Spydertrader's Jack Hershey Futures Trading Journal

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From icarus618 a year and half ago, I love the name (FP3), remembered this while 'waiting' for a pt 3 down that didn't come....

....i have a pet name for my favorite wtf sequence: failure to pt 3...

...But let's look closer at the FP3. A failure to pt 3 is a BO. It is a BO from a DU where a person may have had expectations for a new trend but instead got a continuation of the current trend. So in that sense, an FP3 is just a misreading of the current trend and in and of itself does not exist...

Original posts:
http://www.elitetrader.com/vb/showthread.php?s=&postid=938916#post938916

http://www.elitetrader.com/vb/showthread.php?s=&postid=939133#post939133
 
Hi Bi9foot,

In your chart you annotated the very quick FTT that was formed.

It helps me to think of this a a "failed point 3". Price is trying to make a point three down (tape is broken) but it fails and breaks back. In fact a failed point 3 is a breakout.

regards,
Ivo


Quote from bi9foot:

Here is my chart for the morning. I was expecting a the dominant down to continue.

This is exactly the reason why I mentioned that I have found that some of these generalizations are best ignored as they seem to cause me to let my guard down.

EDIT: Ignore the pennant I had drawn at the 10:30 bar. I had drawn it while the bar was forming and forgot to erase it when the 10:35 bar ceased to be a inside bar.
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Quote from WGTrader:

Today's ES this afternoon at 2:14 PM EST before the FOMC announcement. The blue lines are where I set my bracket order.
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Quote from WGTrader:

After the announcement...
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Nicely done. How long did you hold in the direction of the dominant trend?

- Spydertrader
 
Quote from bi9foot:

..
This is exactly the reason why I mentioned that I have found that some of these generalizations are best ignored as they seem to cause me to let my guard down.
..
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IMO it's not a generalisation or a rule of thumb but one of the essentials of FTT's.

We always need decreasing volume as a sign of change (followed by decreasing non dom volume towards RTL). "Decreasing" means by definition lower at this moment in comparison with a moment before.

This moment before can be the bar before but it can also be the previous high (assuming we are making new highs currently) or other volume around that same price earlier in the day. Best is of course when things happen at the same time. (prev bar + prev high).

regards,
Ivo
 
Hi Avi,

I swear it was pure coincidence I posted about this failed point three right after your post :p

I did read these old posts though some time ago.

regards,
Ivo


Quote from Avi 8:

From icarus618 a year and half ago, I love the name (FP3), remembered this while 'waiting' for a pt 3 down that didn't come....

....i have a pet name for my favorite wtf sequence: failure to pt 3...

...But let's look closer at the FP3. A failure to pt 3 is a BO. It is a BO from a DU where a person may have had expectations for a new trend but instead got a continuation of the current trend. So in that sense, an FP3 is just a misreading of the current trend and in and of itself does not exist...

Original posts:
http://www.elitetrader.com/vb/showthread.php?s=&postid=938916#post938916

http://www.elitetrader.com/vb/showthread.php?s=&postid=939133#post939133
More...
 
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