3 and 15min in perfect sync

And here is the 15min Chart...............

Do you all see how the FTSE was bouncing off 15min DP support as the 3min TS3 (then TS4) buys came in ? In other words, both these 3mnin buys were “in the direction of” the larger degree 15min Chart

Thanks, Steve

3 and 15min in perfect sync

Hi Everybody,

A great example of how the 3 and 15min charts work in sync with each other has just unfolded on the FTSE today.

Please see the chart to the right, here you can see a TS3 buy, then a TS4 buy again later (if you missed the first TS3 buy). The STF was strong, so the Standard Traders among you would have then used the ATRStop to run the trade. The more Advanced Traders among you would have noticed that the FTSE had reached the Typical Wave 3 WPT, so maybe was a good idea to look to tighten stops.

The result was a nice +5.6R Profit at the Typical Wave 3 WPT (ignoring slippage and commission)

Thanks, Steve

Hi Everybody,

There have been no posts for the last few days as it was a holiday weekend here in the UK :-)

Steve

And that is exactly what unfolded, just as the Wave 4 low was coming in on the 5min NQ chart, we had an automatic TS3 (abc correction) buy on the 3min Chart. This got you long just before the sharp rally !

Standard traders would have used the ATRStop as the STF strength band was exceeded for a nice +8R Profit (approx and ignoring slippage and commission). But the Advanced Traders among you will have noticed that the rally bumped right into the higher DP resistance zone. At that time you were sitting on a massive +10.5R Profit, so what was the sensible thing to do ? Exactly, look to tighten stops and protect this massive profit....

But do you all see how this TS3 buy was logical and “fitted in” with the 5min chart and as such was one that you all should have caught. And what a brilliant trade it was :-)

Steve

And what usually comes after a Wave 3 ?

Exactly a Wave (4) correction..........

As you can see, this was found on the 5min chart, so time to go back to the 3min chart to see whether this Wave 4 correcting had “sub divided” into a lesser degree abc.,

Onto the next post,

Steve

As I suggested in the chart in the last post, once a market rallies beyond the typical Wave C WPT, then that move should be considered more “impulsive” rather than “corrective”. A quick look at the 5min chart conforms this where the rally is found as a Wave 3.

Onto the next post,

Steve

A look at the 3min NQ

Hi Everybody,

Today I would like to look at the NQ, particularly on the 3min chart to see how it evolved during the day yesterday.

First let’s start with the initial decline, notice how that stopped right at the extended Wave 3 WPT, this nailed the low of the day for you !

Then we had a good looking TS3 sell, and yes (after the initial sharp fall) the chart looked bearish, so taking this sell was OK. However, this was stopped out for a -1R loss. Yes, we all know loses can and do happen, but this loss was kept small and under control, so you were doing your job well here.

But, it is what happened next that I would like to focus on............ particularly how you view a market that rallies past the typical wave C WPT, what does this mean ?

Onto the next post,

Steve