Guys and Gals, I've decided to take whatever time necessary to get this new automated system working, as it's showing huge promise. This may be a week or two, or a month or two. My blog-stats show I'm guessing to be around 40 followers here, so this is kind of a public service message :-) .....if you'd like to be notified when I get back in the hotseat, leave me your email at Atlatyl@Gmail.com. You probably know me well enough by now that I am the kind of guy that disdains junk mail in my mailbox, junk mail in my email box and unsolicited phone calls...hence I will treat your address with due respect and privacy.
As you trade, remember these things:
1. Where is price (especially at open) in relation to: A. The overnight (16:30--16:15) session's center, and B. Yesterday's center. Center is balance..and price's only purpose is to test the previous swing high or low. The overnight is the most immediate, followed by yesterday's action. This is in the back of everybody's mind. So is last weeks, last months, etc.
2. Do stats on how often the overnight high or low and the previous day's high or low are tested each day, how far they are exceeded. Remember if you are over the center, you have a better than 50% chance of a test of the high just because it's closer. Take stats on this notion: If price fires right out of the gate to test the swing high, does it punch thru or bounce off it? If price pulls back near the open, and then runs for that test...does it have a better chance of blowing thru it?
3. How are we coming into market each day re 3 MA's...are they cabled...or stacked to the up or downside?
4. Use your price by volume studies...area's of heavy volume are almost guaranteed chop zones for roughly 3 points on either side. The volume control point is considered 'fair price'..like a busy marketplace in a large city...lots of haggling...you want to be either on the caravan out across the desert to the first source of water (next volume control point), or the return from that trip back to the marketplace. Also, the overnight center and YesterCenter are within roughly 6 points of each other, and price is between, you're likely in for some chop suey.
5. If you're having a hard time with the 3 line break 3rb, 1rb, .5rb entry, know that the current range bar closing over the last range bar is an excellent entry signal for longs, vice versa for shorts...especially off S/R.
Good luck...hopefully see you sooner than later ;-)
