Does anyone know this - that sometimes price turns after three consecutive higher/lower closes. There is a filter but I am not understanding its wording:
Anyone care to explain please?
*This info is all free, so I hope I'm not commercializing anything, I just really want to know what that means, especially since some of the accompanied graphs don't look like three consecutive higher/lower closes
QuoteDislikedI found at times I could get shaken out of a play that was consolidating (i.e., a bull flag) when prices made a series of lower closes within that consolidation. So, if there are three lower closes, but this price action does not go below the signal bar’s low, then the signal is ignored. For this indicator on a long signal, then, the trigger bar would be the first bar that has a higher low than the previous bar. The next bar that closes above the high of this trigger bar paints this previous low bar which now becomes the swing low point.
Anyone care to explain please?
*This info is all free, so I hope I'm not commercializing anything, I just really want to know what that means, especially since some of the accompanied graphs don't look like three consecutive higher/lower closes