Now all markets are different and I spend a good amount of time acquiring sore eyes and a tired brain trying to figure out how a market moves in order to predict future movements. So with this said unfortunately I have not quite hacked this market yet however there is a very good tool you can use to keep an eye on most markets to know when to get into bull or bear side of a trade.
I did not hide indicators used on this chart to be able to point out which indicator is in question here. So you will see pointed with purple arrows both the name (CM_Ultimate_MA_MTF_V2) of the indicator used and the indicator depicted on the market itself. When market is in bull trend, this indicator heads uphill and is green and when in bear market, this indicator is in red pointed/headed downhill.
Now I try to trade as safely as possible so I rarely get into a market that has been trending a direction for a while if you have no idea where the market will peak at in that current trend so you may get in at the end of that trend which you would certainly not want to. So this means that my advice to watch the market in whatever trend it is in and wait to see indication of change of trend and get in right at the beginning of the new trend and watch your profit grow some. So the drawbacks here is that you need to keep a close eye on market to see when it suddenly goes into a new trend and as you do not know when this will be, it can be a pain playing the waiting game lol.
Also, as you can see this indicator is applied to monthly view and this is good for long term outlook but it can also be used on shorter timeframes, infact I advise it as this allows for short term trading opportunities. For e.g. a bear trend you will see in a 1hr view, you would not necessarily see in a one month view and this would mean that the market going bearish was not strong enough or long term enough to be depicted on the monthly view but you could have traded it quickly and got out of the market in days with short term view. (hope it all makes sense).
Now I personally trade alot of short terms but recently started paying more attention to long term trading but I still like quick cash so I will always trade short term lol. Would love to give credit to the person who created this indicator CM_Ultimate_MA_MTF_V2, it has helped me loads, especially in volatile markets. This indicator seems to have been created using multiple tools. Do not quite know if the indicator can be accessed by non paying members on here as I first used it while on free trial but If you use the one month free trial available to all, you should definitely be able to access it. There is a way to access it beyond free trial but i'll leave it at that ;)
DISCLAIMER; Do set stop losses when trading but be generous with how much room you allow for this due to candle wicks and there is also the possibility to hedge yourself, for more confident traders.
All comments and questions welcome, if curious about indicators I use then feel free to inquire.
Looks like BUY signal was given in early 2011, at SPX 1000, in CM_Ultimate
and except for the whipsaw decline/advance in 2015/2016,
this indicator has kept you on the right side of the market for over 7 years !
That is a valuable indicator. Pardon me while I look at this chart presented much closer,
as it is worth it;s weight in gold.
Please update, and post this S+P 500 chart monthly, with CMT_Indicator,
if you can, just as a GPS compass, for trend following trading purposes.
That would be very valuable to the trading community at large.
Thanks again.
The_Unwind
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Thank you for your S+ P 500 update. Dani O
The CM+ULTIMATE indicator as shown obviously keep's one on the right side of the market trend for multiple years,
and for that, and that alone, is very worth its while.
So interesting to note that the October 2018 decline came right down to "GREEN LINE" SUPPORT,
and then bounced up sharply, confirming multi year.. weekly... Trend line chart support since 2016
CM_ULTIMATE is a must.. for serious traders, to add to their arsenal... ( If they can get the data !) :)
Dani0
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@The_Unwind, Yes the indicator has Moving Average (MA) incorporated to it by its creator, i think they used one of the key moving average figures often used in trading, I usually apply 50 EMA to my charts which is the level the white line follows, this is also another popular key support area so market sometimes bounces off that too. I can also apply the indicator to shorter time frames and post, this way, one does not have to wait years to get into it.
Dani0
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@Dani0, I charted the lesser time frame privately just to add here, here it is. Hope it is insightful
The_Unwind
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Note: The CM_Ultimate Indicator is currently at 2644.70
and except for the whipsaw decline/advance in 2015/2016,
this indicator has kept you on the right side of the market for over 7 years !
That is a valuable indicator. Pardon me while I look at this chart presented much closer,
as it is worth it;s weight in gold.
Please update, and post this S+P 500 chart monthly, with CMT_Indicator,
if you can, just as a GPS compass, for trend following trading purposes.
That would be very valuable to the trading community at large.
Thanks again.