Dislikedivob, I like your thread so far. You said price has a move, retracement, and continuation (which may fail). My question is, what do you consider a successful continuation? Does it need to tick above the previous high of the initial move, close above the previous high, or create a measured move based on the initial thrust? Or do you have some other way of defining it?Ignored
A successful continuation? Price make a point 1, break out (breakout = one complete bar outside channel). After that I expect a retracement (or sideways movement!) which makes a point 2 and point 3 is the start of continuation. Note that the retracement always takes longer than the 1->2 move unless volume is very very high. It is successful if point 3 continues the move. Note that channels often overlap so point 3 can be inside the original channel. Today I will give special attention to annotating point 1-2-3's as well as other stuff.
Good trading.
Ivo
Trouble lies in what we believe to know for sure that just ain't so.
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