TD Triangulation

Intro

On the basis of market advance/decline, price experience retracements to relieve overbought/oversold. In retracement mode, price will tend to break critical price thresholds with momentum, and propels it to the next Support/Resistance level.

Eight types of market timing approach : trend following, cyclical, seasonal, pattern recognition, anti-trend, indicator approach, measurement, volatility and momentum.

TD Triangulation = momentum + heavy emphasis on pattern recognition.

Imagine driving for 120km/h and turning off ignition & pressing brake. The car will move forward even if you're trying to stop it.

Similar to market, when price is accelerating, price will break certain level and momentum will push price to a certain level. Hence, ratios are introduced to objectively calculate price objective zones.

Note : To be used with other indicators for confirmation.


LSs

4 stages of TD Triangulation

1. Identify reference Highs & Lows
2. Select operative price patterns
3. Implement appropriate mathematical formulas
4. Apply rules to determine trade suitability

Identifying reference Highs & Lows

Uptrend:
From a price low(reference candle), look for previous price high which is lower than the recent price low. Find the highest price in between.

Downtrend:
From a price high(reference candle), look for previous price low which is higher than the recent price high. Find the lowest price in between.

Note :
- Reference candle should not be more than 144 candles from present.



(To be continued.... having trouble intrepreting as there are no charts to refer in TD explainations)