MOVES inside of MOVES

Let's be sure to consider a very important ingredient to know where we are inside of  a CURRENT TREND CYCLE.   THIS CONCEPT IS THE BEST KEPT SECRET OF ALL!

I am going to share it here now.

First, remember that we ALWAYS HAVE UNFINISHED MOVES that are found on a daily chart, that are THERE AND ALREADY TRADED.

For example, you might have a major long move under way and there were BIDS under the current 15min chart that moved price RIGHT NOW where price lies inside of this minor 15min move.

EXAMPLE:

THE ES is inside of a long found here:

 ES WEELY LONG

OK, what we have here is a long from our January 2017 low (end of month) to the swing high, 2262.25 to 2401 Even (I have corrected a minor issue, and it will now show 2401 even).

Now, price was bid on March 27th and April 17th.   SO, buyers are STILL THERE holding contracts long and they are DEFENDING THEIR LONGS by adding more contracts and we can see this happening today, so far.

SO, standing LONGS are holding UP price.  Against this back-drop or condition then is our short MM sitting overhead, holding back the bid in a war.

THE KEY is that we are STILL IN A LONG MARKET with bids fastened hard and being defended and that you MUST THEN PAY ATTENTION to WHERE THOSE BIDS came in:

AT:  2317.75 and 2322.75 and 2336.25.   THERE WILL BE LONGS holding their defensive lines here and they will form ZERO LINES for our short MM's.

Those zero lines therefore are NOT where you enter, but if you were to go long NOW, you would wait for a pullback to defend longs fastened to these lines as 100 lines.

THE LONGS are your brethren, so you get in on pullbacks down into support.

SHORTS:   we must wait for 2315.25 to break which is below the key levels noted above and the same rules apply on the way down, in short MM's, as they are in long MM's on the way up.

KNOW where the bids came in and be keen to NOT take trades against those levels.

WE THEREFORE LOOK LEFT and know those key levels.  THERE ARE DEFENDERS of contracts being held there.

DJ