Saint this is the only grey left in my mind so far.
When I put up a reversal I look for pivots on 15/20 and 60...stops are then moved. Lately I have seen you using only 15/20 without the 60min confirming the reversal point.
Please find some time to explain when to include 60 in determining the reversal point. Reply after market when free..
Journey so far in the Miniflow has been great....Thank you...
Regards,
MJ-
MJ,
Running through the posts from last week till date that require an answer(1 week more than 1000posts!!).Not sure if I had already answered this doubt of yours.
If not already done so,.......Let us just run through a few things,a mini-revision.
10am:The first bar forms.We have only that one bar to work with.We look to enter Rs14 above the high for a long and Rs14 below the low for a short.Once entered,SAR is Rs7 from low(if long).
10:15am:Price goes sideways,SAR not hit.....we remain long(talking uptrends through this whole example).Price goes up.SARs remain where they are....nothing to be done.
10:30am:15min charts put in another HH-HL bar......30min charts put in a HH-HL bar as well.Nothing to be done.SARs reamin where they are.
10:45am:Mini-bearish bar forming on the 15min charts.....?Pivot.....Nothing to be done but hold.
11:00am:Newer highs on the 15min charts.....Higher Pivot low on the 15min charts.30min charts show up as another HH-HL bar.So too 60min charts.
ACTION:Raise stops to the pivot low using the 15min charts.........yep,no waiting for confirmation from higher TFs.Why?Simply because we don't have enough information from the higher TFs.
We are in essence trading the 5min bar at 10am,and then trading the 15min charts till 11 am,trading the 30min charts with help from the 60 and 15 till 3 pm,and then trading the 15min charts till 3:30pm.
So,till 11 am,if we get a pivot on the 15min charts,raise stops to that pivot.If there is no pivots on the 15min charts,wait for 30min charts to complete 4 bars at 11:30am.......The 2 bar method kicks in.After the 4th completed bar,every new bar high is enough to raise stops to 2 bars back.
If we get a situation where we get 5 multiple bars up to 11 am on the 15min charts,.......big monster move up,WRB et al,then and then only do we kick the 2 bar method into the 15min charts..........Again,because we have a huge bar on the 60 and 2 big bars on the 30 and SARs still miles back with no help from the higher TFs.Other than this obviously bullish or an obviously bearish scenario,with multiple WRBs........no bringing the 2 bar method into the 15min charts.
11am-3pm:If a move without pivots happen,then 2 bar method on 30min charts from 11:30am onwards.Pivots on 30 are what we are looking for and salivating over......A break above 30min Pivots is a no-brainer.Reverse it there and then.A break above pivots on the 15min charts need confirmation from the 60min or 30min charts.HH-HL is what we see on the 60min charts in an uptrend,simply a break below a previous low is not enough to go short......it needs confirmation from the 30 or 15.
An amalgamation between time frames is required for a reversal..........and another thing:We tend to forget(me included) that a reversal every day is not the norm.Rather there are more days when moves continue in its original direction ....2-3 reversal days ,one after another,and we are all ready to trigger a reversal at the nearest teenie-weenie l'il pivot on the 15min.
Failed breakout pattern:We have a pivot on the 30 or 60 and a WRB breakout followed by a bearish bar more than or equal to 50% of the range (open-close) of the WRB.Reverse if the following bar takes out the low of the bearish bar.
WRB at the end of an uptrend:Usually coupled with big volumes.Wait for the next bar to form.Short below the low of the 2nd bar.
Reversal bars(Candlestix):Topping tails after an uptrend on the 60min chart,etc
V shaped pattern:No pivots,and the 2 bar would help us reverse....
3:00-3:30pm:SARs adjusted as per the 15min charts if profits not taken off.
Saint
