Oliver Velez Trading Plan

6 - 11

THE MASTERY

The Mastery (Art) part of the trade are to be

done, Depending on which ever step (6-11), you see first.

11. (Potential Reversal Signs)

1. V-Top/Bottom, 2. V-Top/Bottom Play: Double Tail/Acorn Bar, 3. Market Law 4: Double Top/Bottom, 4. Triple Top/Bottom, 5. Market Law 4: 20MA Hault, 6. Directional 180, 7. Exhausting Elephant Bar, 8. Mature Trend, 9. Candlesticks Getting Smaller, 10. Wide State, 11. Double-Wide State (3-Finger Spread), 12. Failed New High/Low, 13. Directional Tail Bars, 14. (RBI/GBI/NRB/HGB/HRB) 15. Color Change Entry

1 - 05

THE MECHANICS

The Mechanics parts of the trade are

to be done, Sequentially...One after another.

THE REVERSAL

(12)

10.

1. Up Trend (Regular, Power, Super), 2. Down Trend (Regular, Power, Super), 3. Sideways Base Trend (Tight And Narrow -VS- Wide And Whippy Breakout Play)

1. Narrow State, 2. Neutral State, 3. Wide State, 4. Double-Wide State (3-Finger Spread)

STOCK

TRENDS

(3)

state

(4)

Identify

A MAJOR

EVENT

(5)

THE REVERSAL

(15)

SUBSEQUENT

ENTRY

(1)

TRAILING

STOP

METHOD

(12)

POSITION

(7)

Profit

Rule

Method

(7)

INITIAL

ENTRY METHOD

(4)

Add To

A Winning

Play

(2)

Initial

Stop Method

(8)

(Middle, Color Game) + (After A Whale Complete)

1. Subsequent (RBI/GBI/NRB/HGB/HRB) Color Change Entry NEAR The MA, Stop Under Entry Bar, And Profit Take, AWAY From The MA

1. Elephant Bar/EB+/EBc, 2. Tail Bar/TB+/TBc, 3. RBI/GBI, 4. 180 Bar, 5. NRB (Acorn)

1. +1 + + +, 2. +2 + + -, 3. +3 - - +,

7. Trap (Fab 4) Zone | Take The High And Low Of 4 Items: (20MA) + (200MA) + (Previous Day's Closing Price) + (Last 45-1hr Of Price Data)

4. -1 - - -, 5. -2 - - +, 6. -3 + + -

8. (Leg 2) + (Whale Complete)

1. Pivot 1: Pullback, 2. Pivot 2: Double Pullback, 3. Pivot 3: Sideways (Price), 4. Pause, 5. Time, 6. Big Bar, 7. Extra Big Bar, 8. Super Big Bar, 9. Break Even, 10. Bar-By-Bar, 11. MA, 12. Color

1. Confirmation, 2. Anticipation, 3. Gap And Go Play Bar, 4. Color Change Entry (RBT/GBT/HGB/HRB)

1. .30-.50 Cent Rule, 2. 2-3 Push Rule,

3. New High/Low Rule, 4. The Multi-Bar “Slide” Rule, 5. No Prior Red Bar Rule, 6. Big Bar Push (And Stop Rule), 7. When To Return To 2-3 Push Rule

5. (Leg 1)

1. Event, 2. Maximum Loss Per Trade, 3. 2/3, 4.

Break Even, * 5. Big Bar Push (And Stop Rule), * 6. Extra Big Bar (1/2), * 7. Super Big Bar, 8. Color Change Stop (RBT/GBT)

1. 1st Color Change Entry (RBI/GBI/NRB/HGB/HRB), 2. 1st Pullback

11-PART MULTI-MARKET

TRADING

PLAN

1 State 4 1 Narrow 2 Neutral 3 Wide 4 Double Wide 3 Finger Spread

2 Identify A MAJOR EVENT 5 1 Elephant Bar EB EBc 2 TB TB 3 RBI GBI 4 180 Bar 5 NRB Acorn

3 POSITION 7 1 1 2 2 3 3 7 Trap Fab 4 Zone Take The High And Low Of 4 Items 20MA 200MA Previous Day s Closing Price Last 45 1hr Of Price Data 4 1 5 2 6 3

