Trading Patterns with Market Context and EquiVolumeTrend     4/18/2016 8.45am

HS HS HS HS HS Trading ABC Patterns, EquiVolume Trend, Pivots/Fib. Zones, Market Structures

Most successful trade setups are derived when patterns are trading with Market Context. Here is an example of trading an ABC Pattern with EquiVolume Trend, Pivots and Market Strucutes.

This morning (Apr. 18th), @NQ opened almost 20 points lower and started to display a potential bearish trend. @NQ opened in Fib. Zone Support zone (4520-4527) and started to quicly reverse from FZP by forming MSL (Market Structure Low). Around 9.50am, it confirmed ABC Setup with Market Structure low by forming 'C' with 65% retracement at 4524 near Prev. Low (PL).

Equivolume bars/trend (EVTrend) is an excellent way to determine the underlying trends. After ABC formation, EVTrend also showed trend change (Bullish) and signaled continuation of its uptrend in ABC Bullish Pattern. ABC Long entry was at 4528 or higher with STOP at 4522. First target zone (62-79%): 4532-435, Second Zone: (127-162%) $4541-4546, Third Zone (227-262%): 4555-4560.

Around 10am, NQ reached its 2nd target zone (4541-4546) up +13 points.

Around 1030am, NQ reached its 3nd target zone (4555-4560) up +27 points.

Market Structures

Market Structures concept is simple, yet a very powerful structuring concept. Markets have structures and traders miss most cues as they are constantly hunting some pattern, momentum, oscillator or some Zen-type signals. Market Structure formation is a price phenomenon occurring at major turns. Prices start with a wave (lets say Up) and it ends at some point and then there is down-wave, and it ends some time and then up-wave. These wave formations start with the Market Structures. Market Structure Low (MSL) and Market Structure High (MSH) formation is continuous and is repetitive at every wave begin and every wave end.

Market Structures form in all markets, all time-frames and in all instruments. They fail and refail, form and re-form. Market Structure is a concept pattern. It needs other indicators, support/resistance levels, triggers to confirm the theory and its works.



1. Auto ABC
2. Head and Shoulders
3. Super Bars
4. Market Structures
Recent Posts
  • Trading Symmetric Triangle Patterns
  • Trading Cup and Handle Patterns
  • Trading Megaphone Patterns
  • How to trade your Dragon
  • Trading ABC Patterns
  • Parabolic Arc: What Goes Up...
  • Trading Large Gaps
  • Trading Parabolic Arcs
  • Behavioral Biases
  • Trading Chart Patterns Prematurely
  • Developing SPX Cup and Handle Pattern
  • Trading Patterns with Market Context and EquiVolumeTrend
  • Trading Patterns with Market Structures
  • Trading Failed Chart Patterns - H&S
  • Happy New Year 2016
  • Trading Phases using CMI
  • Volatility Zones
  • Trade Tools and Support Tools
  • Trading Confluence of Chart Patterns
  • Trading ABC Patterns with Options
  • Categories
  • 2B Patterns
  • ABC Bullish
  • ABC Bearish
  • Books
  • CMI
  • Double Bottom
  • Double Top
  • Dragons
  • Elliott Waves
  • Failed Chart Patterns
  • Fib. Bands
  • Fib. Zone Pivots
  • Fibonacci Levels
  • Floor Pivots
  • Gartley/Butterfly
  • Globex Pivots
  • Head and Shoulders
  • Inv. Head and Shoulders
  • Market Structures
  • MegaPhone
  • Multiple Tops
  • Multiple Bottoms
  • Options
  • Parabolic Arc
  • Pivots
  • Price Profile
  • Seminars
  • Strageies
  • SuperBars
  • Triangles
  • Trading
  • Psychology
  • Videos
  • Volatility Zones
  • VWAP
  • Wolfe Waves
  • X5 Patterns
  • Archives
  • Nov. 2015
  • Oct. 2015
  • Before 2015