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Old 02-27-2008, 11:06 PM
RickW00716 RickW00716 is offline
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Quote:
Originally Posted by SIMBA View Post
I advance the second pattern explanation ,since there is one just made and being currently forward tested.

SECOND PATTERN:Market Structure High(MSH)

1-Near Resistance,or key moving average levels.

2-Defined by:New high+higher high+lower high of the CLOSE(for Forex)...can be done with 3 or more candles...sometimes the last candle is an engulfing candle.

3-ENTRY:2 options..either or A-A close below the low of the third candle...or(the one I used)B-Price goes below previous candle low,if it is the low of an insideor a very small candle.

4-Stop:Above the MSH pattern`s high

5-Target:2 options either or..A-TRAILING STOP USING THE PREVIOUS BAR HIGH AS THE STOP..When price CLOSES above previous bar high..exit
B-When prices form an opposite MSL(Market Structure Low) near a key or significant level,I will try to explain the MSL later today but conceptually it is just the opposite of MSH.

See attached pic,with the trade working..will update.
For this pattern what is meant by a lower high of the close...do the bars that make higher highs have to have higher closes as well?
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