You guys got it. I tell you, most have no idea what we're talking about. Sometimes they get so into crunching numbers they forget its a people game.
Just like in other people games (speficically the ones played for money), there is another level that parrallels, somewhat, the numbers level. The fear and greed traders talk about, numbers don't feel that, people do. And people can be so easy to read when money is on the line. Much more so when they don't realize anyone is trying to do it!
It's possible to tune into a market much like a good poker player tunes into his game. After a while, you get to know the specific opponents, market. You get a feel for how they act and react, which somewhat tells what price should do with any new information. All the way up, and all the way down, price is as predictable as the market. At the turning points, price gets away from the market for a while, there is a stretch, a snap, and the market flips the other way. When these flips coincide across the timeframes, there is almost always a pretty big move.
Its pretty strange how patterned group emotions are in this game. Most seem under the impression people are unpredictable and random. Only on the shortest timeframes. There is a connection between speculative minds that goes beyond "oridinary". Bohm turned me on to this angle with his book Wholeness and Implicate Order. Simply the act of a group of humans focusing on the same market connects them. This type of connection is easily seen watching a big sporting event, say the SuperBowl. Tens of millions of hugely varying individuals galvanize in such a way that they essentially become only TWO emotional bodies. Whatever happens next in the game will have a VERY predictable reaction from both sides. So predictable that every individual on both sides knows what to do and precisely when to do it. The score is tied with 3 secs left in the game, field goal attempt, ball is up... And what happens next is supposed to be unpredictable??? Not talking about the ball going in or not, rather what the people do in either case.
The proof in a market is all over a price chart. Patterns that repeat over and over again prove that emotion in a market crowd follows very specific patterns. And that price itself has a lot to do with determining which pattern emotion on either side will follow. Christ, it just gets so predictable. Sometimes, it's so easy I can pretty much write tomorrow or next week's IBD headlines. Almost dissappointing, I figured this game would be much harder. Took a long time to figure out how to do it, but almost no time at all once the way was seen. It's almost too easy.
