|
PureBytes Links
Trading Reference Links
|
Walt Downs wrote:
> Mark wrote:
>
> >Thanks for your posts but there is something I don't understand, for
> >example, sept Swiss ID breakout and MTX bullish, does it mean that
> the
> >swiss or the dollar is bullish ?
> >Thanks
> >Mark
>
Mark,
If you keep dollar/swiss chart, this trade of the swiss was easy and
couldn't have miss by anyone. A perfect triangle had form last week in
the cash market. I put an OCO order based on the daily chart's triangle
and made a few bucks.
Have a good one
Jeff Harteam
Hong Kong
> Mark,
>
> ID and the MTX are designed specifically for a short
> term 1 to 5 day period. ID breakout days indicate
> that the market has potential for a signifigant
> breakout from the previous days trading range,
> to the upside OR downside.
>
> The MTX is similar to MACD. It can show trends that
> have potential, and it can also show if the continuing
> trend is likely to fail. IT also tracks volatility.
>
> If the market is traveling downward (the Swissies
> are a good example.) and the MTX indicates that the
> market has reached it's maximum potential this is
> considered bullish.
>
> In fact it helps to quantify
> the situation for the trader. In order to continue
> in its original direction the market MUST become
> more volatile. In this respect, when a Bullish
> MTX is violated, you KNOW the market is serious
> about going down.
>
> The death knell for the Swiss right now is the
> intraday pattern: Strong in the morning and weak
> in the afternoon. I've been buying it early, and
> dumping it before the lunch hour.
>
> When we start getting selling late in the day,
> this usually means the larger concerns are
> interested in being short. These sellers have
> the strength to provide all the volatility
> they need!
>
> So, on the Intraday level (At least for now) Buy in
> the morning sell in the afternoon, and think twice about
> going long on any kind of intermediate or long
> term strategy.
>
> By the way, there's a good analogy I can use here
> for tringle stomps.
>
> If you've ever seen the movie RED OCTOBER, you
> heard them mention the submarine maneuver called
> "Crazy Ivan", where the captain makes an abrupt
> about face in order to see if anyone is on his
> tail. Stomps are just like that! A break out of
> a triangle, followed by an abrupt about face
> (Usually back to the apex of the triangle), and
> then a resumption of the original breeakout.
>
> You know, I like that so well, I think stomps
> just got re-named!! Thanks Mark!
>
> Hmmmm..... Seems I'm going a long way to answer
> a simple question. :)
>
> The Swiss franc is weak.
> I don't trade the dollar enough to have an
> opinion.
>
> Thanks for reading the posts,
>
> Walt Downs
> CIS Trading
|