The wicks are used in windows trading

Thats my point there are different methods to trading the gap. Some people dont use the wicks.
With trading there is no one way that is absolute.
The wick was left out purposely.

Yes remo, but only if the horizontal line drawn to illustrate it is drawn in the correct place.

The gap was filled at ~78p on 26/2, not at ~76.50 on 27/2 as per your chart remo. You have not accounted for the wicks for once

Also, in some interpretations there was deemed no gap at all because the range of the prior day (20/2) covered the gap area, but that is advanced TA.

F4T

Ps: Have just read your second post. I find it odd that you are adamant about drawing trendlines using the wicks but advocate a gap close based on the real body. Personally I have never heard of someone closing gaps based on real bodies before. There are some odd interpretations advocated on here IMO. It is important IMO to always use the most commonly used, as with trendlines. Each to their own I suppose.

Food4Thought wrote:
It also depends on how you trade the gaps.
some people like to trade the gaps using the windows method(most popular and recommended) and others like to use it from a total fill perspective. Both ways work. what i mean by the total fill is the price gapped up and left a visible empty space.This empty space can be traded on the fill itself from the start of the space in the future.(dont know if that makes sense). Just like the fill on BLVN yesterday. It went perfectly to fill the gap and bounced a little on first attempt basis. If your after just a few points then this can be profitable.

A picture paints a thousand words

colebrooke1,

all gaps are closed. You need to take the high on 21/2, not the close to determine gaps. The previous days range is also a factor.

F4T

There is a gap to close from last week. On the 21/02 the sp closed at 75.61 opened higher next day on RNS with the low that day being 78.50. BLVN has historically always closed it's gaps.

With the well flow test results a good 4-6 weeks away it may yet retrace fully to 72p perhaps further.

A catch up on Blvn.

We had a perfect double bottom W with an assumed target of 88p. SP hit 86 and has retraced in the face of negative MACD divergence. Currently hovering around the 61.8% fib at 77/78, which also coincides with another trendline support from 2012 across the peaks of the W.

Could bounce from here but my gut feeling is a retrace to next support at 75p, being the peak between the double bottom, before a move north. This might imply a full retrace to 72p though.
Financials out 20/3.

Resistence at 86, 89 and then 95p.

uk.advfn.com/p.php?pid=chartscreenshot&u...Dh5ZeIPER9DPlUfYiCu4

F4T

A perfect prediction I would say. Hope everyone was paying attention and are now reaping the benefits.

F4T

Food4Thought wrote:

lol lol lol waverider2, please read the whole thread.... and you should get my rationale... for buy... if you read all the blvn threads on here, you can see I posted when I bought it.
Or may be you can check blvn bb few days back when i mentioned the entry....
people like you make me really sick.. to post anything.... on chartsview..... sarcasm.... lol lol innit?

lol Paitech - could you post your chart with your rationale of the 64p buy please??

This is up today around 12%.. did buy in at 64p few days back.. now I want a bid on this...

We have positive MACD divergence and a potential double bottom forming on the daily after yesterdays doji. Could be a bottom and turning point IMO. Neckline and resistance would be in the 75 area if it plays out.

F4T

Starting to look a little healthier now - nice move up yesterday has broken the downtrend, the MACD has crossed on the daily and the RSI on the daily has also broken the downtrend. Tempted to take the plunge with a tight stop...

After the fib went at 67.50, horizontal support at 62.50 is the next target. I don't hold much worth on the trendline drawn from the June / July lows and am not surprised it provided no support. The closing price trendline break at ~77/77.50 was the sell point IMO then wait for a confirmed trend change/bottom to form.

F4T

yup, a small loss for me too on this one....oh well lets hope SXX comes up trumps over the next few sessions !

Yeah - I've bailed out on this one for a small loss. That's trading for you!

This one broke down medium term trendline, I set my order to go long at 58.25
- Long term trendline and some support in this area

Looks good!

This formed a hammer right at the main trendline support, 61.8% Fib and horizontal support yesterday:



dl.dropbox.com/u/20815047/BLVNdaily11_12_12.gif

There are also bullish RSI divergences on the hourly and the daily stoch looks like it's starting to turn up. It's also possibly heading towards a MACD buy signal and the wave count seems to be working.

I may be biased since I took that trendline entry yesterday so please beware

Nice bounce off of the 61.8% Fib of the move from 53 yesterday. Let's see if it can be maintained.

F4T

Anyone adding/added? Seems to have bounced at 67p but on low volume?

So sorry to hear your sad news.

Our condolences go out to you and your family.

sorry not been around much , step sister died on Tues .

uk.advfn.com/p.php?pid=chartscreenshotsh...fykx&symbol=L%5EBLVN

pj

Quick reminder on this one for a possible Christmas present

It's getting close to multiple supports at the 67p area:



dl.dropbox.com/u/20815047/BLVNdaily30_11_12.gif

Uptrend support, horizontal support and 61.8% Fib support...a bounce from here could bring a wave 3 up with a target around the 128p area (no promises!!!)

