Friday, April 19, 2013

Fibonacci Ticks 144-6765 dWb I


On the dWb I chart grid, first looking at the dWb I study set--by the sounding of the bell price was on the top side of the 60 period SMA & 110 period EMA on the 144 Tick Inteval. From around noon to 1pm the MA's were lost and price retraced somewhat, but caught a bid and remained up through the close. It was a similar story on the intermediate Tick intervals, 610-987, where price was supported to the upside by the MA's. A stronger MA story is seen on the 2584 Tick interval where price never broke through the 110 EMA. Going to the last two intervals, 4181 & 6765, neither the 60 SMA nor 110 EMA were breached in today's action.  On the dWb I.i study set we saw similarities and confirmations in the fact that the Keltner channels provided support to a rising price and the TMV study indicated a rising ADX with the paintbars primarily green through the lunchtime hour. The TMV printed Cyan dots on bars of extreme volume that typically indicated final surges on ADX and impending trend exhaustion. On the intermediate basis, Ticks remained at or above the centerline of the Keltner channels during uptrends, and vice versa for downtrends. On the longest interval Tick charts, there were notably more unpainted bars. Glancing at the TTM squeeze and Wave, this is understandable as many alerts were pending and structure was nearly flat. Multiple Cyan alerts are shown at the close and also 15 min. after (see note below).

One last thing of note on the dWb I chart series, there was a significant amount of volume that went out after the closing bell today (Cyan Alert TMV indicator). I zoomed in on the 144 tick chart for clarification: I counted three bars with approximately 2000 /ESM3 contracts trading at the 4pm close; next I looked at 4:14pm and counted two bars with approximately 2000 /ESM3 contracts. Perhaps it was just an imbalance or a late order, but I don't recall seeing this type of trading happening with much regularity (a number that large should have had more than the muted effect it did coming in after hours). We should recognize that price had dropped 3 to 4 handles from the time of the close.