4 INITIAL ENTRY METHOD 4 1 Confirmation Enter 2 Lot Trade 2 Anticipation On A EB Enter 2 Lot Trade 3 Gap And Go Play Bar 4 Color Change Entry RBT GBT

7 Leg 2 Whale Complete 1 Pivot 1 Pullback Adjust Stop Under A Pullback Event That Has Rallied At Least 80 Of The Previous High 2 Pivot 2 Sideways Price 3 Time Adjust Stop Under A Breakout Event Of A 10 12 Bar Time Sideways Movement 4 Big Bar Adjust Stop Under A Big Bar Clo se To It s 2 0MA 8MA 5 Extra Big Bars Adjust Stop Clo se To It s 2 0MA 8MA At The 1 2 Way Mark 6 Super Big Bars Adjust Stop Clo se To It s 2 0MA 8MA At The 1 3 Way Mark 7 Break Even Adjust Stop At The Halfway Point Between The Buy And The Add 8 Bar By Bar Adjust Stop Under a Bar That s Away From It s 20MA 8MA 9 MA Adjust Stop When Your 13MA 8MA Has Passed Your Stock And Is Power Trending 10 Color Adjust Stop Under The Red Bar When It s Followed By 2 Sequentially Higher Green Bars

5 Leg 1 Initial Stop Method 8 1 Event 2 Maximum Loss Per Trade 3 2 3 4 Break Even Adjust Stop At The Halfway Point Between The Buy And The Add After A Profit 5 Big Bar Push And Stop Rule 6 Extra Big Bar 1 2 7 Super Big Bar 8 Color Change Stop RBT GBT

9 1 V 3 Topping Bottoming Need 3 Finger Spread 2 V 3 Topping Bottoming Play Dual Double Tail Acorn Bar Need 3 Finger Spread 3 3 Double Top 3 Double Bottom 4 20MA Hault 5 Bull Bear 180 6 Exhausting Elephant Bar 7 Mature Trend 3 Or More Whales Legs Indicate A Reversal 8 Candlesticks Getting Smaller 9 3 Finger Spread Triple Wide State 10 Failed New High Low Market Law 4

6 Add To A Winning Play 2 1 1st RBI GBI NRB HGB HRB Color Change Add 1 2 Of Your Remaining Account To The Play 2 1st Pullback Add 1 2 Of Your Remaining Account To The Play

11 THE REVERSAL 1 V Top Bottom 2 V Top Bottom Play Double Tail Acorn Bar 3 Market Law 4 Double Top Bottom 4 Triple Top Bottom 5 Market Law 4 20MA Hault 6 Bull Bear 180 7 Exhausting Elephant Bar 8 Mature Trend 9 Candlesticks Getting Smaller 10 Wide State 11 Double Wide State 3 Finger Spread 12 Failed New High Low

7 Profit Rule Method 6 1 30 50 Cent Rule 2 2 3 Push Rule 3 New High Low Rule 4 T he Multi Bar Slide Rule 5 No Prior Red Bar Rule 6 Big Bar Push And Stop Rule

8 Leg 2 Whale Complete TRAILING STOP METHOD 12 1 Pivot 1 Pullback 2 Pivot 2 Double Pullback 3 Pivot 3 Sideways Price 4 Pause 5 Time 6 Big Bar 7 Extra Big Bar 8 Super Big Bar 9 Break Even 10 Bar By Bar 11 MA 12 Color

6 1 30 50 Cent Rule 2 2 3 Push Rule 3 New High New Low Rule Take Profit On 2 Lots When There s A Pullback In Your Stock Your And Move Stop To Break Even Halfway Point Between The Buy And The Add Use the body of acandlestick to determine anew high or low Ignore the tail 4 T he Multi Bar Slide Rule A Slide Push Can Be Made Up Of Several Smaller Bars That Create A New High 5 No Prior Red Bar Rule Never Take Profits On A Bar That s Proceeded By An Opposite Color Bar Because Of It s Has High Follow Through Potential 6 Big Bar Push Rule A Big Bar Can Be Seen As 2 Pushes etc You Can Adjust Your Stop Under A Big Bar Instead Of A Break Even Stop Before Profit

The Market’s Three Trends

Up Trend (Regular, Power, Super)

The Up Trend

The up trend, by far the most popular of all, is usually defined by a series of higher highs and higher lows. Our definition is a bit more involved. In addition to higher highs and lows, we want an up trend to posses a smoothrising 20maabove a200ma.

