ChartsEdge (U.S. equities) map for 3/27; and my additional comments

Market Map for Mar27

Posted: March 27th, 2009
Author: Mike Korell
Filed under: One-Day Market Map
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Thanks again, Mike and ChartsEdge! Another awesome week. While we know we should be using these forecasts more for cycle timing rather than absolute price levels, the maps have done a neat job of pointing the way in price as well, again this week.

Those readers who may have been wondering about the comments I posted yesterday about a zone from 806-833, that was a reference to one of the Fibonacci pattern setups called Triple Crown Zone in a book authored by Hobbs, called Fibonacci for the Active Trader. Well, those setups are among those I like to reference in conjunction with looking at other things too, but they often work well. Nice thing is that they give clearly defined setups with entry and exit (including stop loss) information. I cannot always be certain that a reversal will happen within a zone like this - it's a matter of probabilities. If and when price goes decisively above this zone, it's informational and therefore not only a stop loss point but calls for re-evaluating the trend. It's a trend continuation pattern (in this case, the downtrend from above), so breaking decisively above this zone would be information that the downtrend is broken through, at least for the current time frame. We can also cross-reference to the work of others such as Tony Caldaro with his OEW, Terry Laundry with his T Theory, and Andre Gratian (those of you who got Andre's update very late last night or very early this morning, you know what I mean).

We'll have the usual round of charts review and analysis this weekend. Meantime, be careful out there, and happy trading!