tag:blogger.com,1999:blog-252763673788048829.post3709047437054032505..comments2023-12-16T00:54:52.330-08:00Comments on Nine Transitions: Preferring deep pullbackscadaverhttp://www.blogger.com/profile/00205606370921389742noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-252763673788048829.post-38069128637408955542012-03-09T13:57:51.160-08:002012-03-09T13:57:51.160-08:00No. there is absolutely no way to know which pullb...No. there is absolutely no way to know which pullback would be deep. On some days there may never be a single deep pb (soft trends). And therefore, you should avoid buying shallow pullbacks. <br /><br />Even the first shallow pullback can only be bought in certain rare circumstances (W1P: right after a W reversal, 1PB: after the first trend BO of the day). Learn to develop the patience to wait for deep pullbacks. Feel comfortable not trading on any day that you dont see a deep pullback. The first deep pullback is (my guess) 80%+ probability trade. With the exception of hard and soft trends, shallow pullbacks are low-probabilty trades (<50%) for a 2pt target.cadaverhttps://www.blogger.com/profile/00205606370921389742noreply@blogger.comtag:blogger.com,1999:blog-252763673788048829.post-48412192676267511182012-03-09T12:31:10.821-08:002012-03-09T12:31:10.821-08:00Hi Cad,
I'd say maybe the most important conce...Hi Cad,<br />I'd say maybe the most important concept you have taught me is to know when to expect a large two-legged move so that I have the courage to go for a swing trade instead of a scalp. I expected this today as I noticed the wedge going back to MA. However I was not sure what to regard as the finalization of the first leg. I was thinking that maybe even bar 15 could mark the end of the first leg. At the end of the day I thought bar 22 was the end of the first leg... Now if I understand correctly it is actually bar 41 that is the end of the first leg.<br /><br />My question is really is there any good way to anticipate the end of wave1 where I presume one should expect a deeper pb? Before that it would then be ok to Buy failed L1s and L2s...<br /><br />Thanks!Trader33https://www.blogger.com/profile/10456681432358391037noreply@blogger.com