De-gapping complete. It did not change on most instances and the majority of the gaps occur when there is slightly higher volatility (XB's and XR's). I highlighted the cases where it changes the bar formation. Also, quick question. On laterals do you still label what occurs inside the lateral? For example there are often FTP's, FBP's, SYM's, XB's, XR's inside the laterals.
SCTlearning from scratch
- Thread starter jack hershey
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De-gapping complete. It did not change on most instances and the majority of the gaps occur when there is slightly higher volatility (XB's and XR's). I highlighted the cases where it changes the bar formation. Also, quick question. On laterals do you still label what occurs inside the lateral? For example there are often FTP's, FBP's, SYM's, XB's, XR's inside the laterals.
This looks good. The only thing I found was your first blue highlight where you call that bar formation a FBP before it becomes an OB. That looks more like a Stich.
Once you have bar 3 of a lateral it will be labeled Lat3, next bar Lat4, next bar Lat5, etc. In fact... usually (that's what Jack does) you don't put the labels on your chart but you put that information on paper in your log. On the chart you simply put a colored container around all two bar formations and laterals (somehow highlight the fact that they are formations and belong together). You can see this in older charts.
Got it. Yeah I just mislabeled it, I found myself almost going into automatic mode just putting them on there. I would assume I am moving on to drill 3: (questions are marked with ***)
"write XB to label the translation long on your work sheet
XR is the short transaltion
SYM is the internal where the second bar is inside the first bar
Flat tops and flat biootms are smple to find and name
A hitch is equal volatility sids by sids bars
1.. For all internals, draw the resulting bar second leg by using a red or black ball point
***(so on SYM's the 2 would be the direction of the breakout?)***
2. Use black or Red majic markers to make trend segments of all black or all red second leg bars. This is a zig zag chart.
***(the 2nd leg bars would be the xb's and xr's? and they get marked by black/red lines respectively?)***
3. calculate all the price change of all segements for each day.
***(not sure on this one? perhaps counting in points the 'legs' of each up/down move?)***
4. Add the price shanges to find the full offer of the market for each day.
5 post the 5 day rsults as dates and full offers so you can compare with others."
***(full offers would be the maximum draw you could get if you traded low-high-low-high-low-etc-etc? or is this the full offer as in the draw you could take if you went Long XB, Short XR, Long Flat Top BO, Short Flat Bottom BO, Long/short on the lateral?)***
Please let me know if I am being unclear.
"write XB to label the translation long on your work sheet
XR is the short transaltion
SYM is the internal where the second bar is inside the first bar
Flat tops and flat biootms are smple to find and name
A hitch is equal volatility sids by sids bars
1.. For all internals, draw the resulting bar second leg by using a red or black ball point
***(so on SYM's the 2 would be the direction of the breakout?)***
2. Use black or Red majic markers to make trend segments of all black or all red second leg bars. This is a zig zag chart.
***(the 2nd leg bars would be the xb's and xr's? and they get marked by black/red lines respectively?)***
3. calculate all the price change of all segements for each day.
***(not sure on this one? perhaps counting in points the 'legs' of each up/down move?)***
4. Add the price shanges to find the full offer of the market for each day.
5 post the 5 day rsults as dates and full offers so you can compare with others."
***(full offers would be the maximum draw you could get if you traded low-high-low-high-low-etc-etc? or is this the full offer as in the draw you could take if you went Long XB, Short XR, Long Flat Top BO, Short Flat Bottom BO, Long/short on the lateral?)***
Please let me know if I am being unclear.
Okay now I am confused, frenchfry is saying I'm all good and baro-san isn't. Baro-san you know that I was degapping the bars right? So in essence, 'moving' the second bar in relation to the first if the close isn't equal.
OK. I didn't read it carefully.
Sorry I didn't follow this thread from the beginning therefore I hope somebody else can take over.
But I think the key in understanding this drill is the successful completion of the previous drill with the "bar legs". This together with what Jack calls "synthetic bar" should put you on the right track.
When an internal appears in a move channel,we fan the move channel rtl to contain the internal.
So we can deduce that an XB can't BO the rtl of a long move channel? The H of the last XB in a long move channel can be assigned an ftt.But we should look for bo of the rtl of the long move channel on the next XR bar. After we see taping?? Or we could see a lateral case.
If so,the real p2 of a short move after a long move cannot be drawn on the L of an XB within the long move channel ?
how can we handle move channel's fbo?
So we can deduce that an XB can't BO the rtl of a long move channel? The H of the last XB in a long move channel can be assigned an ftt.But we should look for bo of the rtl of the long move channel on the next XR bar. After we see taping?? Or we could see a lateral case.
If so,the real p2 of a short move after a long move cannot be drawn on the L of an XB within the long move channel ?
how can we handle move channel's fbo?
There are 3 cases between h.0 and h.1. h.0>h.1,h.1=h.1,h.0<h.1.
There are 3 cases between l.0 and l.1. l.0>l.1,l.0=l.1,l.0<l.1.
3*3=9.
2(XB,XR) advance trend.The other 7 do not advance trend.Add a third internal(compared to the 1st bar ) to the four internals(FTP,FBP,SYM,HITCH),then you get a lateral case.Lateral case is a formation.It could be break out after bar 3 once the C of that bar (4 or after 4) > H of bar 1 or C of bar <L of bar 1.If not,the lateral continues.
All bar must be degapped.
The degap rule is:keep the last bar or the forming bar where it is,move all the previous bars up or down to remove the difference between C and O of any two adjacent bars.
ps:The lateral case can be regarded as a price range which does not have rtl whreras has two ltl.
so you can regard the lateral fbo as a lateral VE faiure.
you can only trade a lateral on increasing volume within the lateral to anticipate a lateral bo.
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Don't assign this logic to all cases. There are often bars that contain two OOE's of their fractal. This includes FTT and P2. See attachment.
Regarding 'fbo': Laterals aren't the only thing that can decelerate channels; if the next sequence doesn't begin then we have to conclude our current trend still continues, so we fan around times when things occur outside our rtl but the volume sequences of the trend haven't completed and begun in the opposite direction. Price formations don't define our trends, volume sequences do.
![[11-7] XB IBGS.png](/et/data/attachments/128/128399-a09b87a942d65a389941fd86d44e80bc.jpg?hash=oJuHqULWWj)
