12/9/2023 0 Comments Td sequential explained![]() ![]() The theory is presented in a way which is very easy to understand. when I already had the information which I have needed:)īut Murphy's law I have found it one week later. The post is not intended to be a comprehensive guide how to trade using Tom Demark's technique there is books about that. In "DeMark INDICATORS by Jason Perl" for example you can find the info - when trading signal is appearing/entry level/stop level etc. and much more TD indicators and techniques. The post is intended to be a quick reference so we do not need to look for the rules each time on Internet or in the books:) I will post my thoughts and some charts which will help you to understand how to apply Tom Demark's method in the practice. I am not a Pro but I hope that the post will be a good starting point for you to start using TD Sequential in real trading. TD Sequential indicator consist of two components. TD Setup is the first one and it is a prerequisite for the TD Countdown – the second component. TD Setup compares the current close with the corresponding close four bars earlier. There must be nine consecutive closes higher/lower than the close four bars earlier. TD Buy Setup - prerequisite is a bearish price flip, which indicates a switch from positive to negative momentum. – Cancellation - If at any point a bar closes higher than the close four bars earlier the setup is canceled and we are waiting for another price flip – After a bearish price flip, there must be nine consecutive closes, each one less than the corresponding close four bars earlier. Setup perfection – the low of bars 8 or 9 should be lower than the low of bar 6 and bar 7 (if not satisfied expect new low/retest of the low). TD Sell Setup - prerequisite is a bullish price flip, which indicates a switch from negative to positive momentum. – Cancellation - If at any point a bar closes lower than the close four bars earlier the setup is canceled and we are waiting for another price flip – After a bullish price flip, there must be nine consecutive closes, each one higher than the corresponding close four bars earlier. Setup perfection – the high of bars 8 or 9 should be greater than the high of bar 6 and bar 7 (if not satisfied expect new high/retest of the high). TD Countdown - after a setup is finished the countdown can begin from bar 9 of the setup.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |