Get With the Program pt. 1

To be in picture, you should have a flow chart made up – and helpful indicators don’t hurt either.

Here is your very first entry.

Strong off the bottom. The larger context was that the market made an omega on the 2nd of January due to excessive selling. (This would be displayed by my 88 Luftballons indicator.)
But even if you were not aware any of that, you should still be capable to spot the violent move up that was faster/steeper than the sell off triggered on the NFP Friday. That strong off was the start of the shape.

The Omega was the Alpha of the current move up (multiple hits of the Forest).

The shape covers the scenario where there is no overbought embedding.

It is easiest to have projection values displayed at about 1.5x the length of the initial qualifying move.

I need to start inserting codes in the body for the WordPress new editor does not allow me to upload zips any more.

//Projected_Distance_Lines by Macdulio
#include <stdlib.mqh>
#property copyright "Macdulio" 
#property link      "" 
#property description "Projected Distance Lines Fitted"
#property description ""
#property description "Lines based on 3-hour moves"
#property description "exceeding 1/3 of the last 3-days"
#property description "Average True Range"
#property description ""
#property description "Call them extensions"
#property indicator_chart_window
#property indicator_buffers 15
#property indicator_color1 Black
extern int maxlines = 15; 
extern int displaylength = 25; 
double lines[];
double mid[];
double line1[];
double line2[];
double line3[];
double line4[];
double line5[];
double line6[];
double line7[];
double line8[];
double line9[];
double line10[];
double line11[];
double line12[];
double line13[];
double line14[];
double vbru[];
double line15[];

int init()


int start()

   int      i,pos,c_b=IndicatorCounted();;
  ArrayResize(lines, maxlines);
  ArrayInitialize(lines, 0);
  ArrayResize(line1, 100);
  ArrayInitialize(line1, 0);  
  ArrayResize(line2, 100);
  ArrayInitialize(line2, 0);  
  ArrayResize(line3, 100);
  ArrayInitialize(line3, 0);    
  ArrayResize(line4, 100);
  ArrayInitialize(line4, 0);  
  ArrayResize(line5, 100);
  ArrayInitialize(line5, 0);  
  ArrayResize(line6, 100);
  ArrayInitialize(line6, 0);  
  ArrayResize(line7, 100);
  ArrayInitialize(line7, 0);    
  ArrayResize(line8, 100);
  ArrayInitialize(line8, 0);    
  ArrayResize(line9, 100);
  ArrayInitialize(line9, 0);    
  ArrayResize(line10, 100);
  ArrayInitialize(line10, 0);  
  ArrayResize(line11, 100);
  ArrayInitialize(line11, 0);    
  ArrayResize(line12, 100);
  ArrayInitialize(line12, 0);    
  ArrayResize(line13, 100);
  ArrayInitialize(line13, 0);      
  ArrayResize(line14, 100);
  ArrayInitialize(line14, 0);  
  ArrayResize(line15, 100);
  ArrayInitialize(line15, 0);  
    ArrayResize(vbru, Bars);
   ArrayInitialize(vbru, 0); 
    ArrayResize(mid, Bars);
   ArrayInitialize(mid, 0);     

 double ATRAVG=(iATR(NULL,1440,14,1)+iATR(NULL,1440,14,2)+iATR(NULL,1440,14,3))/3;
  for(i=30; i>=0; i--) {  
              if ((iHigh(NULL,60,i+3)-iLow(NULL,60,i))>ATRAVG/3 ||  (iHigh(NULL,60,i)-iLow(NULL,60,i+3))>ATRAVG/3 ) {
                  if (iHigh(NULL,60,i)>iHigh(NULL,60,i+3)) {vbru[pos]=iHigh(NULL,60,i)+(iHigh(NULL,60,i)-iLow(NULL,60,i+3))*.55; pos=pos+1; }
                  else  {vbru[pos]=iLow(NULL,60,i)-(iHigh(NULL,60,i+3)-iLow(NULL,60,i))*.55; pos=pos+1;                        }


  for (i=1; i<=250; i++)
        if (vbru[i]>0){  mid[pos]= vbru[i]; pos=pos+1;}

   while(i<maxlines && pos>0)        
               if (i==pos) break;
               if (mid[i]!=EMPTY_VALUE) lines[i]=mid[i];

   for (i=0; i<=displaylength-1; i++) {
      if (lines[0]>0) line1[i]=lines[0];
      if (lines[1]>0) line2[i]=lines[1];
      if (lines[2]>0) line3[i]=lines[2];
      if (lines[3]>0) line4[i]=lines[3];
      if (lines[4]>0) line5[i]=lines[4];
      if (lines[5]>0) line6[i]=lines[5];
      if (lines[6]>0) line7[i]=lines[6];
      if (lines[7]>0) line8[i]=lines[7];                
      if (lines[8]>0) line9[i]=lines[8];
      if (lines[9]>0) line10[i]=lines[9]; 
      if (lines[10]>0) line11[i]=lines[10];
      if (lines[11]>0) line12[i]=lines[11];
      if (lines[12]>0) line13[i]=lines[12];
      if (lines[13]>0) line14[i]=lines[13];
      if (lines[14]>0) line15[i]=lines[14];


With the above routine you could had had a good idea about where the thrust could had arrived at. (You can also find the upside projection value with numbers on the stats screen of the 88 Luftballons, which derives its values from 4H samples vs the one here, that uses 1H data).

(U: lists the last upside projection value, D: the downside, SAR is the 4h parabolic SAR’s next, guestimated value, DP is the Deep Pink or the 4H LEMA.)

In the “Shape” scenario the overbought readings would remain damaging, and do not turn into nurturing.

Now, the other scenario.

You need to define the environment every time coming into the day. Download the free 15-minute ATR targets for getting the daily ATR limits fitted on the chart.

This is a different version, but the same calculation, which is based on the 3-Day Daily Average. N is north, S is south. The closer number is the “overbought”, and the further is the “all out”. Often, the number attained would fall between them. If the “all out” gets exceeded, that may mean a climax / capitulation day. The arrow is merely showing that price is currently above/below the last consolidation mean.

The second very important thing to notice are the (long term) Comfort Levels that I have been citing for quite some time.

The indicator is free, you can find it on the blog.

The purchase of the 10% line points to Institutional buying. The reason was most likely the previous move (that sustained for a while) above the Deep Pink displayed by my LEMA30N indicator (free to download). Such investment would likely have a target at 50% or the very least an additional 25% away from the opening price. 35% is around 1.1680 and 50% is at 1.1890.

Busy image coming up, brace yourself!

The day ended with a break above the time out support and a consolidation just below the time out resistance. By the time price took out the RSI2 divergence teal field, we had multiple break outs on our hand. Sustaining above the overbought level (white line), after the 4th open, price became embedded, which is one way to describe the trending condition (the indicator on the bottom is my _RSI2_ indicator).

Remember that only excessive / climax buying/selling can permanently reverse the price, and time out stalls, head and shoulders would only have short term effect against the current.

Indicators for sale (ex4 only, no source code)

88 Luftballons – £88 God Awesome V1.5 – £114

_RSI2_ – £55 Market Maker Lines DC – £99