Dow Intraday charts 21/07 25/07

[ChartMan]

Bottom Dollar/Marky - T1,2,3 etc are target values that are calculated before the event. As time passes, they either "deliver" or fail .
If they deliver, the move MAY continue. If they fail, the move is most likely over for now and time to exit.
From Friday's charts, T! and T2 were the target from the bull flag pullbacks. It is essential that you can calculate targets. That is the way to optimising your profits and deciding if your position should close or continue.With the DOW, you must be prepared to let a 20 or 30 point pullback ( the norm in a rally) run.As I have said before, you'll see a weakness in RSI on pullbacks, i.e a 20 point drop in the price may be attributed to a 40 point drop in RSI.
A 1 point move in price for a 1 point move in RSI is what I would call "par" or going nowhere quickly.
BD- Phase was a very good indicator that I have only seen in AIQ Charting package. It's linked closely to MACD and was excellent in showing longer term divergences ( 10 min charts).

 

[marky]

Hi chartman

Ok i just had a good look at your targets and the penny has dropped there spot on, my only worry is the 20-30 point retracement i dont think i could handle making 30 or 40 points and then see them going away from me maybe with more experience i would be able to identify a Retracement as opposed to a reversal , but i have to say my trading has improved 500 % since studying your thread and looking more at the patterns developing patience is the key.

Regards mark

 

[ChartMan]

OK Marky, then try selling half when you get the jitters..... and go back in with a half if you see the bull flag ( or whatever) starting to go in your favour again.
It's just a matter of a compromise between gaining experience and staying in the game, versus panicking and learning and earning nothing.

 

[marky]

Hi chartman

Cheers for the reply i understand what your saying and taking it all on board i think with time and experience il catch up as stated my trading has improved immensely just by following your thread and are getting more confident with each week im also playing with time frames and looking for the time frame im most comfortable with as what works for one may not be suitable for another . Enjoy the rest of the day gotta go to work now
Regards mark