TIP: In Up Trends, iFund Traders buy dips toward the 20ma, buy breakouts away from the 20ma and short climactic runs too far from the 20ma.

2) The DownTrend

The down trend, by far the most feared of all, is usually defined by a

series of lower highs and lower lows. Our definition is a bit more

involved. In addition to lower highs and lows, we want a down trend to

posses a smoothdeclining20mabelow a200ma.

TIP: In Down Trends, iFund Traders short rallies toward the 20ma, short

breakouts away from the 20ma and buy climactic declines too far from

the 20ma.

3) The Sideways Trend

The sideways trend, by far the most frustrating, is usually defined by a series of relatively equal highs and lows. This stage can be wide, usually when it forms after an advance, or it can tight and narrow, usually when it is jjust a pause or after a sharp decline.

TIP: In Sideways Trends, iFund Traders buy/bid dips and short/offer rallies.

state (1 OF 5)

NARROW STATE

NARROW MA STATE

When your 20MA and 200MA are relatively close together, these are good states for entry events, to the up or downside.

NARROW Stock STATE

When your stock, your 20MA and 200MA are relatively close together, these are good set-ups for entry events, to the up or downside.

THE mastery

Profit Method

When To Return To 3 Pushes

Take Partial Profits On The Price Rally Passed The 80 Mark

80%

Multi-Bar Power Move

50%

Multi Bar Power Retracement Broke It s 50 Mark

When To Return To 3 Pushes

If the pullback retracement has severely broken it's Multi-Bar Power Move, past the 50% mark, revert back to the 3-5 push bar move.

Take Partial Profits, On The Rally Passed The 80% Mark.

THE mastery

6. Profit Method (3 Of 3)

New High | New Low Profit Rule

Partial Profit Taking Rights On real New High

Prior High

50%

Pullback Must Remain In The Top 50 Of It s Previouse Rally

New High | New Low Profit Rule

After a pullback, the trader reverts to the "New High Profit Rule". The new high must be preceded by a green bar and not a red bar.

You must take partial profits on the 2nd bar after the New High | New Low, that has Pushed 2/3rd's, after a pullback.

Note: The pullback must remain in the Top 50% of the prior move's strength.

THE mastery

5. Add To A Play (1 OF 2)

1. 1st Color Change (RBI | GBI | NRB) Take Out

Add To Your Winning Play On The First RBI GBI NRB Take Out

1st Color Change RBI | GBI | NRB Color Change

Mandatory: Add 1 lot to the 1st RBI/GBI/NRB take out.

The color of the RBI/GBI/NRB doesn't matter.

THE mastery

1. Identify (5)

Identify (5) Buy Event (Action Bars, High Reliablility Of Follow Through) Entry Opportunities | Size Allotments

Bull | Bear Elephant Bar. (60% Of All Plays)

Bull | Bear Elephant Plus+ Bar. (60% Of Plays)

Bull (Bottoming) Tail Bar. (15% Of All Plays)

Bear (Topping) Tail Bar. (15% Of All Plays)

Bull (Bottoming), Bear (Topping) Tail Plus+ Bar (15% Of All Plays)

1. Elephant Bar (Wide Range, Power, Surge, Violent) | 2 - 3 Lots

2. Tail Bar (Hidden 180) | 2 - 3 Lots

Bull | Bear 180+ Bar

(5-10% Of All Plays)

3. 180 Bar | 2 - 3 Lots

Bull | Bear Narrow Range (Acorn) Bar. (5% Of All Plays)

4. Narrow Range Bar (Acorn) | 2 - 3 Lots

Red Bar Ignored (RBI) (10% Of All Plays)

