LCM TO PERFECTION
LCM TO PERFECTION
Earlier today I gave you the intraday analysis. Now let’s look at the daily chart.
Looking at the chart we can see that we had a bullish pivot form at yesterday’s daily close, on higher volume.
Today we pulled back to test the range of the swing bar and went up to where…? Yep, 3 bar. I have once again numbered the 3 bar count for you and illustrated 3 bar resistance at the red line. Drop down to your intra-day charts and you will see price reversing exactly off 3 bar to the very pip.
This may be just a temporary bounce off of 3 bar but as I teach in LCM, when price hits S/R you should at least expect a bounce.
What is our conjunction/convergence? Well, the same bar that is the 3rd bar in out 3 bar count is a range bar therefore the top of this bar also represents resistance.
Then we see that the top of this range bar is just above Fibonacci 50% from the down move (bear pivot) that began on 5-15. (BAR Z)
Then we see that this same level is at the low of the swing bar of the bear pivot that started the down move on 5-15. (BAR Z)
Summary: We have a bull pivot point at 3446 to define our entry point. We had an intra-day 4hr bull pivot point that formed at 3451 that I illustrated on today’s earlier post. We had a bull pivot on the 1hr at 3427 and 3 bar for this 1hr pivot was 3451. We closed above this 1hr 3 bar target on higher volume to confirm/flow with the daily and 4hr bull pivots. We had two bull pivots on the 30 minute to confirm our other time frame pivots. Thus, all systems were go. These presented a multitude of converging buy signals all supporting each other.
The supports for the targets have already been outlined above and there are others intraday but you get the point.
Question: On the daily 3 bar count I did not count the bar preceding the swing bar. Email me and tell me why you think that is… hint, it was not because it was an inside bar because it fell 1 pip lower than bar 3. But since it was so close I did consider it as an inside bar but the reason I did so was because I had additional, a more important reason not to count it. Do you know what it is? If you are not sure it means that you don’t understand one of the most important requirements for a valid swing bar.
SPECIAL NOTE: AT SOME POINT THIS WEEK I WILL BE CLOSING THIS BLOG TO THE PUBLIC. IT WILL ONLY BE AVAILABLE TO REGISTERED SUBSCRIBERS OF THE LAWS OF CHARTS AND MEN.
I WILL OPEN A SEPARATE BLOG FOR THOSE WHO PREFER FREE INFORMATION THAT IS NOT AS DETAILED AND WITHOUT TRADE CALLS.
Earlier today I gave you the intraday analysis. Now let’s look at the daily chart.
Looking at the chart we can see that we had a bullish pivot form at yesterday’s daily close, on higher volume.
Today we pulled back to test the range of the swing bar and went up to where…? Yep, 3 bar. I have once again numbered the 3 bar count for you and illustrated 3 bar resistance at the red line. Drop down to your intra-day charts and you will see price reversing exactly off 3 bar to the very pip.
This may be just a temporary bounce off of 3 bar but as I teach in LCM, when price hits S/R you should at least expect a bounce.
What is our conjunction/convergence? Well, the same bar that is the 3rd bar in out 3 bar count is a range bar therefore the top of this bar also represents resistance.
Then we see that the top of this range bar is just above Fibonacci 50% from the down move (bear pivot) that began on 5-15. (BAR Z)
Then we see that this same level is at the low of the swing bar of the bear pivot that started the down move on 5-15. (BAR Z)
Summary: We have a bull pivot point at 3446 to define our entry point. We had an intra-day 4hr bull pivot point that formed at 3451 that I illustrated on today’s earlier post. We had a bull pivot on the 1hr at 3427 and 3 bar for this 1hr pivot was 3451. We closed above this 1hr 3 bar target on higher volume to confirm/flow with the daily and 4hr bull pivots. We had two bull pivots on the 30 minute to confirm our other time frame pivots. Thus, all systems were go. These presented a multitude of converging buy signals all supporting each other.
The supports for the targets have already been outlined above and there are others intraday but you get the point.
Question: On the daily 3 bar count I did not count the bar preceding the swing bar. Email me and tell me why you think that is… hint, it was not because it was an inside bar because it fell 1 pip lower than bar 3. But since it was so close I did consider it as an inside bar but the reason I did so was because I had additional, a more important reason not to count it. Do you know what it is? If you are not sure it means that you don’t understand one of the most important requirements for a valid swing bar.
SPECIAL NOTE: AT SOME POINT THIS WEEK I WILL BE CLOSING THIS BLOG TO THE PUBLIC. IT WILL ONLY BE AVAILABLE TO REGISTERED SUBSCRIBERS OF THE LAWS OF CHARTS AND MEN.
I WILL OPEN A SEPARATE BLOG FOR THOSE WHO PREFER FREE INFORMATION THAT IS NOT AS DETAILED AND WITHOUT TRADE CALLS.
THE RESULTS OF THE REAL TIME TRADE CALLS WILL BE POSTED THERE AND GENERAL INFORMATION THAT IS NOT PROPRIATARY TO THE LAWS OF CHARTS AND MEN.
JERRY
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