Range based harmonics are what I consider to be probably the most useful thing to have in a market. Any time the market has been choppy for a while and then goes parabolic (In a downtrend, capitulates in an uptrend) and we form this nice "W" like structure, I'm a happy trader. Especially if before this I've been trying to use trend continuation patterns in a range because when I do that I tend to have losing streaks. But once I see this "W" like structure I am always fairly confident the market is going to start to trend soon.
While nothing is 100% in trading, the closest thing I've observed to being 100% in trading is when you are able to define a good ranged based harmonic the outcome of that harmonic will produce a trend move. The harmonic will either succeed and there'll be a strong reversal of the parabolic spike and a new low will be made (In strong trending manner) or the harmonic will fail, the entry level will retest and then a strong continuation of the bull move will come.
Although it does not give you a sure direction, the forming of a harmonic often gives you a clear indication of what state of markets we'll see in the somewhat near future. That strong trends are coming (Perhaps after choppy ranges around the decision zone). There are very few occasions in which a harmonic sets up and there is not a trend move after. The question is just what direction that trend move will go in. And you can define the pivotal areas (As per harmonic rules), try the reversal trade and then switch to breakout trading if it fails.
Range based butterfly bull traps like this in the context of a downtrend can be extremely strong patters. A lot of the time when the overall move is complete you can see this butterfly pattern is around the middle of the trend and comes just before the obvious big bear breakout. The completion of the butterfly is usually the part where you'd wish you'd shorted when viewed after the fact. We're in that zone right now. Shorting AAPL (And pretty much everything else). Very strong bearish bias under the bull break zone.
Most likely out and reverse if stops hit. Position building into a drop. I think a drop starting from these levels could become a very legit one.
While nothing is 100% in trading, the closest thing I've observed to being 100% in trading is when you are able to define a good ranged based harmonic the outcome of that harmonic will produce a trend move. The harmonic will either succeed and there'll be a strong reversal of the parabolic spike and a new low will be made (In strong trending manner) or the harmonic will fail, the entry level will retest and then a strong continuation of the bull move will come.
Although it does not give you a sure direction, the forming of a harmonic often gives you a clear indication of what state of markets we'll see in the somewhat near future. That strong trends are coming (Perhaps after choppy ranges around the decision zone). There are very few occasions in which a harmonic sets up and there is not a trend move after. The question is just what direction that trend move will go in. And you can define the pivotal areas (As per harmonic rules), try the reversal trade and then switch to breakout trading if it fails.
Range based butterfly bull traps like this in the context of a downtrend can be extremely strong patters. A lot of the time when the overall move is complete you can see this butterfly pattern is around the middle of the trend and comes just before the obvious big bear breakout. The completion of the butterfly is usually the part where you'd wish you'd shorted when viewed after the fact. We're in that zone right now. Shorting AAPL (And pretty much everything else). Very strong bearish bias under the bull break zone.
Most likely out and reverse if stops hit. Position building into a drop. I think a drop starting from these levels could become a very legit one.
We may be inside of a crash event to 3000 in SPX.
Read the full case with backlog of historic analysis/forecasts here: holeyprofitnewsletter.substack.com/p/the-case-for-3000-in-spx
Read the full case with backlog of historic analysis/forecasts here: holeyprofitnewsletter.substack.com/p/the-case-for-3000-in-spx
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We may be inside of a crash event to 3000 in SPX.
Read the full case with backlog of historic analysis/forecasts here: holeyprofitnewsletter.substack.com/p/the-case-for-3000-in-spx
Read the full case with backlog of historic analysis/forecasts here: holeyprofitnewsletter.substack.com/p/the-case-for-3000-in-spx
免責聲明
這些資訊和出版物並不意味著也不構成TradingView提供或認可的金融、投資、交易或其他類型的意見或建議。請在使用條款閱讀更多資訊。