Green Bar Ignored (GBI) (10% Of All Plays)

5. Bar Ignored (Color Change) | 2 - 3 Lots

Non-Action Neutral Bar

state (2 OF 5)

Narrow | Wide | DOUBLE-Wide (3-Finger Spread) NEUTRAL CHART EXAMPLE

4 Neutral State This is the space between your Narrow and Wide State

1 Narrow State When your Stock and it s 2 MA s are close together

2 Wide State When your 2 MA s are far apart

3 Triple Wide 3 Finger Spread When your stock and 2 MA s are wide apart

state (1 OF 5)

NARROW STATE CHART EXAMPLE

When your stock 20MA and 200MA are close together you re in a Narrow STATE

Identify (1 Of 5)

Clearing Elephant Bar Version #1

A bunch of bars next to a Clearing Elephant Bar Plus are cleared

Clearing Elephant

Bar | Plus+ Version #1

A tall bar that clears a bunch of bars next to it.

THE mastery

Identify (2 Of 5)

Clearing Elephant Bar Version #2

Clearing Elephant

Bar | Plus+ Version #2

A tall bar that clears a bunch of bars next to it.

THE mastery

Entry Method (1 OF 3)

Confirmation Entry

Enter The Trade, 1 penny above it's previous bar.

THE mastery

Leg 1, Initial Stop Method (5 Of 5)

Leg 1 (POSSIBLE) Big Bar Stop

Leg 2, (POSSIBLE) Big Bar Stop

This is the Stop Adjustment to use when there's violent and explosive move up on a single bar and your stock is close to it's MA.

When you're long and a bar's range is above average, you can use this bar to adjust your stop 1 cent underneath its low.

NOTE: Healthy trends don't take out big bars.

THE mastery

Leg 1, Initial Stop Method (1 OF 5)

Event Stop

This Tail Bar is your reason why you re entering a trade

Event Stop

It is used 70% of the time and

should be the trader’s “go to” or first choice.

It is placed 1 cent below (when long) or above

(when short) a tradable bar or event. It's the reason for your entry.

THE mastery

6. Profit Method (1 Of 3)

1. 30-50 Cent Rule

30-50 Cent Rule

After an initial 30-50 cent gain, the trader has earned the right to take a 2 lot partial profit.

NOTE: Never take full profits on this rule.

NOTE : There's No Obligation To Take Profits

THE mastery

Add To A Play (2 OF 2)

1st 2-3 Multi-Bar Pullback | Retracement

80%

Take Partial Profits On The Rally Passed The 80 Mark

50%

First 2-3 Multi-Bar Pullback Retracement

Re-enter the play above the 50% mark, with a buyable event at the continuation of the first 3-5 Multi-Bar Power Move, that's pulled back, (Retraced) in the upper 50% and take partial profits past the 80% mark.

THE mastery

Leg 1, Initial Stop Method (2 OF 5)

2. Maximum Loss Per Trade Stop

Buy $25,000

Maximum Loss Per Trade Stop

If your entry event is close to the 200MA, protect the play underneath the 200MA.

The reason is because the MA offers support, as the stock may naturally bounce back and rally after a reversal close to it’s MA.

NOTE: Your MLPT should be no more than 50% of your MLPD but no more than 25%.

THE mastery

Identify (1 Of 5)

Leg 1, Initial Stop Method (5 Of 5)

If a bar is too big you can adjust your stop at it s halfway mark 1 2 Point Big Bar Stop

(REALLY) Big-Bar Stop

If a bar is too big, you can adjust your stop at it's halfway mark.

1/2 Point Big-Bar Stop

THE mastery

Trailing Stop Adjustments (6 Of 8)

Moving Average Stop (8MA | 20MA)

Once you've identified your stock is in a trend, you can use the 8MA | 20MA as your trailing stop. You can adjust your stop, as your MA moves.

THE mastery

7. Trailing Stop Adjustments (2 Of 8)

Leg 2, Big Bar Stop

This is the Stop Adjustment to use when there's violent and explosive move up on a single bar and your stock is close to it's MA.

When you're long and a bar's range is above average, you can use this bar to adjust your stop 1 cent underneath its low.

