L28 Sec 3 Screen 10
I see your point here and I also see something else.
Why would not the target be ET or PLdot and a possible weakening of R and a continuation of the trend. I know we have a double top, 5/9 dn, an exhaust, but we also have the close above R and a possible continuation of a trend due to strength of bounce at E and exhausts usually return to the PLdot if not further. Looking at the HTP would also be of more help here.
R.S.
Lesson 28
Re: Lesson 28
Of course the scenario might play out as you have suggested. As a good trader you would have both possibilities in mind. In doing so, you would also be identifying the exact places where you would be anticipating that support would hold or not. In other words, if your thesis is correct, and the target is the envelope top or the pldot, then as the market moved to that point you would be seeing support hold firmly, and the LTP would be acting in a "yes" pattern for that strong support. If, on the other hand, the thesis presented on this exercise screen in the lessons was correct, you would be seeing support at the ETop or Pldot acting in a different manner, giving a "no" pattern and showing that the support would fail. And, yes, of couse you are correct, in a real trading situation as opposed to this exercise, you would also be looking at the HTP's.