ADA: Further Clarification of Upward Pressure Using Indicators
Hi Everyone! I wanted to provide more clarification on "why" I believe the price action will continue to trend up for the Near to Mid Term by using my indicators. I also pointed out the importance of allowing a candle to "close" before confirming bullish or bearish divergence.
EXAMPLE: If we determine we have bullish divergence and we are prepared to open a long position, it is important to ask yourself, "What level is my red line?" Why? Because the level of the Red Line provides clues of WHERE your price action could go up to in that case. Same thing if you see bearish divergence. Once the Energy goes below level 50, you should ask yourself, "What level is my Red Line?" Because identifying the level of the Red Line helps determine where the price could go down to.
Yes, in some cases, we will see over extension up after bullish divergence and we will see over extension down at times when we see bearish divergence. In that case, you should identify the level of the Red Line to determine where the price action could go and for how long the price action may or may not continue in that particular direction.
I hope this video publication was helpful.
Happy Trading and Stay Awesome!
David
NOTE: Labeled "LONG" for the Near to Mid Term for an anticipated Sign of Strength event.
EXAMPLE: If we determine we have bullish divergence and we are prepared to open a long position, it is important to ask yourself, "What level is my red line?" Why? Because the level of the Red Line provides clues of WHERE your price action could go up to in that case. Same thing if you see bearish divergence. Once the Energy goes below level 50, you should ask yourself, "What level is my Red Line?" Because identifying the level of the Red Line helps determine where the price could go down to.
Yes, in some cases, we will see over extension up after bullish divergence and we will see over extension down at times when we see bearish divergence. In that case, you should identify the level of the Red Line to determine where the price action could go and for how long the price action may or may not continue in that particular direction.
I hope this video publication was helpful.
Happy Trading and Stay Awesome!
David
NOTE: Labeled "LONG" for the Near to Mid Term for an anticipated Sign of Strength event.
Comment:
UPDATE:
For whatever reason; the Short Term Group (30m, 1h, 90m, 2h, 3h, 4h, 6h and 8h) did not post. So, posting it again...
For whatever reason; the Short Term Group (30m, 1h, 90m, 2h, 3h, 4h, 6h and 8h) did not post. So, posting it again...
Short Term Group (30m, 1h, 90m, 2h, 3h, 4h, 6h, 8h):
Near Term Group (12h, 24h, 2D, 3D, 4D, 5D, 6D and 1W):
Mid Term Group (4D, 8D, 9D, 10D, 11D, 12D, 13D and 2W): We get a new 2-Week candle in roughly 3.5 days from this writing. At which point, the Red Line may rise above Yellow Level 50.