Someone asked me to post my TA projection of NXT.
I expect NXT to recover for a certain time 2-3 weeks. crossed the signal on the 1D chart, that means for trader that is the signal to buy little amount from time to time.
Simon, how do you spot the end of the recover/cup pattern ?
At first you wanna see staying to the upside of the signal and see the signal reach positive Y values on the 1D chart. This interaction is very important to understand. You dont wanna enter too early because it will lock your funds and not too late because you wanna maximize your profit.
Simon, how do you spot the start of impulsives waves/handle pattern ?
This one need a positive 1D signal at first and a staying to the upside of it. Then, when will reach Y positive values, you will see a spike in (traders taking early position) which will break the negative trend. This is the second signal where you wanna enter. I recommend to buy a little while the cup pattern is on going. This allows to lower the risk of a late entry position and sometime you have cheaper price on the cup pattern than after the incresease in .
You can already see the phenomenom on this chart. Look when the 1D crossed the signal ; traders had already took position and this reflect in a big spike in that looks that it comes from nowhere (highlighted in anterior post). The cup pattern is important in the way that weak hands selling at lower price leaving their position which will add to the momentum once more traders will growth . This is these people that makes impulsives waves ( ). They sell impulsivly and buy impulsivly.