Patterns To Profit

I wanted to approach price from a more detailed angle looking at candles closely and building a picture from the ground up. My preference for patterns is too strong and we wandered down some different corner of our system today. The walk was not pointless, in fact many ideas and assumptions that I use became more conscious to me. Now looking back I can see more clearly how my intuition was working on building and defining various structures used in our strategy. Namely the s-wave, anchor points, divergent doubles, impulse waves and impetus waves.

Good Trading.

Structuring Momentum

Today we take another walk down abstraction lane discussing how we can apply our set of rules to candle closes not just waves to organise price into some understanding. The products of such analysis are much more relative and subjective but still very capable of slowly winding their way into some logical position.

The terms and ideas we've been using have been increasing in precision the last few weeks. This is the strange effectiveness of logos. Simply converting the ideas and expressing them in words reveals the spaces and inaccuracies very clearly. Often these errors are very easy to fix as all the difficulty was in recognising them in the first place, not in solving them. In a few days I will post a terminology video that directly outlines the cornerstone ideas used in my strategy.

Good Trading.

Minimum Cases

In very simple terms our strategy requires some favourable environment and an entry pattern. Our environment referred to as 'structure' and 'context' has some minimum case. Information is necessary and can be obtained in what most simple situation? This is the topic of todays video. To define this minimum case and to explore our strategy from the fundamental building blocks only adding complexity one wave at a time. It should be noted that in these examples we look explicitly for self-similar patterns. S-waves that form both the environment and the entry pattern. Of course other favourable environments can be found and other entry patterns are used. The s-wave however, is our primary pattern.

Good Trading.