Intra-Week Support and Resistance - November 7, 2011

[Billy]

Thank you for the enlighting answer, Billy. Is there a big difference if the strongest levels (within the first clusters, reachable with the defined volatility) happen to be daily or weekly pivots rather than, say, semester or annual? Wouldn't the RR be considered less reliable or at least render the trade to more likely be shorter-lived?

Trader D

Excellent question Trader D! Of course there is a big difference if the strongest levels are actually “weak” daily or weekly levels. And you are right, the RR ratio would be less reliable. This is actually when exceptions to the rule are necessary, but as I mentioned, they are proprietary.
In such occurrences, robot subscribers can be assured that the optimal 3:1 RR entries have been adjusted according to the exception rules. These have been optimized by Pascal’s rigorous backtesting.
Billy

[nickola.pazderic]

Hi Billy,

Thanks yet again for supplying clues about how professionals might trade IWM.