Lines That Hold

Public discussion of the methodology

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Trader Question
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Lines That Hold

Post by Trader Question »

Can you explain what you mean when write that a Drumond line have to hold on Close ? You would say that if the Close is near to the ex 5-9/ 5-2 point then the price will change direction ? And the High or Low ?

LB
pldot
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Re: Lines That Hold

Post by pldot »

"holding on close" means that even though the high or low may poke through a given level (say the 5-2 or 5-9) if the close occurs at or inside of that level we can say the level is "holding on close." It may ne be particularly significant if the market exceeds a level briefly.... as it may just be a few ticks, or a brief high-momentum excursion past the point. But if it spends a lot of time past the level, or closes there, then that is much more significant.
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