Shown below is a Skype text conversation with a trading buddy discussing what I believed was a big top forming in LMFA. At the time it was the #1 stock of the day. Please learn to a) observe and b) study recent technical “patterns” (trading patterns, not chart patterns, they are completely different concepts). So that we can c) anticipate, not react – again so that we can anticipate NOT react.
Below the Skype snip is the chart which I sent to my buddy. And the bottom chart is LMFA now. The weak hands were going wild for LMFA at the top.
Trader Scott has been involved with markets for over twenty years. Initially he was an individual floor trader and member of the Midwest Stock Exchange, which then led to a much better opportunity at the Chicago Board Options Exchange. By his early 30’s, he had become very successful in markets, but a health situation caused him to back away from the grind of being a full time floor trader. During this time away from markets, Scott was completely focused on educating himself about true overall health and natural healing which remains a passion to this day. Scott returned to markets over fifteen years ago where he continues as an independent trader.
4 Comments
I see three selling climaxes which reminds me of the EA on the selling end just before a higher probability entry point on the long end, do you also use this approach on a potential entry point on the short end? Is this a common indicator of a topping process along with the volume indicators?
I do see in the action the interplay of weak and stone hands in the chart… it’s a good object lesson.
Yes, but I rarely short these small stocks. I’m doing a post about this, breaking down on a 1 minute chart, that EKSO top, and also look at the LMFA post on the front page – 123 top. Yes, everything in markets to me is about sentiment – weak to strong, strong to weak.
I see three selling climaxes which reminds me of the EA on the selling end just before a higher probability entry point on the long end, do you also use this approach on a potential entry point on the short end? Is this a common indicator of a topping process along with the volume indicators?
I do see in the action the interplay of weak and stone hands in the chart… it’s a good object lesson.
Yes, but I rarely short these small stocks. I’m doing a post about this, breaking down on a 1 minute chart, that EKSO top, and also look at the LMFA post on the front page – 123 top. Yes, everything in markets to me is about sentiment – weak to strong, strong to weak.
LMFA😆😆😆
I know, pretty ironic.