prices have been moving steadily higher for the past few weeks. That rally was seriously tested when we hit the OTE
short sweet spot (near $98). Price consolidated but ultimately resolved higher suggesting a bullish ab=cd
target in and around the 101.62 area. The BoT is a simple 'aglo' that manages the ab=cd
trade. If you follow the levels, it has a built in 3:1 reward to risk ratio and rules when to start locking in profits. Initial entry is the 25% level off the entire expected range - in this case 96.81. Initial risk is to 1 ticks below point C. - in this case 95.20 (where we are assuming that point won't be taken out if the ab=cd
pattern is valid). Move stops to break even when the 50% level of that expected range is hit. Move stops once again to 'trailing' once 66% of the anticipated range is hit (which just happened on Friday). Our ultimate target is Point D. of the ab=cd
- in this case 101.62. One should have an open order to sell the long position just sitting on the floor at that level.