Basically you are saying market makers may hide their real intention by faking a move in a certain direction while their true intention is the opposite direction. But what signs would reveal such a fake move is developing according to you? And what made you believe this is what was occuring today?
That is the thing if a market grinds up then quickly like a flash drops but drops to a place where there were signs of previous buying then you could infer that the market moved lower to buy from the weak buyers that liquidated their positions i.e. what you saw was initiated selling that was nothing more than a stop run in motion not too easy to see and to confirm but I guess it is about context. We are always looking out for the market to make a higher low on the retest to confirm that the market has enough shorts to make a rally to the upside and vice versa. A failed new low or failed new high brings about imbalances. Quick drop then build, quick drop then build, then you must watch for a failed low this is the final test before the rally.
Last edited by Trafford; February 6th, 2012 at 11:44 AM.
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all levels have expanded (pushed top trend lines up) so I expect a go around
(retrace and then move up) seeing this on the finer level = dotted lines/red/balck arrows.
Have no idea how low the retrace will be other than it not blowing out it's P1 @1.3060
nor how high the final move up will be..just my 2 pennies worth.
Ps: red/black arrows and trend lines in the blank space on right of chart are not prediacting the price
at which this ought to happen..they are floating..just indicative of the volume cycle I expect to complete.
Got the retrace and increasing black (dominant) volume for the last leg of the fastest cycle which is completing the
slower (thicker trend) line cycle.
No idea how far this will go etc...but seems we are in the final leg of things towards a new P1 of a down trend, not withstanding additional expansions of latest top trend lines, where
ever that may arrive...wierd stuff eh...and thats all she wrote...
Every moment I wake up I realize I know nothing, and then I smile...
Last edited by zt379; February 6th, 2012 at 12:07 PM.
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