jack hershey -
"I have to do the 8 EE's of the Aband first.
Keep "The Pattern" handy.
We see trends develop bar by bar.
Three price legs make up the ordinary trend.
Trends are BEST contained in parallelograms. Three points determine a parallelogram
A trader, mentally, shifts from up/down TO LEFT/RIGHT as he gains reasoning abilities. Notice most ET folk have not gotten this far.
Sit and reason with me.
You have to reason FROM a neutral bias.
BE neutral so symmetry can work for you. This cuts the work in half.
All trends have the three legs in this order: Dom to non dom to dom.
Dom is dominant. Making money proceeds by price advancing in the dominant direction.
The parallelogram has two sides which enclose and bound price.
As price moves in a trend the dominant movement is from right to left. Notice the RTL and LTL of the parallelogram.
Price begins at Point 1. It goes to the left to get to point 2.
The OODA of CW trading cannot perceive of this pathway. Betting replaces the path.
We have a design thaqt gives a point 1. OODA does not.
point 1 is on the dependent variable.
We work witth the independent variable to get the dependent variable.
DOing WORK is required to build the mind so that the mind has "inference (LTM) to match sensing with the eyes.
MA of MADA is DOing work so that the context and PROCESS is percieved.
Leg 1 (M1) is a peak to trough to peak movement in the independent variable. P1 to T1 to P2. This (M1) is the dominant move.
Next we have a non dominant move in the trend. Point 2 to point 3 in price and, correspondingly, P2 to T2 of volume. T2 is labelled and called T2P for reasons that will be explained later. Bear with me.
This non dominant move (M2) goes from left to right as do ALL non dominant moves.
Now, you see three points that define the container of a trend.
WE learn to enter on the beginning of a ttrend and take its full offer. We take the dominant direction and HOLD.
Volume gives us the moment of the turns in trading. Turns occur between legs as momentary events.
To handle turns in a timely manner a trader has to be expert. So we BE experts from day one.
We spend almost all of our time holding. Holding is where "anticipation" can be carried out.
We see EVERYTHING is orderly. So all orders are broken into mathematical elements whereby each progressive piece is defined one after another.
Iff someone wanted to step out of CW and OODA, they might think the above schema would define their sought after "Holy Grail". Not so , the above is "gibbberish" to them.
In trading, to take the full offer, the process begins at the very beginning and ends where the full offer occurs.
We have done M1 and M2, the full offer ends at the end of M3..
M3 is from point 3 (T2P in volume) to FTT (specific EE's in volume).
A trend can go on and on as we all see. Similarly, a trend can be cut short by circumstances and various contexts. We will dwell thoroughly on both cases.
Fortunately, all of this is handled by using precision and including each and every thing. Thus, completeness is part of the research.
I tooled all of this up by using shhets that have precise experssions for all the parts. All that is left is "Putting the Pieces Together" or as others have named it "Getting Tomorrow's Newspaper Today".
https://www.elitetrader.com/et/threads/market-system-of-operation.280654/page-13#post-3918739
#121
Dec 24, 2013"