Iterative Refinement

ES M8 Daily Chart May / 30/2008


Daily ES bar closed an inside bar which formed a SYM. Pennant today on decreased volume.


Daily bar range today = 10 points

Volume was 68 % of yesterday.

Close of daily today = 58 % of the day range.
 

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I was with a fellow student of the method in chat when 1520 [close of] broke out on increased red volume also breaking an RTL of the accelerated channel. When 1525 [close of] failed to deliver more increasing red, I noted the striking similarities with what happened 5-15-08 1420-1450
http://www.elitetrader.com/vb/showthread.php?s=&postid=1925282#post1925282
Quote from Spydertrader:

Price breaks a lateral Formation ( FBP in our case today) on Increasing red Volume. What must come next? More Increasing red Volume. What actually came next? Decreasing Black Volume. Therefore, we expect the trend to change. Price and Volume then create a Lateral Formation in exactly the fashion expected - decreasing black Volume. As such, we expect the trend to continue. Next we see Price head higher on increasing black Volume - confirming our trend change as Price and Volume return to the dominant direction - up - on Dominant Volume - black.
guavaman's chart for that day: http://www.elitetrader.com/vb/attachment.php?s=&postid=1922694
Today the price also created pt3 (FT3) on 1540 [close of] bar before returning to the dominant direction and I have been racking my brains ever since trying to find the subtle differences between today's formation BO that resulted in pt3 down and the one on 5-15-08, which did not create pt3. Any hints would be greatly appreciated!
 

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Quote from romanus:

After the red one this morning I was expecting pt3 up and at some point it was evident (not to me) that it won't come. Was it 1050 close of RTL BO on increased red volume that said: don't wait for pt3 up?:confused: Any hints would be greatly appreciated.



Start with the 1030 bar(eob time) obvious pt1-2 move happening, IVDV(inc. vol. dec. volatility), anticipate change and most likely pt2.
1035 DRV,expected
1040 pennant
1045 outside bar IRV, should be short, need IRV to confirm
1050 get IRV
1055 more IRV :)
1100 DRV anticipate change and pt2 to have formed
1105 DBV , looking for p3 now(classic gaus pattern)
1110 DT, IRV, another spot to enter short, pt3
1115 IVDV anticipate change and another pt2 made
and the process repeats...

one could have been watching for a point 3 up through most of this sequence, but that's not what came next.
 
You have more than enough issues for any one person - a fact, no doubt, people have pointed out to you in the real world.
You made an error, but so what?

The important part is you have repeatedly attempted to rationalize this error away, as you have done many times in the past. And that, is a lesson everyone needs to learn not to do.

Again, thank you very much for proving my point (several points in fact). As I said before, even if you fail to learn the correct lesson from this exchange, my hope is others will walk away from today without having to repeat the same mistakes.

Your contributions continue to provide valuable lessons for all - just not in the way you intended.

- Spydertrader [/B]
Spyder, dude, let it go. You just have No Idea. Just wait and see.

As always, your post contains much truth, for the sheeple. I'm glad you showed how it's not supposed to be done to the sheeple.

One little thing though; Where in the world did you get that I try to rationalize my error? My post showed a genuine example of me admitting a mistake. Open your eyes Todd, there are other people who view through a different spectrum. I'm the most strangest person you can ever come across. I intentionally do everything backwards, upside down. I'm actually already past the volume/price relationship. There are tons of refinements still possible, especially the volume part.

My charts, if I choose to, will be identical to yours, which I do not find a compliment. I'm refining the 2 ways of annotating.
Things are not always what they seem, Todd. I'm glad you used me to show to others how it's not supposed to be done, exactly my intention!
The most Ironic part of all this, even the sheeple in this thread are expressing their feelings, They have gotten so numb because of the indoctrination they have under gone..

I'm judging here, I need to stop.

you take yourself way to seriously, get a bit loose, laugh at yourself. You're a tough guy, Todd.
The first time I've heard you speaking on those videos..very strong personality.:eek:
This is exactly why I do it counter wise. There's no one who is right or wrong, try to get it. You don't understand me nor Do I have the capability to express myself, which is kinda sad for me.

I need to stop arguing, I'm still weak at this, I need to let it go! your wish is my command Spyder. I will, from now on, only post to contribute as it should be.

And...go Avi8, go put my words out of context, I know you're eager to.
:)
 
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