Trendline support now confidently broken. A Break of 72 will IMO send the sp into the low 60's. Sell point was the close below 77 last Thursday.

Supports: 72 (29/10 low / 100 retracement of move), 62.5 29/8 low
Resistance: Lots to get through i'm afraid including all major MA's, broken support trendline and to 79.75 being 20/11 high and down trendline.

Chart from 26/11

uk.advfn.com/p.php?pid=chartscreenshotsh...eWlMV&symbol=L%5EGKP

F4T

I closed a short position in BLVN as it reached the support at 76.25p on the IG 15 minute charts.
It has first resistance at 79.48p.

Apologies for not posting it live but I was long but it failed at the 83.13p resistance and I had entered too impatiently. Went short sub 80p

I was aiming for the 70.5p support on the daily.

I used to dismiss IG Charts but am finding Supports and resistances quite good.

Dotted lines for minor supports/resistances, less dotted for less minor and solid lines for inter.

Thick green lines for Major supports which get thicker more major. Keep swapping time frames to see them at different charts as levels change on time frame.

I use daily charts end of day.

Just a tip for end of day charts users

If your taking end of day prices only for trendlines then use a normal line chart rather than Candlestick charts. Candlestick charts are for advanced use.
Line chart will plot so much easier than a candlestick.

Jackozy / Remo,

without wishing to labour the subject unjustly, if you were to plot closing prices on Jackozy's chart below where he is looking for 64-67 for BLVN, you would see that the troughs / lows from June to date are true and exact to this closing price trendline, whereas his trendline could be used possibly as a shadow should that one break, but bears no relevance to price action after July.

Like I said before, sometimes one works sometimes the other.

F4T

Remo,

it is a good debate and it is a good forum for such a debate. That is what we are here for. I had not considered that my gap and trendline methods were at odds until Jackozy mentioned it and had never used the alternate gap method you quote. I usually use the close to plot trendlines but often plot the "shadow" as well (which utilises the candle extremes), but the former is always bolder for me.

One this for sure is that there are few exacts in TA. Trendlines are pierced intra day bit "hold", as are fibs. Sometimes triangles, pennants etc. fail, sometimes they don't. It is one of the reasons I stay clear of EWT - that is a minefield of opinions lol.

For me this is what I enjoy. If it was just making money I would be bored already....

GL
F4T

I actually used to trade like that many moons ago. using closing price to plot the trend lines.
Its not as accurate as taking the extremes. Why is it that prices keep going through the trend line???? For trend line trading i would not use this method.
If you go back through all the charts ive posted so far you can see i use the extremes . If you then look at where they have bounced from then you should be able to tell which is more accurate. Most of the time on first attempt it normally holds. Good for trend line trading.

I do understand what your saying about the pros using it like that. Only thing id say is are they really pros??? Or just writers???
Pros rarely share there knowledge hence why i created chartsview. here fellow traders hopefully will share ,
that way we can all learn together.

But if it works for you then Don't change a thing. Very important.

With regards to gaps.
Your method is the window gap method based on candle sticks. pretty good
But theres also the gap fill method which actually takes the closing price as the gap fill area and not the long wick part.This is the method i use to go long or short on in first attempt.
Theres always more than one method and which ever works for you should be employed.

Its all down to what type of trader you are .
Also what type of charts your using.

Theres no right or wrong answer to this . Its what works best for you

Remo not having a go.....Thought id join in on a good debate

Hi Jackozy,

the most important price of the day I thikn you will agree is the closing price, not the high or the low or even the open. It is the price where the market settles after auction after much consideration during the open period. The days range can include all sorts of delayed trades and anomolies and indeed I see people here sifting through these to recognise the "true position".

A gap is different. A gap is the void between one days range and the next days range. I take your point though as this can also include anomolies.

I know that most people on these UK bb's use the lows and highs of the candlesticks to draw trendlines but I think you may find that professionals use closing prices for this purpose as these are more meaningful. Call it advanced TA if you like.

Anyway, each to their own. I believe that more volume is traded off closing prices, but I may be wrong. It works for me anyway.

Cheers
F4T

Hi F4T,

If you use the closing prices for your trendlines then why don't you use the closing prices for your gap? Genuine question,not having a go...

I do expect a small bounce here but simply because it's the 38.2% Fib and that's where it *should* bounce on the way down to 61.8% and the main trendline. I have 5 complete waves up to the 91p high so am looking for that trendline at c, 64p to 67p to go long on this:



dl.dropbox.com/u/20815047/BLVNdaily16_11_12.gif

Big bearish RSI divergence at the high would add weight to the above IMHO.

GL.

AdeMcG,

no, I use the more common and IMO more accurate closing prices to set trendlines.

F4T

Hi F4T, perhaps the lower line could be moved south a little, as you seem to have chopped half the candles for it to fit the gap fill? Support around 75p?

Hi all,

Bowleven closed its gap at 76.25 yesterday. Looking good for a 95p christmas present

uk.advfn.com/p.php?pid=chartscreenshot&u...OgUfceHUK6gAb9Jf6CBG

Cheers
F4T