The market hasn’t been providing proper reversal zones, we got spinners instead.

Notice the short red stripe within the green thick line – that was the dip to buy. The red line shows a continuation divergence relative to the previous high – stopping before it and sticking around can only mean one thing.

What was missing vs a reversal zone?

Here are the filters for a Spinner on the upside:

mfi[i]<mfi[i+1] && mfi[i+2]<mfi[i+1] && mfi[i+1]>79 && iStochastic(symbol,0,120,3,3,MODE_SMA,PRICE_MEDIAN,MODE_MAIN,i)>72 && iStochastic(symbol,0,120,3,3,MODE_SMA,PRICE_MEDIAN,MODE_MAIN,i)<92 && mfi[ArrayMaximum(mfi,3,i)]>mfi[ArrayMaximum(mfi,23,i+3)] 

This means an MFI peak above 79, the 120-stochastic above 72, but below 92 and a 26-sample higher MFI read (within the last 3 candles)

Whilst the Money Flow Reversal Zone on the upside goes like this:

      mfi[i+12]>=mfi[i+13] 
      &&
       mfi[i+12]>mfi[i+11] 
      && mfi[ArrayMaximum(mfi,3,i+11)]>mfi[ArrayMaximum(mfi,8,i+14)] 
      && mfi[i+12]>79 
      && iStochastic(symbol,0,120,3,3,MODE_SMA,PRICE_MEDIAN,MODE_MAIN,i)>28
&& !(iStochastic(symbol,0,120,3,3,MODE_SMA,PRICE_MEDIAN,MODE_MAIN,i+12)<88 || iStochastic(symbol,0,120,3,3,MODE_SMA,PRICE_MEDIAN,MODE_MAIN,i+12)>96.8)

so basically 6-7 hours earlier there was a high point in the money flow curve which was over 79, the peak made was greater than any print that was made in the 4 hours prior, and the 120-stochastic reading was not (greater than 96.8 or lower than 88)

In general, the reversal zone is a block where a major rejection could take place (i.e. major daily / weekly swing high / swing low), the Spinner is more of a continuation possibility for a trend in existence (i.e. lower hig / higher low).

I was a bit too optimistic about the S3 getting tagged and maybe overthrown, but they were more eager to cream the dollar than that, and my order block was missed by 1 pip, and S3 was missed by 6.

Altough I was in the fade briefly, I completely missed out on the trip due to some fasting hang over for waiting to be approved for a Pro ECN, which was granted today, so now I can start paying half for a trade.

Now the Vax divergence would be the main thing to look for upon a higher high, but things could fail a different way as well, if they cared to utilize the current spinners and broke the S3, which would by the round trip line up with the S-356 (Brown). The midpoint of the last spinner is 1.0778. If price goes outside the Res= at 1.0782 and then starts making 30-minute closes below the midpoint, that would be a failure.

Since the safety line’s trip level is at 1.0806, which is within a handful of pips of the swing high, the idea here must be higher high after a brief consolidation. It is likely that 1.0830 would be exceeded at least briefly.

I don’t think anyone has ever been more qualified for a Pro ECN. I am now running the Municipal Trader and the W3+F3 traders in the background to supplement my own trading with opening longs.

Let’s see how this goes…

I won’t be able to change the target for the next hour and its own trail would kick in starting 25 pips out.