Rhodes2Ritches I have been watching his dvd Foundations for...

Rhodes2Ritches I have been watching his dvd Foundations for Successful Trading. It is quite a few years old but it is amazing how often you see some of the patterns that he mentions. I am currently only about half way threw watching it and it is something that I will watch over and over again. He really explains price action well and how to tell if you are in a strong trend or not This is a link to his website.

http://www.mclarenreport.net.au/articles/index.php

He also mentions an indicator called the demand index. I have a really old version of metastock which this comes with. This is a great indicator for showing divergence.

He also talks about double bottoms and tops and how everyone looks for them. A stronger pattern is to look for one after a high is already in place.

I can't put any charts up as away at work but the 123 pattern look for a top and then 3 subsequent lower lows. This pattern is very strong especially if the countertrend rallies only last for a few days and then quickly take out the recent low. If you loke at johno247's daily chart on WOW post 327791. If you count the swing high in late dec as 0 and then the next 3 small swing highs as 1 2 & 3. Notice how all the counter trend rallies are only a couple of bars. The bar before the gap is the one I would label as 3 and the subsequent move was nice and quick. I will put some charts up over the next few weeks when I am not working weekends