catching up
Sorry to be absent so long. My civilians have left. Now for replies:
Options: You are too funny! People name patterns after themselves when they have discovered something new and are sure of it. I'm disqualified on both counts, but thanks for the vote of confidence.... I think this pattern is acutally called "trend day up" .(or down - you understand..)
MaxPain: What are all those lines on the second chart you posted? I understand the bottom one - a trendline connecting the first two points of support, and then the next line up, a steeper trendline - same idea. Then I see 3 other lines that appear to be parallel to the bottom trend line. How did you decide where to put them, - and how do you use them? OK - now for the one I *really* don't understand. There is a line under the price that is trending down on the right side of the screen. I have always drawn my down sloping trendlines above the prices. How did you decide where to put that line, and again, how do you use it? Sorry to be asking trendline 101 type questions - I can't think of any other way to get the most out of the chart you posted.
Frugi: Well a 'holy grail' would sure be handy in our back pocket - we could just pull it out and use it when ever we are unsure - ( lol - I'd wear mine out the first day!) but seriously, I think your idea of waiting for a pull back to a 20 MA of some kind is something I'll look into. Particularly after we are 3/4 of the way into 'the curve.' Prior to that, it seems best to sit on the sideline for the first 10-15 minutes of one of these big moves that take off with this much momentum. 10 - 15 minutes is usually enough time for the powers that be to have finished their fakes, fades, and struggle for dominance, and then I'll be looking into just jumping in with a tight stop after any little pullback I can find. These moves are so big, that even if it takes me 3-5 wrong entries, as long as each loss is tiny, there is still a lot of move and plenty of chance to have a positive day. Do you really use the ADX much in conjunction with a MA? I find that if I just relax my vision and squint a little bit to blur my focus, I can get a smoothed MA in my mind. The steeper the MA, the higher the momentum... The thing I keep reminding my self about these big moves is that it's important to pay attention to what is happening *now* on the chart. The fact that the price went in one direction strongly 10 minutes ago doesn't really mean much, if its clipping along at 50 pips per hour in the other direction now. now.... now....
GammaJammer: I'm not familiar with the USD/CAD pair. I assumed that all of the currencies (especially those paired against the USD) experienced these kind of events. (?) Do you notice it in other pairs also?
Thanks to all who have taken the time to post.
JO
