Andrews Pitchfork (Median Line)

DAX daily

My dax

Question for you median line traders out there, what qualifications do you use for drawing a new pitchfork?

That's a good question, correctly identifying the 'C' pivot early can lead to some beautiful trades!

There are a couple of things I personally like to look for:

1. If price takes out a prior minor swing. In a down trending market, for example, if price rallies above a prior swing high, I will mark the low as a potential 'C' pivot and look for a test/retest setup from there.


2. If price starts to move from an area that could offer strong support or resistance. This could be price meeting a Median Line or possibly horizontal support/resistance.


There are definitely other methods for this so I'd like to read thoughts on this too!

Limit order for tonights trade. Trading with reduced position size, since this trades quality is less then stellar, will build into it if i dont get stopped out. Wont wait for confirmation, from my experience, a reaction to the upside is fairly certain following a wash. Potential RR 7:1, POTENTIAL.

EURJPY - Looking good for a retest
USDZAR - Has an interesting setup going
USDJPY - Setting up for a possible break to downside. But as always, only possible. I see contraction (contraction is always followed by expansion) happening as price is approaching ML for retest. I will wait for a nice swing structure before jumping on board.

See some nice expansion happening on CHFJPY marked out by blue lines. I think safe to ignore the spike and place a stop just below demand level. Will follow and see how the trade unravels.

On second thought, looks like the red ML captures the price better. There may be some additional expansion to the upside. If so, i don like how the price is approaching, too much ranging in the area.

interesting reaction

Tons of supply coming in here, with a ridiculous reaction on completion of 3 drive. I doubt it news driven since we saw plenty of resistance coming into this area. Must whales?

gbpusd. sellers still in control or are they?

Very Nice

Shagrz interesting take on ML. Looking at your work caused me to reexamine my work and it looks like there is a nice energy point forming with ML anchored on the gap in combination with the action reaction lines. But we definitely have a probable long entry here if price show upside pressure.

Update on the USDZAR: We had a nice swing failure near top of action line so I went short. With trade in my favor we had monetary news release on rate increase couple hours into the trade. With curent scare of recession and other countries in negative interest rates I had my doubts about the fed hiking interest rates but as precautionary measure I moved my stop to break even and waited for news release. Result was as I expected, interest rates unchanged sent the price further down. We still have another release today which I doubt is any better. Booked half position and staying at break even until price gives a nice artea to adjust my stop lower. Either way, regardless of what happens on the next release the profit is booked, its a free ride from here on down.

Attachment

I dont usually fork but this one looked obvious to me. Hope I drew it right!

nice A off the gap, i use them also.
personally i no longer fuss much with AR lines.. just structure, which worked well.

now we have an a B new c. see how the latter goes

fib traders all over it also, look at the 61.8 off the A B... above the 38.2 its still bullish