PREGNANT MOTHER-INSIDE BAR

Now I'd like to better introduce you to the pregnant mother pattern or inside bar.

I will go more in depth about this pattern later but since one is forming right now I wanted you to get a chance to see one before I go into them.

It can be considered an opposite to the outside bar. If the market rises above baby's head you don't have to wait for the close of the pivot bar. In other words it is a heads up to a pivot in progress and can be expected to rise to the top of mother's head for and up bar and the bottom of mothers feet for a down bar. Don't worry the explanation is below.

A nice move usually follows this pattern. Don't trade it just watch it and see how it plays out. Also, the larger the mother the larger the baby and the larger the move.

This is one pivot where you can consider an early entry. Before the close of the pivot bar.

you see on the chart that baby has a range (high and low) that is contained inside mommy's range (high and low). Thus Mom is with child and all that left is for her to give birth. That is for baby to close outside of mommy.

There are only two exceptions for the pivot requirement of the swing bar to have the lowest low or the highest high. You are already familiar with the outside bar exception. The second one is the Harimi (pregnant mother). Harimi is the Japanese word for pregnant. (see your candlestick dictionary)

Once the pivot is formed, baby becomes the swing bar but your stop will be placed below mother or under mother's protection.

If baby has an up close, baby can be expected to break out of mom to the upside. If baby has a down close baby can be expected to break out of mother to the up side.

When the next bar after baby closes above the close of baby(close of bar), you have your pivot bar and baby is the swing bar. Note: Though baby is the swing bar your stop goes below mommy.

If you look to the left of your chart to bar #1 you will see an example of this pregnancy and birth. If you look further up left on your chart to bar#5 you will see an example to the downside.

Like all normal births without complications baby should be expected head first.

When baby's head is down (down close) baby can be expected to be born head first, down. When baby's head is up baby can be expected to be born head first, up.

The entry signal comes when you have a 15,30,or 60min close above the high of baby's head.

So, there you have it. Another of natures workings manifested on the charts.

Jerry

GBP TARGET HIT

THE GBP HIT THE TARGET OF 9787 AT 2:40 PM EST

AT THE TIME OF THIS WRITING IT HAS BOUNCED AS ANTICIPATED WITH A BULL PIVOT ON THE 1HR.

THIS IS NOT TO BE CONSTRUED AS A BUY SIGNAL.

IF WE GET A BULL PIVOT ON THE 4HR THAT WILL BE A SIGNAL THAT THIS MARKET WILL BE PUMPED TO BREAK THROUGH FIB 38%.

YOUR FRIENDLY OPERATORS CUT THIS LEVEL AS INDICATED IN MY EARLIER POST. THIS IS WHAT HAPPENS WHEN THE HERD IS AT A SUPPORT/RESISTANCE LEVEL. NOW THAT MOST OF THE HERD HAS BEEN SHOOK OUT BY THIS DOWN MOVE AND NOT TOO MANY WILL PROFIT FROM THAT 38% LEVEL THE MARKET IS READY TO GO THERE NOW. BUT REMEMBER, ONLY A 4HR BULL PIVOT WILL CONFIRM THIS.

CUTTING SUPPORT/RESISTANCE

Like I stated in my GBP analysis, market makers will cut the target like they did at 38% Fibonacci, when there is high volume at a known support/resistance area and too many small traders will profit.

Know that the major players do not intend for you to profit ever. They've got computers that make your desktop look like a pencil and paper.

They don't have to target you personally, Like the phone systems, and when too many traders will profit, it eats into their profits. Thus, when the level of high volume is approached, (well known support/resistance-the herd), the computerized buy or sell program kicks in.

Many of you might have heard about the computer system called echelon, A.K.A. "THE BEAST", that certain governments use to monitor every single item of electronic communication across the globe.

So, you should not consider it a stretch to conclude that operators who control trillions of dollars in assets have access to similar hardware for you Mr. and Mrs. Herd.

I often get traders who want to debate me about operators and how they don't have time to monitor their itty bitty account and I am some kind of conspiracy nut.Well, reality bites and if you choose to remain willfully ignorant of it, it swallows.

I don't get those debates now since it's been all over the media about these Orwellian systems. But like everything else, that information was available 10 years ago for those who want to know. And it's like many things that I reveal to you, they will also be revealed in the future. But just like it's to late to stop the beast now, it will be too late for the herd then.

And that is why LCM works so well. Because hidden areas of support/resistance levels are revealed to you where the herd knows nothing about. "THE BEAST" skips over you for fatter pickings elsewhere.

Jerry

UPDATE USD/CHF

THE CHF STILL HASN'T SHOWN HER HAND. SHE CLOSED WITH A 4 HOUR BULL PIVOT AT 12:00 AM EST, BUT SHE HIT 3 BAR RESISTANCE ON THE SAME BAR AND BOUNCE OFF PRETTY HARD TO FALL BACK AND CLOSED DOWN TO TEST THE BULL PIVOT ON HIGHER VOLUME.

THE CLOSE OF THE 1HR BAR AT 9:00 AM EST SHOULD REVEAL HER TRUE INTENTIONS.

JERRY.
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TRADE UPDATES

THE EURO/USD HIT THE TARGET STATED IN LAST POST 3557 AT 7:23 AM EST.

THE GBP/USD DID NOT YET CLOSE ABOVE 38% FIBONACCI AS WAS SUGGESTED YOU WAIT FOR CLOSE ABOVE HERE BEFORE ANY LONG ENTRY.

KEPT YOU OUT OF A 47 PIP PULLBACK FROM THE HIGH. DON'T CONSIDER GOING LONG HERE UNLESS WE GET A PIVOT ABOVE 9806.

AND LOOKS LIKE IT WILL TEST 9787 BEFORE IT TRIES TO RESUME ANY UP MOVE. A BULL PIVOT AT THIS LEVEL WOULD BE A SAFER BET.