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Strategies & Market Trends : Buy and Sell Signals, and Other Market Perspectives -- Ignore unavailable to you. Want to Upgrade?

To: KingHigh who wrote (15285)	3/11/2011 12:28:38 PM
From: GROUND ZERO™	Read Replies (1) \| Respond to of 220818

Yes, excellent observation, and you're absolutely right about that... it's as if there's some sort of invisible membrane that holds prices back from breaking through and triggering that new buy or sell signal... but then, once it manages to pop through, the market begins an explosive move in that direction... this is what the model is actually measuring... it measures precisely the exact price point at which the real trend is changing direction... There is that old question of "when is a pull back no longer a pull back but the beginning of a new trend?" Well, my model measures that exactly to the tick... so, for example, for a new sell signal, when everyone else is buying that "dip," the trend has actually changed direction (however not at all apparent to anyone yet) and as the market moves even lower, stops are run and new buyers sell out driving the market even lower... GZ