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ENG: b completion?
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Try to avoid attaching emotion to any type of pattern, including gaps. Instead, assign calm logic and respect for probable outcomes. I suspect that's it's just a bit of fear of the unknown that generates that feeling of intimidation. I encourage you really read up on gaps and invest some time.... really learn to appreciate their significance. They are excellent things to take advantage of once you overcome the intimidation and fear that they 'might' fill against you. Bottom line is your disciplined use of stops or diversification should eliminate fear of too much pain beyond your limit.Originally posted by sekto
Get into the habit of looking for gaps for every stock you consider. Go back, years back, and see if you can find any in stocks you have traded. You may be surprized how many you find remain unfilled. Runaways can last for months (even years).
Look at HANS back in March 05, huge volume gap up from 22.25 that remains unfilled today, despite HANS trading up to over $100.00 or +450% from that gap. HANS has other runaways at 50.00, 57.00, 86.00, and 94.50. Now if one avoids trading HANS cuz it's got gaps is scratching a bullish monster off your list of potentials.
RMBS another example (sheesh look at that thing go this month!), has a gap from Nov 02 at 6.50 that remains unfilled. Price soared to 36.00 since, then back to 10.00, then now again back to 36.00 again, and that little old 6.50 gap is still there unfilled.
ALKS had a gap back in August 02 that took 4 months to fill after a move of +100% from the gap. ALKS again, back in Feb 2000 had a gap up that ran to +100% over 16 trading days and took 6 weeks to fill.
So it's clear that big % moves can follow runaways. Some people argue they happen half way through a move. I don't agree with that assumption. I think they have potential to happen early in a move. But bottom line is there is really no knowing when one will fill. Volume is a hint. Massive volume, like ALKS lately (or RMBS lately), is a key that the gap could remain unfilled for months and months.
But whenever they do fill, one thing IS clear, a runaway gap is a bullish thing. Use it as weight to attach to a chart, not as a fear factor to scare you away.
Just keep on finding those great r/r setups for a trade, consider the potential up and downside, always remember the gap is there, build your plan around it, set the downside limit, put your orders in, execute it, and get back to stalkin' the next one if you stop out, fearless but always disciplined and protecting yourself.
With ALKS, I'm actually half expecting that 3rd gap to fill/be tested during the 'c' down. If it gets down there, I'm expecting 21.57 gap support to be very very solid. I actually doubt it'll get that low, but if it does, that'll be a good buy point with a stop at 20.85 (the other side of the gap fill). That's only 3.3% risk at great support, to target another 5 waves up (maybe as much as 45% profit in that impulsive move). You may prefer to wait for an intraday pattern, like inverted SHS or double bottom to confirm an entry near that gap support, and set a sub 1% stop, which makes for an even better r/r.
I think $50.00 isn't out of the question for ALKS, and it could be huge dude! But let's not get ahead of ourselves....little steps, little steps.
Wait for the 'c' down, then the intraday confirming pattern, patience, stalk it, wait for right moment and pounce, fearless and disciplined.
I'll post a setup if I see one for it. I encourage others to watch it too, and post a heads up if I miss it.Comment
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I love this thread.... I bet I've marked up 20 charts since I started reading this. I'm starting to see the LIGHT!!!!
btw.... #1 LLH Spikefader (candidate) was born Sunday Morning. I checked him out closley this morning.... He's solid black.... birth weight = 82 pounds.... After he gets a belly full of milk he runs around like a maniac and jumps straight up in the air like he has springs in his feet.lol
I'll know if he's "the one" in about 8 months.BEEF!... it's whats for dinner!Comment
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How far under the "C" should the stop be placed??Originally posted by spikefaderALY coming off 'c' and into 1. Intraday 16.30 buy is sub 2% risk if you place your stop under the 'c'.
Tim - Retired Problem SolverComment
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MDR (see http://www.mrmarketishuge.com/showpo...3&postcount=22)
is in the 'c' down now.... watching for intraday pattern around maybe 47.00...Comment
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ALY:
+10% in a day, and it's just gettin' started.
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Spike, you're ABC is incorrect, assuming you're referring to the daily chart. ABC is a corrective wave and the low of B has to be lower than the low of A. Your chart shows it higher.Originally posted by spikefaderALY:
+10% in a day, and it's just gettin' started.
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lol sheesh, no pleasing some people! ~roll eyes~ lol Dave! Ya gotta be kiddin' me right?! That's it ain't it....you're just messin' with my head cuzz yer a crazy old fart lolOriginally posted by DSteckler
Seriously dude; cut some slack. I thought I'd made it pretty clear.....I'm not following strict EW rules. Take those rules and throw 'em out yer window.
Like that great old fart's song by Frank Sinatra (the legend that he is)............"I did it myyyyyyyyyyyy wayy"!Comment
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<< I thought I'd made it pretty clear.....I'm not following strict EW rules. >>
Sorry, I didn't realize you were making it up as you went along. Why not call it a Z wave? And why call it Wave 1 - 5 since you're not following strict EW rules - why not call it Wave Green through Wave Purple?
<LOL!>Comment
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Well aaaaaalrighty then.........nice thread crappin', thanks.
Sorry to say you've just plummetted down several notches on my respectometer, Mr. Steckler.
How bout you take yer chuckles and fun elsewhere. Prolly the best thing doncha think? Thanks fer comin', love yer work, please vote in the poll on your way out......Comment
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Gentlemen will be gentle men, come on dudes this is not necessary. I thought for a minute I was on the YHOO forum. Dave this is Spikes Thread and let him do his own thing. I’ve learned a great deal from Spike in the short time I’ve known him. Dave, I hope to say the same for you. Most of us are here to learn and share ideas.
Spike has made it clear that he does not follow EW as per Prechter. Hey who cares about correct labeling? In fact most Wavers can’t agree on what time it is. I would ask if Dave can post a chart on Runners thread that is the correct wave count on the S&P-500. I’d really like to see the chart. Cycle may have started after last huge tanking around 2002 and so that might have us 4 years in the cycle?
I once had a very wise man once tell me sumfin that has stuck with me. He said, “ learn how to step on a man’s shoes with out messing up his shoeshine”. If ya think about it for just a second it makes sense.Comment
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