Page 159 - ART® Study Manual html5 - flash
P. 159
® “Home-Study Course” Study Manual Page 159
________________________________________________________________________
6. “Pyramid Trading Point®” Signal Strength
Indicator:
The larger the area inside a confirmed “Pyramid Trading Point®”, the
larger the move will be. NOTE: We are discussing “Area” and not just
height. “Pyramid Trading Point®” triangles can take on unusual
triangular shapes depending on the price activity.
Interpreting The “AREA” Inside a “PTP”
There are two important concepts in regard to the “Area” in the
triangle and what it means. First, is that the “Area” will increase the
LARGER the correction is. Second, the “Area” will also increase the
LONGER the correction takes to complete. These are two important
concepts because we are saying that the size of the triangle is
determined by both the price levels of the correction and the time it
takes to complete.
The larger the triangle, the larger the information has to be to get back
over the “Apex” to trigger a trade entry. If the information is that
strong, the probabilities are that the move will be strong and extensive.
________________________________________________________________________________________________
Copyright © 2012 TradersCoach.com, Inc. All rights reserved. Any reproduction and/or electronic
transmission of this document is prohibited without the prior written consent of TradersCoach.com
and is a violation of international copyright law. AR-1021-04-06.
