Why Is The Obvious Not So Obvious?
- Thread starter nysestocks
- Start date
Yâall have been provided a tool kit (do I need to list itâ¦., or can yâall)
I've requested you to speak in priceâs language
Why are you not using the tools to dissect this chartâ¦, priceâ¦, whatâs going on
And describe it in the proper language
Why.. oh why.. oh why
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One other noteâ¦
One bar on that chart sealed the fate of one side â which bar is it.. and describe why it did
That thing atop our shoulders is not simply a hat rack dontcha know
RN
I've requested you to speak in priceâs language
Why are you not using the tools to dissect this chartâ¦, priceâ¦, whatâs going on
And describe it in the proper language
Why.. oh why.. oh why
--------------------------------------------------------------------------------------------------
One other noteâ¦
One bar on that chart sealed the fate of one side â which bar is it.. and describe why it did
That thing atop our shoulders is not simply a hat rack dontcha know
RN
Is it more than obvious now?.
Quote from The Oracle:
Let me try one more time.
From the bar that marked the swing high (white HL letters) the price moved down and broke below the range and started to pull back. That pullback failed on the Outside Bar that closed almost on its low. If there were Longs that entered on that Outside Bar, they were now trapped and had to exit with a loss just as soon as they could.
Then the price made the second attempt to reverse and failed very quickly and created another lower high (the swing point is the second bar that marked with green letters HH).
We could see that the market had failed to reverse twice and now most likely to continue to move down. The Outside Down Bar was the point where the market actually reversed to the downside. But we enter on the pullback because we always want to BLSH or SHBL. So, we would enter below the low of the bar that marked with green letters HL.
You're asking for the most important bar, to my way of thinking it would be the first major bearish bar right after the white marked one.
Why?
Because price broke out of the range to the upside and any retrace to fresh buying (top of the range preferably) was befinetely out of the question with the selling power that bar has displayed.
Secondary "support" would be the base of the range which also failed, in fact, breaking down beyond that $45ish price gave an excelent opportunity to sell when it retested the level, so it became "resistance".
But right now in my eyes the level where this might occur again is at around the $37-38 level (at a quick glance)
A look at further price history of the chart would be very handy, as would trade entry on faster TF's.
Why?
Because price broke out of the range to the upside and any retrace to fresh buying (top of the range preferably) was befinetely out of the question with the selling power that bar has displayed.
Secondary "support" would be the base of the range which also failed, in fact, breaking down beyond that $45ish price gave an excelent opportunity to sell when it retested the level, so it became "resistance".
But right now in my eyes the level where this might occur again is at around the $37-38 level (at a quick glance)
A look at further price history of the chart would be very handy, as would trade entry on faster TF's.
I agree with Rossky and Baron, and if i may be allowed to ramble.
Referring to the most recent chart, the large down bar after the white H/L suggests a failed break out and that buyers have lost control. As trapped longs exit to take losses the more likely than not direction is down. That's good info as not all bars indicate a likely direction. The break through support confirms likely direction but since there's a possibility this breakout may also fail it may be wise to wait for an entry if not yet short.
The bar w/ green H/L also provides a more likely than not clue and a good entry point as this bar attempted to break back above Supp (now resistance) and shows signs of price rejection and a close lower than open.
Since we can't trade past bars it might be said the most important
bar is the current bar. I would disagree and suggest that current bars need to be looked at in context to past bars which would mean. ...The most important bar is the green H/L as it confirms the most likely direction is down. Having said that i would have liked to enter short midway on the large down bar.
Told you i would ramble.
And if RN has made it this far i would like to thank him for his contributions. Been a fan for awhile and am always grateful and impressed with what you share. Thank you.
Referring to the most recent chart, the large down bar after the white H/L suggests a failed break out and that buyers have lost control. As trapped longs exit to take losses the more likely than not direction is down. That's good info as not all bars indicate a likely direction. The break through support confirms likely direction but since there's a possibility this breakout may also fail it may be wise to wait for an entry if not yet short.
The bar w/ green H/L also provides a more likely than not clue and a good entry point as this bar attempted to break back above Supp (now resistance) and shows signs of price rejection and a close lower than open.
Since we can't trade past bars it might be said the most important
bar is the current bar. I would disagree and suggest that current bars need to be looked at in context to past bars which would mean. ...The most important bar is the green H/L as it confirms the most likely direction is down. Having said that i would have liked to enter short midway on the large down bar.
Told you i would ramble.
And if RN has made it this far i would like to thank him for his contributions. Been a fan for awhile and am always grateful and impressed with what you share. Thank you.
I must also say that the white marked bar is a KR (by a hairline)
but i don't place as much value on any bars taken out of context, i other words they have to occur at significant levels and have to reflect the overall "mood" of the market.
Some times it all comes comes together at exactly the right time, and we just happen to be there to take the opportunity.
but i don't place as much value on any bars taken out of context, i other words they have to occur at significant levels and have to reflect the overall "mood" of the market.
Some times it all comes comes together at exactly the right time, and we just happen to be there to take the opportunity.