Hope you've caught sight of the beautiful, pure impulse wave set off by the overnight mini shock airstrikes. Just look at what that shock-wave created. If you love charts, you'll love this...check it on the 1 minute
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last thought...hopefully you don't need telling what happens when an index hits the upper limits of a clear line of resistance in a near straight line and at same time hits the precise resistance level of previous rally....
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Snerka
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Thanks...had a great past few days! I usually stay away from indices and when I came across your post a few days ago, it clicked and made total sense.
Thanks sensei...have a great weekend!
sumastardon
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@Snerka, Appreciate the feedback. If you're beginning now to get the first grasp of understanding how things really tend to work, of a natural ebb and flow, then I'm really pleased to have helped start you on what will prove to be a fascinating journey if you are prepared to work at it and learn to spot patterns that keep repeating themselves and always will so long as humans are involved in any market.
So now, to help inspire you, you need to check out the work of WD Gann if you have not already done so. If not, you need to know that he is the granddaddy of all Technical analysts, whether they realise it or not. He is the single greatest tarder of all time. A definite Aspergic (like Michelangelo, Van Gogh, Tesla and Steve Jobs for starters) he thought in an entirely different way to any other trader out there. In 1909 he's obsessed with vibrations; "Everything vibrates, every stock, every index" Yesterday you understood instinctively exactly what he means. Find it's pulse (not there every day, that would be ridiculous and we'd all be doing it non stop and never need to go to work - but usually any event - like the missile strike - that causes a mini shock to the market will result in an identifiable shock-wave as a result. That wave is a buying or selling impulse wave. And it will behave like any self respecting wave should...by VIBRATING between the parallel lines that contain the wave and that day's trading. So beautiful. But if you 'get that' after one week, you've made more progres than most do in a lifetime of trading. Yesterday was PURE GANN. The greatest trader ever. So now to prove that fact to you, visit majormarketsconfidential.com and click on the "contact us' button and the on W D Gann button in navigation. And as you're reading remember that it happened 108 years ago. And that it feels like it was written yesterday. That would be because nothing changes. Everything around us changes, our cars go faster and even drive themselves, we have black boxes that we use to skim fractions for us while we sleep and every new financial device available to us under the sun along with so much incoming new information that makes it difficult to see the wood for the trees. Charts let you see things clearly, without the accompanying BS that spews out of CNBC and other totally useless media outlets. Amongst all this change there is one constant. Human nature. It has never changed and never will. The man who takes on Wall St is basically a hunter and is prey to the exact same fear and greed (need to eat) that the original hunter felt as he tried to bring down his prey. That will never change. learn to trust yourself and control those emotions, becoming an automoton when in trade. Do what the chart damn well tells you to do and always have a plan B prepared BEFORE trading so you cannot really mess up big...that means selling against the crowd as the Sand P hits the top of its channel with a stop one point above it so that if wrong (plan B) you only lose 1 point because you had the courage to sell right at the top - if you'd waited around hoping for better when it's just done a straight line ascent to meet same resistance point your'e now faced with selling 2 points below the high and your stop is STILL going to have be in the same place so now you risk 3 points because you didn't have the self belief to sell at the prefect spot....that takes courage and belief. You either have that or you don't. Just play by the rules, using sensible stops (if you can't see where to put the stop there's something wrong with the trade, generally) and don't push anything too hard in this market! Still more sideways crap to grind though yet awhile. So stay nimble and accept it's not a science, though using stops helps to quantify risk before a trade is even entered into. It doesn't work all the time but interperted properly it does work about 80% of time in my experience. Good luck to you. And discipline and courage too !
Snerka
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lol hope not! Took profits and went short for the quick fall : )
sumastardon
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@Snerka, hopefully you had a good day out then! I did leave a comment/afterthought (under the original comment so never know if anyone actually sees them, but they are there for the record at least - explaining - or rather leaving to the imagination of any competent chartist to deduce what happens when an index hits the precise high of the previous rally whilst having moved in a near straight line and also hitting the limits of the wave channel that started the move overnight in the first place....fairly obviously it comes ALL the way back down. It usually does this a total of 4 times during the wave, whether it lasts 1 day, or 5 years. Seriously. Strange but true. Have a good weekend dude
Snerka
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It is a thing of beauty! Good going once again on your calls.
Thanks sensei...have a great weekend!