Finally managed to get some connection here in the remote area.
Interesting factoid I discovered last night.
The nice-looking hammer bar sure had traders talking. So I
checked reversal bars when the Dow posts both open AND close below
the lower Bollinger Band, like today. There were just 17 instances
since 1929. 16 saw a lower low - usually in days, all within 5
weeks max.
.and what happened after the low, made thereafter Steve? Was the
market higher or lower than the hammer, I wonder. Do you have those
stats too? Just wondered.
Ha, I think we essentially just posted the same thing except I
reviewed the S&P. Definitely as you noted is a piece of a
bottoming process but is not necessarily the ultimate
"trigger". Also we discussed this yesterday on the board but
the Hammer is a Low Probability Candle.
What will be interesting is now we also have tomorrows numbers
and then traders will have to decide how they want to position
going into the weekend. Lately the markets have seemed to
make it difficult for equity traders often moving the markets on
off hours and having an overall "gaping" nature. If would not
surprise me to find a bottom here today and then regardless of
tomorrow numbers (gap up, down or flat) then move lower as traders
fear weekend news - lastly it could culminate in a gap Monday as no
news or positive news comes out of Europe - Just some fun
gameplanning.
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Dow
Posted by steve on 4th of Aug 2011 at 09:56 am
Finally managed to get some connection here in the remote area. Interesting factoid I discovered last night.
The nice-looking hammer bar sure had traders talking. So I checked reversal bars when the Dow posts both open AND close below the lower Bollinger Band, like today. There were just 17 instances since 1929. 16 saw a lower low - usually in days, all within 5 weeks max.
.and what happened after the
Posted by jasper on 4th of Aug 2011 at 10:05 am
.and what happened after the low, made thereafter Steve? Was the market higher or lower than the hammer, I wonder. Do you have those stats too? Just wondered.
Ha, I think we essentially
Posted by tom on 4th of Aug 2011 at 10:03 am
Ha, I think we essentially just posted the same thing except I reviewed the S&P. Definitely as you noted is a piece of a bottoming process but is not necessarily the ultimate "trigger". Also we discussed this yesterday on the board but the Hammer is a Low Probability Candle.
What will be interesting is now we also have tomorrows numbers and then traders will have to decide how they want to position going into the weekend. Lately the markets have seemed to make it difficult for equity traders often moving the markets on off hours and having an overall "gaping" nature. If would not surprise me to find a bottom here today and then regardless of tomorrow numbers (gap up, down or flat) then move lower as traders fear weekend news - lastly it could culminate in a gap Monday as no news or positive news comes out of Europe - Just some fun gameplanning.