Andrews Pitchfork (Median Line)

That was`nt a criticism by the way, I still struggle to "see" the correct way of drawing forks.

Gold still looking weak...

Another fork arguing for long-term dollar strength. Reminds me of EURUSD in march 06.

HOURLY USD/JPY

Beautiful frequency and timing:

Kapital, here are some of my own observations of how I would interpret that chart, after-the-fact.


That fork is one that I would have readily drawn, sticking to the extreme high for pt3 of the fork as you did.

However, of late I am working more with pitchforks to anticipate the forming of the pt3 of the Andrews fork, by looking for intra-fork resonance along the Andrews ML and quartiles, and to a lesser extent, along the ModSchiff ML and quartiles.

What I often find is that the pt3 forms at a place where there is obvious intra-fork resonance. This intra-fork resonance occurred BEST for where the earlier (lower) pt3 occurred.

There was a nice 100+ pip drop at this lower pt3, so it "worked" at least for that much of a retracement, but not as a major reversal. However, since that point didn't hold the high, one could of course move the pt3 up to where you did.

But there is an interesting phenomenon which I have observed on several charts, and this chart is a good illustration of it. Namely, the higher "pt3" pivot will often form nearby one of the PF lines formed by leaving pt3 at the original location. In this case, the higher pt3 comes extremely close to touching the MS UML.

The other phenomenon sometimes observed is that the fork with the better intra-fork resonance often turns into a fork with stronger/better post-fork resonance. In this case, it does, IMO, and somewhat better than moving the pt3 to the higher pivot.

I drew in a couple of sliding parallels. The one above the UML did a good job, twice as resistance, then most recently as support.

The low on April 1 did slightly cross-under the Andrews ML, but you can see that it was an exact touch to a MS quartile.

I also drew in a turquoise trendline from pt1 to the minor pivot (circled in turquoise) that occurred just after the big gap open Feb 24. That line also touches the April 1 low. (I doubt I would recognize the significance of the turquoise line real-time, but I am watching for such clues as the gap. I definitely would have my eye on the Andrews ML as drawn here, because of the many places that ML has good intra-fork resonance, and that is almost the same as the turquoise line).


By comparison, look at the second chart with the blue Andrews fork using the higher pt3. This is similar to how you drew yours. There is less intra-fork resonance, esp. along the ML, but there is some. This ModSchiff is virtually identical to the ModSchiff formed by the black Andrews fork. The blue Andrews picks up a few points of post-fork resonance that don't occur with the black Andrews fork, and vice-versa. As mentioned before, there is a ModSchiff quartile which holds the April 1 low, but on this chart, price does a significantly greater cross-under (~33p) of the blue Andrews ML; in other words, the blue ML didn't really hold as well as the black ML with it's ~5p cross-under.

At the risk of getting overwhelmed with lines, one might do well to keep in mind both the black and blue Andrews forks, and just one of the (nearly identical) magenta ModSchiff forks.

Good stuff pips!!!

So, where would you place pt3 for a new fork using pt2 and pt3 of the upfork in my chart as your pt1 and pt2?

Schiff or Channel. Possible Wolfe setting up next week.

fwiw

Modifying the upfork in the chart above into a Catalin reveals more about price action.

Price may not reach the upper energy point exactly, but it definitely has the upward momentum to make a run for it. The warning line and upper parallel make for good individual targets.

Well, whadda-ya-know......

Is S&P making EP formation in long term chart ?anyone who track S&P 500 can confirm this.

wrong thread mate

sorry for posting the s&p chart,as ur discussing about alan andrews median line and others course line,I post this chart For showing "EP formation" andrews one of the favorite formation.

IMO, no apology necessary. This thread is for discussing anything related to Alan Andrews lines, pitchforks, and methods, and the "EP formation" is part of his methods.

Regarding your S&P chart, hasn't the S&P made all time highs today? (Some said yesterday, but maybe that was Close prices). Your historical chart has the recent high no where near the highs of years ago, so something is wrong with your data, or with the symbol you're charting. It should more closely match the main S&P.

I'm no expert at "EP formations", but by now, the latest high sure looks like it fits. It's very close to the line connecting 1-3, and there it has good intra-fork resonance to the black fork where circled. (I don't trade S&P, and I don't vouch for this demo data-feed).

If you're going to talk about stocks, check out this Microsoft chart... Yesterday evening I was disappointed because my beautiful fork had been zoomed so forcefully that the damaage seemed irreparable. And then this morning, I watch a video with Jim Chanos where he's saying that PC manufacturers are going down the drain. This was in addition to a newsclip about PC sales being down 12%. Then the market opens and MSFT is down a whopping 5% following a Goldman Sachs downgrade. HP down 6% with a huge gap, on top of a previous open gap to the donwside. End result is that my fork has been reborn from its ashes.

SP500: don't know nothing about EP, but yes your chart is a bit old. SPY has made new all time highs, but price is having some trouble against the ML of the latest daily fork. More importantly, we're testing the top of a multi year range and market leaders (Staples/Beverages/Cable/Disney...) are at an extreme. PEs between 20 and 24, parabolic moves that have in most cases doubled or tripled the 2007 highs, many stocks at ML or UML of multi year forks... Talk about buying into the fluff

Nice setup on 5min. EURUSD....Price form Supply Zone P1...

Yes my chart is old one,That is why use the green line to indicate the P5 . You are spot on as per ur data with AR line and 2P line i.e,trend line connecting P1 and P2 ,Regarding Expanding Pivot formation swing 3-4 > 1-2 and swing 4-5 > 2-3 .A course chart is attached for ur understanding. andrews expect quick fall/gain in price from P5.

I use ur chart to draw Sideways count , "A" upper channel line, "B"lower channel line,gold brake down "B" line.possible

Target 1- Price (at A ) - (A-B) x 3(as price touch "B" line three times).


Target 2 - Price (at B) - (A-B) x 3.

Does anyone know of any other "active" pitchfork forums on the web?

"To every action there is an equal and opposite reaction."

-Newton

"To every pitchfork there is an equal and opposite pitchfork."

-Kapital

Thoughts?

(The chart is of the 1-hour Eur/Usd)

Using an alternate pivot for pivot C: