The Control Functions

There are 3 hard exits on a hourly chart.

  1. Qualified Zero displacement

A qualified zero is a >97.5 or <2.5 RSI2 print with its outside fractal 26+ pips away from the E44. I plot the qualified zeros in colors and the non-qualified ones in gray.

if (Low[i+1]+260*Point<iMA(symbol,0,44,0,MODE_EMA,PRICE_MEDIAN,i+1)) 
 ObjectSetText("Panaceadc"+DoubleToStr(i), "0", 42, "Arial Black", clrRed);
 else ObjectSetText("Panaceadc"+DoubleToStr(i), "0", 42, "Arial Black", clrDimGray);

Example of non-qualified zero followed by a qualified one.

A qualified zero print is going to be likely followed by a divergent M print, which as part of the combo I call the Mastodon and has the green / red extraction icon. The Mastodon is the second point of the M axis projected from the last Qualified Zero print. The usual displacement suspects are 7, 12.5 and 20 pips, but if none of these get a fill, take your ride from the opposite end of the Mastodon candle not to miss out.

if (zerodn[i+1] && Low[i+1]<iMA(symbol,0,44,0,MODE_EMA,PRICE_MEDIAN,i+1)-250*Point){
          ObjectCreate("ObjecSZ"+DoubleToStr(i), OBJ_TEXT, 1, Time[i+3], 49); 
          ObjectSetText("ObjecSZ"+DoubleToStr(i), "¼: "+DoubleToStr(NormalizeDouble(iLow(symbol,0,iLowest(symbol,0,MODE_LOW,6,i+1))-70*Point,4),4) , 11, "Impact",  Navy); 
          ObjectCreate("ObjecSS"+DoubleToStr(i), OBJ_TEXT, 1, Time[i+3], 39); 
          ObjectSetText("ObjecSS"+DoubleToStr(i), "½: "+DoubleToStr(NormalizeDouble(iLow(symbol,0,iLowest(symbol,0,MODE_LOW,6,i+1))-125*Point,4),4) , 11, "Impact",  Navy); 
          ObjectCreate("ObjecSX"+DoubleToStr(i), OBJ_TEXT, 1, Time[i+3], 29); 
          ObjectSetText("ObjecSX"+DoubleToStr(i), "¼: "+DoubleToStr(NormalizeDouble(iLow(symbol,0,iLowest(symbol,0,MODE_LOW,6,i+1))-200*Point,4),4) , 11, "Impact",  Navy); }

It is important to know that a quick return to the E44 after a qualified print can disable it, make it void during a run with good momentum, so the 3 displacements listed should be ignored as a new Zero is going to override these.

A non qualified zero can still yield a tremor print, so it can reverse price – see the second entry on this.

2. Tremor of volatility

A volatility tremor is a preliminary signal of a bigger earthquake that would arrive with a larger landslide.

A tremor is a counter directional swing with enough volatility to make price travel 70%+ of the instrument’s fluctuation size. If this swing crosses below the E44 you get a waterfall, meaning no higher high / lower low print would happen before the landslide. The ultimate distance in this case is TBD and you should go in in the direction of the tremor at market and round to full size upon breaching the swing terminal and / or add to your position at better price levels.

if (iFractals(symbol,0,MODE_UPPER,i)){
      while (j>1 && j>i-5){
         if (Low[j-1]>Low[j] && Low[j]<Low[j+1] && High[i]-Low[j]<340*Point && High[i]-Low[j]>250*Point) break;

An example of not expecting a higher high after the tremor:

Note that the head part is pointing down.

Examples of the head expected to be a higher high & the typical travel lengths in white below.

Examples of tremors away from the E44 with 75+ pips of corrections (149 on the 2nd).

The Keltinger Chaos plots thicker flag poles for these.

3. Triple M (Image above)

A triple M is when price isn’t able to reach a Zero oversold/overbought condition, but it ends up with 3 attempt falling shy from a Zero.

The Zero plus momentum (67) continuation divergence was a soft exit and so was the back test of last week’s pivot – a different lesson.

The current, qualified zero displacement is menu item #1, the real McCoy – although it is the inside version for it did not print a new 26-sample lower low I stand corrected, this is an outside head, went 1 pip lower than the previous one.