already did.
Alfonso
The thing about speedbumps (continuation patterns)...
1. RBR (rally base drop)
2. DBR (drop base rally)
... is that they are good "with the trend".. they are good as Momentum trades, to trade with the momentum and impulses, not when price is already coming from an area where supply took control. I never take Speedbumps in those sceneraios, like this one, most of the times fail, did my forward tests on that.
With the trend having not yet reached opposite D1 SD areas, I will lean on Speedbumps
Against the trend or having the opposing D1 SD areas been hit already, I will not lean on Speedbumps, but at the extreme valleys/peaks (rally base drop and drop base rallies)
That's the way I do it for better or worst, I just follow those simple rules. They will fitler out MANY bad trades, already did.
Alfonso
Set and Forget supply and demand trading community