The Zone-Trader Quarterly Profile suggested a failed bullish breakout on the Quarter and to expect a reversal or reversion of prices back to the Zone-Trader Pivot also called the point of control on 8/6/13. At that point we began to hunt for sell signals being triggered on the Monthly and Weekly Profiles, expecting prices to revert to at least 1641.25 the pivot on the Quarterly and possibly lower.
The blog i sent out a few days back discussed the developing bull trap and the Zone-Trader's ability to identify it prior to occurrence and thus take advantage of the sell off that would derive from tripping the sell stops of the traders that got long.
In that blog I mentioned our expectation of a decrease in prices to the 1641.25 price level. The ES came close today and most likely will hit it Sunday night or Monday morning. Another pinpoint prediction by Zone-Trader Philosophy, keeping us once again on the right side of the market and in a position to take advantage of the change in the condition.
Here is a screenshot of the Quarterly Profile below, you can see the Zone-Trader Pivot identified by the white horizontal line at 1641.25. Once the ESU13 hits this price level the market will become balanced on the Quarter and then will begin to oscillate around the Zone-Trader Pivot in attempt to breakout of the balanced oscillation area in either the bullish or bearish direction and create the ability to then attempt to make a bullish or bearish breakout on the Quarter.
The blog i sent out a few days back discussed the developing bull trap and the Zone-Trader's ability to identify it prior to occurrence and thus take advantage of the sell off that would derive from tripping the sell stops of the traders that got long.
In that blog I mentioned our expectation of a decrease in prices to the 1641.25 price level. The ES came close today and most likely will hit it Sunday night or Monday morning. Another pinpoint prediction by Zone-Trader Philosophy, keeping us once again on the right side of the market and in a position to take advantage of the change in the condition.
Here is a screenshot of the Quarterly Profile below, you can see the Zone-Trader Pivot identified by the white horizontal line at 1641.25. Once the ESU13 hits this price level the market will become balanced on the Quarter and then will begin to oscillate around the Zone-Trader Pivot in attempt to breakout of the balanced oscillation area in either the bullish or bearish direction and create the ability to then attempt to make a bullish or bearish breakout on the Quarter.
Keep in mind that as price approaches the Zone-Trader Pivot on the Quarterly Profile and MR2 on the Yearly Profile, which is at 1634.75 (screenshot below) bulls will begin re-entering the market since they are in control of it on the Quarter and they are currently attempting to confirm an uptrend on the Year.
The bulls will need to keep prices above MR2 on the Yearly Profile for 2 more weeks in order to establish an uptrend on the year. So expect a major battle to develop near that price level, which again is 1634.75. Bears have entered heavily prior to and after setting the bull trap and they are currently in control of the market on the week and were also in control on the day, which suggest they are attempting to block the bulls from establishing or confirming the uptrend on the year.
Expect spike in volatility next week and most likely sideways whipsaw price action. The impulse wave of the market will decrease and v-patterns will develop with plenty of crazy ivans occurring as well. Look for alignment on the Daily and Weekly Profiles prior to entry, utilize market orders for entry and set targets instead of trailing stops. This will help maximize gains since we don't expect major trend moves to occur.
Use the information being derived by the Zone-Trader Philosophy to adjust your style of trade in order to maintain alignment with the current condition of the market.
If the bulls fail to confirm an uptrend on the year and the bears are able to push prices below MR2. Then we would expect a continuation in decreasing prices as the ESU13 would then begin reverting back to the Zone-Trader Pivot on the Year at 1497.00. a move of 154 points lower.
ZONE-TRADER PHILOSOPHY
The Most Advanced Intuitive Based Trading Methodology In The World!!!!
No comments:
Post a Comment