NOTE: Healthy trends don't take out big bars.

THE mastery

4. Leg 1, Initial Stop Method (4 OF 5)

2/3 Stop Option

2/3 Stop

2/3 Stop Option

xxxxxxxxxxxxxxxxxxxxx

THE mastery

Identify (5)

1.Igniting 2. CONTINUATION 3. Exhausting Elephant Bar

(REALLY) Big-Bar Stop Elephant (Igniting, Continuation &

Exhausting Bar)

Igniting Elephant Bars are new moves that originate at or near the 20 MA. Follow through is expected.

Continuation Elephant Bars

originate away from your 20 MA and a after an igniting move. They represent a continued move, in a stock's momentum.

Exhausting Elephant Bars originate away from your 20 MA and after a move that's been underway. They represent the final push, and often lead to a change in the opposite direction.

1/2 Point Big-Bar Stop

1 Igniting Long Elephant Bar NOTE You Can Use An Anticipitory Entry

THE mastery

Leg 1, Initial Stop Method (3 OF 5)

Break Even Stop: (After Your 1st Profit Take)

After Taking Profits, Move Your Stop To Break Even

Push 1

Break Even Stop: (After Your 1st Profit Take)

Once you’ve earned the right to take a profit, you can adjust your stop to your initial entry stop, to break even.

Note: Breakeven stops should be taken after 3-5 pushes, giving your stock room to breath.

You do this just in case the stock descends.

Entry

Initial Entry Break Even Stop

THE mastery

Profit MethoD

No Prior Red Bar Rule

No Prior Red Bar Rule

Never take profits on a bar, that’s proceeded by an opposite color bar.

An opposite color directional bar, represents more momentum in the stock.

Note : Any Bar preceded by an opposite color bar is called an "Igniting Bar". It has high follow through potential.

Entry

Event Stop

THE mastery

Trading Budget

Maximum Loss Per Week | Per Day | Per Trade

$40

3 Trades

$600

$120

5 days

Entry Method (3 Of 3)

Gap And Go Play

Stocks which are born or originate

from a Narrow State and Gap Up | Down are good entries.

THE mastery

Trailing Stop Adjustments (3 Of 8)

Bar-By-Bar Stop

This Stop Adjustment is used when the stock is far away from the 20MA or it's far away from the New High.

This New High must occur after the Pullback.

Adjust your Stop 1 cent below the low of a bar that has broken the high of the previous bar.

THE mastery

9 1 V 3 Topping Bottoming 2 V 3 Topping Bottoming Play Dual Double Tail Acorn Bar 3 3 Double Top 3 Double Bottom 4 20MA Hault 5 Bull Bear 180 6 Exhausting Elephant Bar 7 Mature Trend 8 Candlesticks Getting Smaller 9 3 Finger Spread 10 Failed New High Low

6 - 09

THE MASTERY

The Mastery (Art) part of the trade are to be

done, Depending on which ever step, you see first.

1 - 05

THE MECHANICS

The Mechanics parts of the trade are

to be done, Sequentially...One after another.

8 Middle Color Game After A Whale Complete 1 Subsequent RBI GBI NRB Color Change

Identify A MAJOR BUY/SHORT EVENT

(5)

SUBSEQUENTentry

method

(1)

THE REVERSAL

(10)

SUBSEQUENT STOP

METHOD

(11)

POSITION

(7)

Profit

Rule Method

(6)

INITIAL

ENTRY METHOD

(3)

Add To

A Winning

Play

(2)

Initial

Stop Method

(7)

1 1 Elephant Bar EB EBc 2 Tail TB 3 RBI GBI 4 180 Bar 5 NRB Acorn

2 1 1 2 2 3 3 7 Trap Fab 4 Zone Take The High And Low Of 4 Items 20MA 200MA Previous Day s Closing Price Last 45 1hr Of Price Data 4 1 5 2 6 3

7 Leg 2 Whale Complete 1 Pivot 1 Pullback 2 Pivot 2 Double Pullback 3 Pivot 3 Sideways Price 4 Time 5 Big Bar 6 Extra Big Bars 7 Super Big Bars 8 Break Even 9 Bar By Bar 10 MA 11 Color

