TradeSheet for Friday March 7

March 06, 2014

Key:   “Pat” = Pattern  Cows and Cocoa have IR/NR7 but most other markets  show wr7 or range expansion.    After range  expansion, odds favor “Z” day or morning trading range/consolidation.

“B”   is for when there is a three bar triangle pattern – something that can lead to  a trade in EITHER  direction.   Thus ignore the 2  period ROC  signal unless you have high degree of confidence from something else.

“TP” is trend potential – the lower this number the greater the odds of good trend  day.  Anything below 40 tends to be significant.  Copper and Cocoa have low readings.

3  and 3.  This is PF3, positive  feedback.  A PF3 means the slope of the 2 period ROC,  the 3/10 osc  fast line and the 3/10 osc slow line were all in the same direction.  If you  see 2 PF3s DOWN  (-1  -1) in an overall uptrend  that is one of the best  Buy Signals.  For example, Sugar just  had  2  “PF3s down” 3 days ago which set up upside breakout  from coil.  Now it has two PF3s up – not a short signal, but may need a consolidation  day.  Sometimes if there is just 1 PF3, it May be a short term climax.

“P is for pinball Buy or Sell – similar to looking for retracements on a 120 minute time frame.

“5”  is for when there is the first close on the opposite side of the 5 period daily  moving average after an extended run.

-D or +D is possible  buy or  sell divergence on the daily OSC.  Ignore this signal if the weekly chart has good trend intact.

“Sig”  = 2 period ROC.  S =  first  day flip down.   (S)  2-period ROC has been down for more than one day –  look for potential reversal. (Buy Day).  STPvt.   tells level that will cause 2-period ROC. 2 ROC – momentum trading on the close.  2 ROC[1]  Reading from the day before.