Iterative Refinement

[romanus]

Seems like if we keep fanning the original tape which began with OB - we end up with just a tape going into the close and arriving at Point 2 of traverse on the first bar of today.

 

[guavaman]

My effort

 

[Spydertrader]

Quote from romanus:

Seems like if we keep fanning the original tape which began with OB - we end up with just a tape going into the close and arriving at Point 2 of traverse on the first bar of today.

I understand that you are in the process of attempting to find answers for today. However, what you might not understand is I want you to find the answers that you can apply to every day.

O.K., so you've chosen the example which indicates the market has moved from Point One to Point Two. Now, you should know where you are with respect to the right side of the market. If /when you arrive at a Point in Time which doesn't make sense with respect to the sequences you now have in place, stop. restart - using another one of the choices.

One more thing, make sure you have connected the highs of 15:05 and 15:20 and extend that trend line far into today.

- Spydertrader

 

[romanus]

Quote from Spydertrader:

However, what you might not understand is I want you to find the answers that you can apply to every day.

That is the most important thing that I wish to accomplish. Today or any other day doesn't matter - I want to learn how to learn from charts.

But I don't understand what do you mean by: "Three ways to annotate."

 

[romanus]

I need to learn the thought process that goes into being able to find the answers for any day - and I think that's what you are trying to bring across here.

 

[romanus]

Quote from Spydertrader:

Three ways to annotate. You are currently focused on the result of the annotations. Until you understand the correct M, you cannot jump to A or D. So, one step at a time.

Three posible choices for annotations. Line them up side by side. See which the market indicates is correct.

- Spydertrader

I would like to line these 3 possible choices for annotations up side by side. But my brain is going into overheating - what does it mean "Three posible choices for annotations."?

 

[Spydertrader]

Quote from romanus:

But I don't understand what do you mean by: "Three ways to annotate."

On friday, you had a down tape to the Outside Bar.
Today, you had an up tape to the Outside Bar.
You also started a tape from the Outside Bar.

'Three' Ways.

Perhaps, others 'ways' exist, but only one represents the correct way.

This is what everyone still struggling needs to learn.

Thanks for walking through the process.

- Spydertrader

 

[Spydertrader]

Sorry, I thought ehorn had posted, and my previous post refers to the three 'ways' he annotated around the outside bar.

- Spydertrader

 

[romanus]

Quote from Spydertrader:

Sorry, I thought ehorn had posted, and my previous post refers to the three 'ways' he annotated around the outside bar.

- Spydertrader

It appears that drawing a tape from the Outside Bar produces the result identical to drawing a down tape to the Outside Bar.

On the other hand an up tape to the Outside Bar creates an appearance of Point 2 on the low of the Outside Bar due to tape break on 1530 bar. Which obviously is not correct as discussed earlier.

So, #3, an up tape to the Outside Bar is eliminated as incorrect choice.

 

[ehorn]

Quote from Spydertrader:

Sorry, I thought ehorn had posted, and my previous post refers to the three 'ways' he annotated around the outside bar.

- Spydertrader

lol! No problem, I will take any hints I can get and greatly appreciate roman getting in here.

Quote from Spydertrader:

On friday, you had a down tape to the Outside Bar.

This method appears to have 2 dominant tapes. 2 of the 3 ingredient for a traverse. But I am struggling to see how the internal (when I consider it as one bar would represent non-dominant movement)

I was trying to reflect my view of this area in the following diagram

http://www.elitetrader.com/vb/showthread.php?s=&postid=2177879#post2177879

EDIT: I may also be mis-using the directive here to keep the tapes "tight"