If you guys saw my post... Already warned about the retracement after the initial drop.
Cable Update (GBPUSD)
- #423,642
- Feb 8, 2016 2:53pm Feb 8, 2016 2:53pm
- Joined Sep 2013 | Status: Trader | 2,999 Posts
"W. D. Gann said that time is the most important factor among all things."
- #423,646
- Edited 8:46pm Feb 8, 2016 6:41pm | Edited 8:46pm
My 4H analysis going into tonight. Were still consolidating downward, but were approaching midweek. Bulls are going to try to take control and get a real bid going after dips from here on.
Looking to trade long from the highlighted area in green tonight if we get back down there, be aware of a sell stop pocket just under a prior swing low again, but again... I doubt we will make it down that far.
Looking to trade long from the highlighted area in green tonight if we get back down there, be aware of a sell stop pocket just under a prior swing low again, but again... I doubt we will make it down that far.
"Don't fear a bubble until it starts to burst."
- #423,647
- Edited Feb 9, 2016 12:38am Feb 8, 2016 10:12pm | Edited Feb 9, 2016 12:38am
Ok, here is a guide to correctly drawing horizontal lines. A lot of people are drawing meaningless lines. I mean, there might be a little something psychological about a price zone even after swing highs and swing lows have been cleared, but there is nothing in the market order structure.
First, I draw this green line from this swing high. This level is valid. It's a visible swing that everyone can see, as price goes downward people will be placing buy stops at or just above this point as they short the market down. Once price goes back through that level, the order book is cleared. The level is cleared.
Now, I see people with intersected horizontal lines still on their charts like the bottom one... This horizontal was cleared after just five bars... You can delete it off your chart, there is nothing there anymore... And, after price goes back up through it once too... The zone is 100% cleared. It's meaningless now. Back up through matters slightly because people sometimes apply strategies which involve buying as price goes back up through a prior swing low after going down though it.
First, I draw this green line from this swing high. This level is valid. It's a visible swing that everyone can see, as price goes downward people will be placing buy stops at or just above this point as they short the market down. Once price goes back through that level, the order book is cleared. The level is cleared.
Now, I see people with intersected horizontal lines still on their charts like the bottom one... This horizontal was cleared after just five bars... You can delete it off your chart, there is nothing there anymore... And, after price goes back up through it once too... The zone is 100% cleared. It's meaningless now. Back up through matters slightly because people sometimes apply strategies which involve buying as price goes back up through a prior swing low after going down though it.
"Don't fear a bubble until it starts to burst."
- #423,651
- Feb 9, 2016 1:41am Feb 9, 2016 1:41am
- Joined Mar 2008 | Status: Name real with real own way | 23,413 Posts
Not understand?better not follow my analyses!doubt clearer first, risks ++
- #423,653
- Feb 9, 2016 2:04am Feb 9, 2016 2:04am
- Joined May 2011 | Status: Get to the Chopper | 17,905 Posts
Come with me if you want to live....
- #423,657
- Feb 9, 2016 2:23am Feb 9, 2016 2:23am
I didn't say short. You have to sell longs if there is a tail event upward in a uptrend. That is a peak euphoria event. Market has to recharge a while before it moves higher again.
That was a three standard deviation tail event. Actually, this scale I use isn't standard deviations, but it's basically the same!
That was a three standard deviation tail event. Actually, this scale I use isn't standard deviations, but it's basically the same!
"Don't fear a bubble until it starts to burst."
