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Trading Timing & Analysis |
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Trading Timing & Analysis |
Trading with timing is done by understanding how to combine the intermediate term points, the medium term points and the long term points to define direction. Once direction is defined, a trading plan can be put in place. This plan might be to go long or to buy a commodity, or it might be to tighten up a stop because of an intermediate and a medium term high or low is developing.
The intermediate term points were solved using a daily chart over a 4 month time frame. A pattern develops that becomes a mathematical solution of highs ands lows based on ten time frames. The intermediate time frame has an inversion time window between the last point of the series and point 2. Major trends develop in the inversion time window.
The medium term points were solved on a weekly chart dividing the year into 4 periods. The mean of ten periods is used to create a solution that also contains the inversion time window starting after the last point of the series and ends at point 2.
The long term points were solved on a monthly chart and use 4 years of data to build a cycle. The mean of ten cycles builds a long term solution. The long term solutions have an inversion time window and historically define where strong trends develop.
Inversion Time Window, part of each time frame, intermediate, medium, and long will develop a W or M pattern or a trend. The inversion Time Window begins after the last point of a series and point 2. A trend develops when the points invert in the inversion time window. If point 1 is a low, point 2 will invert allowing the trend to continue up to point 3. One of my rules: Trends have a high probability of ending at point 3 in each time frame. An In Between Point develops to create a continuation of trend. (click chart to enlarge)
On this day FOMC minutes were released causing the E-mini to make an extended low then make new daily highs before selling off to retest the low. Therefore point 12 is a low with an In Between Point for a continued move down to point 1. Point 1 wants to be a low to time with the medium 4 low retesting the long term 14 low.
The Timing Service combines intermediate, medium, and long term points. To receive the Timing Service under Client Services click on "Timing Report."