3 1 Confirmation 2 Anticipation On A EB 3 Gap And Go Play Bar

6 1 30 50 Cent Rule 2 2 3 Push Rule 3 New High New Low Rule 4 T he Multi Bar Slide Rule 5 No Prior Red Bar Rule 6 Big Bar Push Rule

4 Leg 1 1 Event 2 Maximum Loss Per Trade 3 2 3 4 Break Even 5 Big Bar 6 Extra Big Bars 7 Super Big Bars

5 1 1st RBI GBI NRB Green Red Bar Color Change 2 1st Pullback

THE 3 TRENDS

MARKET LAWS

VB SET-UP

DEAD CAT BOUNCE

TRADING BUDGET

IFT TRaining

PICTURE OF POWER

SIDE WAY PLAYS

3 WHALE TYPES

THE GIFT

3 REVERSAL TIMES

TRADING LIST

MOVING AVERAGES

TIME & SPACE

10-PART 50K TRADING PLAN

1. (A) Identify (5)

Absolute Control

Keeping Control

Good Control

Weak Control

1 Elephant Bar Tail Bar NRB Acorn 180 Bar Bar Ignored 5 Identify

Lost Control

Bull | Bear 180+ Bar

(5-10% Of All Plays)

Bull | Bear Narrow Range (Acorn) Bar. (5% Of All Plays)

Red Bar Ignored (RBI) (10% Of All Plays)

Green Bar Ignored (GBI) (10% Of All Plays)

Non-Action Neutral Bar

2. Position (7 Of 7)

- - -

+ - -

LONG

SHORT

+ + -

- - +

7 Fab 4 Trap Zone Do Nothing 4 Take the high and low of these 4 items 20MA 200MA Previous Day s Closing Price Last 45 1hr Of Price Data

+ + +

- + +

+ - -

- - -

LONG

SHORT

- - +

+ + -

+ + +

3. Entry Method (2 OF 3)

3 Confirmation Anticipation Gap And Go Play 3 Entry Method

2 Anticipation Entry Enter The Trade before the 2 minute time frame is over at Approximately 1 30 seconds

4. Leg 1, Initial Stop Method (5 Of 5)

Big-Bar Stop

4 Leg 1 Event Maximum Loss Per Trade 2 3 Breakeven After A Profit Big Bar Possible 5 Initial Stop Method

5. (A) Add To A Play (1 OF 2)

1 1st Color Change RBI GBI NRB Take Out That s Far Away From Your Initial Entry

5 1st RBI GBI NRB Color Change 1st Pullback 2 Add To A Play

6. Profit Method (2 Of 3)

Profit Taking Rights On Push 3

Push 2

Push 1

Entry

Event Stop

6 30 50 Cent Rule 2 3 Push Rule New High New Low Rule 3 Profit Method

2 3 5 Bar Push Rule The market tend to give 3 to 5 pushes and then reverses in the opposite direction NOTE VALID if a pullback HASN T occured You ll get 3 pushes a higher percentage of the time

6. (A) Profit Method (VARIATION)

Push 3

Add To Your Winning Play

On The RBI

Push 2

Initial Buy $25,000

3 The Multi Bar Slide Rule A push can be made up of several smaller bars that create a Slide push and a new high

Push 1

Event Stop

11. KEY PULLBACK, RETRACEMENTS (3 Of 3)

7. Trailing Stop Adjustments (1 Of 8)

7 Leg 2 Pivot Big Bar Bar By Bar MA 20MA 8MA Sideways Break Even Color Time Whale Complete 8 Stop Adjustment

Take Partial Profits, On The Price Rally Passed The 80% Mark

80%

After A Pullback, Move Your Stop To Pivot 1.

