Quote from frenchfry:
Jack needs to explain this.
When I originally glanced over the chart I saw that bar 4 was a BO of the RTL. However you had to degap that bar and ended with an internal. This meant that you couldn't run the volume test procedure.
Next bar 5 arrives, gives permission to run the volume test procedure. You had a P1 on bar 3. Wait on bar 4 and then on bar 5 you had your T1.
So everything looked logical to me. Now that you ask I see that I need to verify if my understanding is in line with what Jack said in the past.
So my questions would be:
1. In order to log a BO,T1 is it really necessary to have a T1 or do we simply call all BO's as BO,T1?
Yes it is necessary to have a T1. This is an AND circuit. BO of RTL = true And T1 = true.
2. Does it matter if the bar that breaks the RTL is an internal or a translating bar? If it is an internal then further differentiation might be necessary in the case of a lateral (retro) situation.
A BO can happen anywhere. It can also dissapear in the sense that a next bar could go back into the other side of the rtl. T1's are named as the result of the volume test procedure.. In a lateral, on lat bar 4 lock-in occurs. Then the retro is done. Occasionally it is found that a BO T1 has occurred in the past. On the trading platform reversals are made to assure the position is on the correct side of the market.
It may seem imprecise to be so caual as I am, but I take solice in doubling weekly or better.
3. In the bar 4 and 5 situation a new RTL was drawn starting on bar 5 which was the next translating bar. Well... it was a P1. So one could deduce that you always try to attempt to draw a new RTL when you have a translating bar or a P1. But look further in the chart this doesn't seem to be true. The question would be: When do you start to attempt to draw a new RTL? On a new P1? Next translating bar? Doesn't matter?
Point 1 of the rtl is drawn at the place where a bookmarrk begins. The annotator has a rule set he follows. He draws the rtl ASAP meaning it just goes out into the future at any angle he tips it at. There is no bar there in the future to connect the line to. He always anticipates an rtl for the beginning of every trend segment.
Thanks xioxxio and smwbbe for posting your specific, detailed questions. They help others to verify what they know or don't and help Jack to see where he needs to provide further explanations.
Thank yourself as well. You are being very helpful. My thanks to you.
In our trading room, we team and do our roles. The BO T1 is always in the space.
In part IV of our orientation, we focus on optimization. The rtl keeps us more relaxed as we accumulate profits BEFORE the crossover. We use a thre tick orientation to optimizing profits. we have an audible from the annotator IF and WhEN the price has moved three ticks adversely from its extreme.
A BO T1, upon lock-in, could be beyond the three tick optimum market order reversal value. This means we break a reversal into two parts: taking a profit segment and getting the best beginning of the new position's hold.
Topic change. It is easy to see that there are two bookmarks involved in adjacent reversals. Their separation is considered.
Since we a fairly well wedded to the interlocking of fractals AND that three moves in price define a "normal trend". It has become very possible to consider passing on two consecutive reversals and just staying on the dominant sentiment of the slower frctal.
This is also evident in the turn designations. Dominant to dominant c turns are vey important. On the other hand when "drift" trending (Set D type trend) is underway, it is more likely that the bookmarks will be close as drift continues.
This means that BO T1 turns can precede BM REVs on the next adjacent bar.
Once you go through gaining knowledge of the pieces (and this looks good to me at tis point), then you have enough time to not still be catching up. When you work in real time comfortably, then you consider gaining facility. Facility leads directly to "anticipation". Anticipation allows one to carve turns.
We are at the point where the rtl bangs into place and on the 9 step of 21 it is adjusted a little if require.
Optimizing under anticipation is a three bar study.
Going through the BO T1 thoroughly is a real boon for prepping to handle threebar study.
I feel all of you are really conscientious. certainly I need to step up my commentary to assure that what I say is polished and has high utility.
Elsewhere there is discussion about pulling profits; the OP mentions 6 digits as a pinnacle. It is best to begin with 1 contract. 20 points of profit allow you to trade with 2 contracts.
If a person works purposefully, he can teat himself with application of more money once in a while. Sitting at 5 then 10 then 20 then 50 then 100 is a good idea. You he to get use to making money at different velocities.
I was very disappointed at the situation and consequences of my posting 100 contract prints for just opening trades over three days. Please review and undrstand when settlement occurs and please understand that commissions are taken immediately at the time of the reversals. also please look at the consequences of doing a given numer of trades a day. also consider what it looks like in a week where there are costs assoiated with doubling capital weekly.
As this thread gets to facilty and optimum trading, there is no steady state condition. The amount of capital is in rapid transition. But part of learning to trade is learning to be immersed in handling money where the accumulation of money is a dynamic process and does require emotional solidarity and improving familiarity.
