11 replies to this topic

[iloli way]

7/24/12 - The Blue Wedge Lower TL Perspective

We had a BD of Blue Wedge at 1335.50 this morning. So next target? You don't have to guess it, you know it, don't you? Spelled out clearly in that chart last night, the Green line, or the old IH&S shoulder line. Another 30 point game to play by shorting the BD.

Now, how do we know this BD will go hit that target? Especially this Blue Wedge lower TL has been shifting down several times since I first called it out on Jun 21st. It's dynamic, because it's a LIVE WIRE, the line that is shaping the forces between two camps, the line in negotiations; unlike its Blue Wedge brother top TL there's been no disagreement; or the Green line as the last Bull's defense line, the Bottom Line, as I said. So the battle's been fighting over this lower Blue Wedge TL most often since June. Chart from 6/21:



The answer is we don't know if it will hit Green line this time, until another shifted newer and lower Blue TL is settled. We can see Bears have been successful in pulling this Blue line down lower and flatter until the Blue Wedge turns into a parallel channel, it'll still be an UPward channel.

Let's see what the parallel Blue channel would be like. Even that won't hit the Green target. Within the channel, bulls still have a bouncing the channel 'tug of war' game to stall the showdown. Not saying it will. Just saying before the Green line hit, there is another possibility to mull on.


BTW, recent Yellow 'Sickle Height' 1375 stopped the bulls from reaching the top Blue TL is a BIG SIGN that bull's WEAKER, and bear's encouraged in pulling down the Blue Wedge even the Green Line Bottom Line!

Posted by iloli at 10:32 AM

[iloli way]

Bear's pushing for the target. We see the previous swing low 1319.95 (1320) and Blue Parallel line, Green line are converging. I add a Yellow line there just to echo the 1375. There must be some support there. OR, bull's in BIG trouble.

[Getting-Smarter]

Thanks for the chart. Can you explain how you got your blue lower trend line? There are no points where it touches that from 6/3 ?

Thanks...interesting.

Bear's pushing for the target. We see the previous swing low 1319.95 (1320) and Blue Parallel line, Green line are converging. I add a Yellow line there just to echo the 1375. There must be some support there. OR, bull's in BIG trouble.

[Bangtime]

Thanks for the chart. Can you explain how you got your blue lower trend line? There are no points where it touches that from 6/3 ?

Thanks...interesting.

Bear's pushing for the target. We see the previous swing low 1319.95 (1320) and Blue Parallel line, Green line are converging. I add a Yellow line there just to echo the 1375. There must be some support there. OR, bull's in BIG trouble.

Go back to 10/4/11. I apologize for interrupting, but the tl off that low and the June low essentially there.

[Getting-Smarter]

Awesome...of course. Longer chart shows that, thanks

Thanks for the chart. Can you explain how you got your blue lower trend line? There are no points where it touches that from 6/3 ?

Thanks...interesting.

Bear's pushing for the target. We see the previous swing low 1319.95 (1320) and Blue Parallel line, Green line are converging. I add a Yellow line there just to echo the 1375. There must be some support there. OR, bull's in BIG trouble.

Go back to 10/4/11. I apologize for interrupting, but the tl off that low and the June low essentially there.

[iloli way]

Can you explain how you got your blue lower trend line? There are no points where it touches that from 6/3 ?

Sure, glad you're interested. In fact I'm going to post a in-depth piece about this line later in my blog first. Just because I as tech trader/analyst who trades visually tracking the lines, based on constant drawing new lines as 'my eyes' see them, esp on short term trade time frames, don't mean others in public forum can follow how/why I draw them when I show them. In that I'll include all the charts showing the gradual shifting Blue line since 6/21 when I discovered it. Also, I learned from readers feedback, and my response to them, how lousy a communicator and a 'dictator' one I am. I can learn to improve.

You are right there is no second point to base the line on. That's because the last one to base on had been broken this morning. And we can not find another base point while price is moving. Next chart showing the last wedge line at the close of ES today. It clearly shows next targets are, but I want to anticipate more, so it gives me the idea for this analysis to begin with.



OK, as I mentioned, maybe not so clear to you, the 'baseless' blue tl is a 'parallel line' made to parallel the top Blue TL, hence it becomes a 'parallel channel', so that we can give the 'more defined' room for bears to push, and bulls to run.

[iloli way]

Wow, you guys are way ahead of me. I like the participation and interests in this "Line Trading" biz! Bangtime, I draw the line from 10/4/11, it has quite a distance from this blue line. Can you show your chart or what chart using? thanks.

[iloli way]

meanwhile, AH plunges 7+, fast approaching Blue and Yellow lines.

[iloli way]

Go back to 10/4/11. I apologize for interrupting, but the tl off that low and the June low essentially there.

I got it, "ESSENTIALLY" there.

Anyhow this is what I got, a secondary LT blue line maybe. Red line is your line. Thanks for bringing up. It's important to look LT line too, absolutely.

[iloli way]

Last chart today, showing all the previous Blue Wedge Lower TLs since 6/21, and how it got pushed every lower and flatter to current parallel channel. If we don't see the Blue Parallel Channel breaks in overnight and tomorrow, and the Green line bounced, Bull will begin to SERVE from court's baseline ! LOL!