50%

1 Leg 2 Pivot Stop Must have a pullback or pause of no more 50 retracement Also the pullback or the rally must achieve 80 passed its pullback Upon entering another play you can stop adjust NOTE Pivot stops happen on the 2nd leg

7. Trailing Stop Adjustments (4 Of 8)

Prior High

50%

4 Pivot Stop Must have a pullback or pause of no more 50 retracement Also the pullback or the rally must achieve 80 passed its pullback Upon entering another play you can stop adjust Pivot stops happen on the 2nd leg

7. (A) Trailing Stop Adjustments (5 Of 8)

Prior High

50%

5 Sideways Stop Sideways pivot If your stock pauses sideways pivot stop under the rally

7. Trailing Stop Adjustments (7 Of 8)

7 Color Red Bar Green Bar Green Bar Stop Adjustment Under The Red Bar

After A Pullback, Move Your Stop To Pivot 1.

7. Trailing Stop Adjustments (8 Of 8)

8 Time 10 12 bars of lateral or horizontal movement adjust your stop under a breakout event

7. Trailing Stop Adjustments (8 Of 8)

7 Super Tall Bar Stop Break the move into 3rds Each 3rd you can stop adjust

7. (A) Trailing Stop Adjustments (8 Of 8)

1 Whale Complete Break the move into 3rds Each 3rd you can stop adjust

7. (B) Trailing Stop Adjustments (8 Of 8)

7. (C) Trailing Stop Adjustments (8 Of 8)

3 Whale Complete If the secondary move after the pause is pretty much the same size of the move before the pause do not take another entry on the next pullback

8. The Color Game (1 Of 1)

3 Color Change The Color Game Close To MA That Checks The Stock

8 Subsequent RBI GBI NRB Color Change Close To It s 20MA 8MA After A Whale Color Game

Circles represent Red taking out Green Entries close to the MA

IFT Tip:

Each day, traders can scan their list of stocks pre or

post market using the daily chart to determine

overbought/oversold conditions. This can help the

trader determine if a stock has a better chance to

deliver upside or downside movement.

The circles show when the stock would have a definite downside bias. Using bigger time

frames (daily, 60-min and 15-min) to determine the stock’s "bias" gives you the

necessary skill and confidence to take the signals on the smaller time frames when they

are in sync with that bias.

3 Color Change Circles represent Color Change Red taking out Green close to the MA that checks the stock

9. Play Your Stock In Reverse Signs (1 Of 7)

9 V 3 3 Double Top Bottom 20 MA Halt The Reversal

3 Play the V only when you have a 3 finger spread

9. (A) Play Your Stock In Reverse Signs (2 Of 7)

V 3 Topping Play Dual Double Bottoming Tail Bar Acorn

2 Bottoming Tail Bars has the strength of a 180 Bar

1 Dual Double Bottoming Tail Bar Adds extra power to a reversal play Play the V only when you have a 3 finger spread

9. Play Your Stock In Reverse Signs (3 Of 7)

3 Double Top 3 Double Bottom Play When a double top bottom pattern appears a reversal has begun Only play the V 3 Topping Bottoming Play if you have a 3 Finger Spread and a powerful Buy Event The tops are peaks that are formed when the price hits a certain level that can t be broken After hitting this level the price will bounce off it slightly then return back to test the level again If the price bounces off that level again then you have a DOUBLE top

9. Play Your Stock In Reverse Signs (4 Of 7)

20 MA Hault Once the stock gets above the 20ma and a subsequent decline is held in check by the 20ma the Bull Picture of Power is in full effect A trade can be made when an event is identified

9. (B) Play Your Stock In Reverse Signs (5 Of 7)

Bull 180 When a Bull 180 clears the prior bar s high a trade can be made before the bar is complete and without regard to the TIF Rules When a Bull 180 is forming and is between the 100 and 2 3 retracement of the prior bar s high the TIF Rules mustbe followed if anentry is to be made before the baris complete

9. Play Your Stock In Reverse Signs (6 Of 7)

Elephant Igniting Continuation Exhausting Bar 1 Igniting Elephant Bars are new moves that originate at or near the 20 MA Follow through is expected 2 Continuation Elephant Bars originate away from your 20 MA and a after an igniting move They represent a continued move in a stock s momentum 3 Exhausting Elephant Bars originate away from your 20 MA and after a move that s been underway They represent the final push and often lead to a change in the opposite direction

11. Play Your Stock In Reverse Signs (7 Of 7)