47 terms

Major Concepts

STUDY
PLAY

Terms in this set (...)

1:1 MM Ratio
Measured Move follow MC breakout
Accumulation
Several buyers acting in unison to move price up by accumulating contracts
Bias
The big question: Does price now want to rise or fall?
Breakout
Above / below with wick that DOES follow higher / lower body close
Buy Signal
Sell denial;
Candle Cycle Structure
100% 78.6% 45.0% 55.0% 21.4% 00.0%
Candles
Read Candle like a human you just met; each has own personality
Charge Zone (Void)
Center 10% of each candle
Charts
Candle collections depicting price, time, and volume behavior
CNBC / Bloomberg
Business News that may help one to better understand financial markets
Diplacement
Three + Higher High HH; then high / low; followed by 3+ Lower Low LL
Distribution
Several sellers acting in unison to move price down by distributing sales
Divergence
When price rises WHILE volume declines
Entry Level
CZ YO YH YL YC; top of PC; bottom of PC
False Breakout
Break above / below with wick that does not follow with body close.
Gap Attack
Overlap of price in between close of candle and open of next
Gapper
Space in between close of one candle and open of next candle
Geometry
Method by which trader measures estimated probabble target
Independent Candle
Candle that stands above / below all others
Instrument Specs
Price per tick, hours, contract months, LTD, FND, etc.
Level: Pivot PM PW PD
Pivot number is the floor trader method of estimating daily price target
Look Back TF Setups
An hourly candle is collection of 15 minute candles; Weekly is group of dailies
Magnet
Candles possess polarity, bullish above center; bearish below center
Marubuzo
Flat top candle or Flat bottom or both with NO wick
Next Level Advance
Move from YC to YH or YL to YC; look for advance one level at a time
Nuggets
GMT: Gapper, Marubozu, Tweezer
Baselines
Open High Low Close OHLC
Points of Control
Quarter and three quarter point within each candle
Profit Target
Estimate of where price rotation may begin and/or momentum may fade
Research Homework
Saturday morning is time of reflection of week and anticipation of next week
Sell Signal
Buy denial, etc.
Start of Day Action
Analyze Multiple time frame; ID mother candles on time frames
Start of Week
Prepare by looking back to Yearly, Monthly, Weekly, Daily, Hourly, Minute
Stop Management
Let winners run; Cut losers short
Story Line
Description of expectaton of market research, Mo Wk Dy, Hr
Time Frames (6)
Yearly Monthly Weekly Daily 240M 60M 15M
Time of Day
Best time of day to trade each instrument traded
Market Replay
A unique feature of NinjaTrader enabling traders to re-trade prior day
Trade What You See
Psyche is your own worst enemy; self doubt FUDS; Use FEDS to defeat!
Volume
Number contracts traded within time period; i.e., Day, Hour, Minute
Weis Wave
Method by which trader assesses measured volume
What Happpened?
Understand what happened is last month, week, Day, Hour, Minute
Sequence
New High / Low Weis Wave Number
Setups (6)
Denial Spinner Mother Maru 123 Outside Inside
Retrace / Reversal
Short term retrace move againse trend; reverse is longer term move against
Rotation
Opposite action following 1:1 measured move
Signal
Candle in which setup occurs; Enter appropriately