Iterative Refinement

Quote from forty6n2:

ended up washing BHS this morning:confused:
comments are welcome and would be much appreciated
More...

Looks like a 'hopeful' decision to me.

You had 2 days of dec red as price approached the RTL, so you'd want inc black today. Price gapped up 4% or so but had poor volume for the first 15 minutes, looking at a 5 minute chart. Price then crashed on inc volume.

You bought something that had a nice improvement (gap) with no volume coming in behind it. You were hoping for volume to come in?

One thing I do to counteract this is to have a column that has % after open, so I know which stocks are moving TODAY, then check that volume provides backup.
 
Got in FMCN. Good example of yesterday's bar(March 3rd) being a decreasing red volume bar even though its black on my chart. It had a lower high and a lower low than the previous bar. This is important because it allows for the confirmation of a R2R BO of my blue trendline. We'll see how it goes though.
 

Attachments

In terms of BHS, I have it as all signs say to stay out or maybe even go short. If you notice the Stochastic 5,2,3 today it just passed 50 to the downside. That accompanied by the MACD turning negative as well as the FBO on the 28th of Feb and the increasing red volume that followed all say either stay out if you're just doing the long side for now or get short.

A question I have is was the 28th an FBO of the pennant or the trendline. Many times a pennant will form at a RTL. I mean the same result occurred, an FBO. But like Ive said in the past I was led to believe pennants signal continuation.
 
Just want to share an incident today based on a comment a few days ago....


12:50pm bar we start our down move. The move continues down on +PRV at good pace levels.

13:05 we start our retrace on -PRV until 13:!5 bar.

I begin to look for our new Point 3 DOWN.

13:20 bar price goes lower BUT still -PRV. Still waiting for Point 3 DOWN.

13:25 bar shows + Black PRV and I start thinking (for a split second) UP move.

Then I stop to and think (the hard part sometimes) Wait we HAVE NOT put in a our POINT 3 DOWN yet...

Even though 13:25 showed +prv in relation to the previous bar my chart shows it closed lower than the 13:05 bar (point 2 down).

I wait just to see what the next bar brings...It never trades higher than the previous bar and quickly turns down. PRV was about equal to the last bar.

This bar (13:30) then takes out the low of the previous bar and closes with + RED PRV setting up my new Point 3 DOWN.

The point I picked up a few days ago was until we get all of our Points on our current channel we cannot have a new channel on the same fractal.

what comes after Point 2? Point 3. NOT FTT new channel etc.

Determing your resolution level and staying on it does wonders (I think I heard that before somewhere also..lol)

Thought or comments welcome.
 
Quote from TraderD72:

Even though 13:25 showed +prv in relation to the previous bar my chart shows it closed lower than the 13:05 bar (point 2 down).
More...

Is this on today's chart? Could you post a chart snippet of this area? I was trying to follow along but had 13:25 bar much higher than 13:05 - so I'm thinking I have the wrong time or day?

Thanks - EZ
 
Thanks Haroki for all the guidance and information that you have passed out lately to the equity traders.

Also, your info on the FU and earnings dates was appreciated. Two of the earnings stocks from your list, SNHY and TSL, have gone into orbit today. I got no inkling from yesterday's charts on SNHY so they kept it pretty close.

As you point out, MELI and SOLF are still to come.

Appreciate the background on CUB and looks like the channel is still intact today.

Thanks again for all your insight.
 
Yeah, SNHY has earnings today, presumably after the close? TSL is from China, so they prolly had their report on their time. Looks like a few institutions think SNHY's is gonna be pretty good !!!!

I managed a nice little gain on this one today. :D :D

Still didn't hold overnight though, even though probability suggests that it'll run after the BO today.
 

Attachments

ES DAILY MARCH 4 2008


-ESDAILYCHARTMARCH42008800x600.png
 

Attachments

You must log in or register to reply here.
Back
Top