I know I don't anything about flow yet, but on Lesson 27, screen 50, it looks like to the perfect place to buy on Wednesday. It is at a daily and weekly support, and appears to be rather strong. Of course, on the close of Wednesday, you can see that support was broken, but going into that day, I would have been buying. Everything that I have studied in previous lessons indicated a buy.
It seems to me as if almost all buys at support and sells at resistance, are in fact opposite to the flow of the market at the time of the action, and seemed to be in the opposite direction of strong flow. It is the purpose of P&L to anticipate and at this juncture, I don't see how you see flow reversing until it does actually reverse, without buying into weakness and selling into strength.
I will keep studying.
TJ
Lesson 27
Re: Lesson 27
Seems to me the answer here lies in the HTP which held signs that the resistance would be strong...and if that is so then the LTP would have to break... further, the flow on Monday, Tuesday was poor up, better down...I can see why you might have wanted to buy going into Wednesday but you would have had to have been a cautious buyer, what with the P&L dot pushing down and the daily resistance holding so well....
Flow can indeed be good up into an exhaust in particular but then the exhaust (which after all we know about and can anticipate, as it is in the further-outs) turns things around quickly and we would see much better down flow immediately... Flow gling up into more normal nearby resistance is usually not all that hot as the market starts to react to that turn...
Flow can indeed be good up into an exhaust in particular but then the exhaust (which after all we know about and can anticipate, as it is in the further-outs) turns things around quickly and we would see much better down flow immediately... Flow gling up into more normal nearby resistance is usually not all that hot as the market starts to react to that turn...