If there is any active sponsorship in a stock
A P&F chart will tend to trend at 45 degrees
How urgent or active that sponsorship
determines on what magnitude the manipulations of sponsorship will be revealed
Is there anything good
what is the time scale
is it the next ”6 mths ”
Every action is a manipulation…
We can change the filter until we see
These patterns appear
With RIC I will start with the 4% x 3 ( because it is very clear )
The first pattern marked
is where supply withdrew
the response was demand withdrawing even more
price sagged
the second pattern marked is
Demand turning up
the response has been supply turning up as well
Blue line is support because volume has taken price up from that level.
Those active in the stock
withdrew to the sidelines
With demand back
We have a broadening pattern
What to do
nothing
wait
buy at support
sell at resistance
having supply withdrawing
or having demand returning
Is not enough… It is always the response that is what makes enough
( Go long at a Last point of support AFTER a Sign of strength )
A broadening pattern is a wide pattern
large differences of opinion
a battle ground for accumulation or distribution
2% chart…..
small trend like movements
strongly down
but with demand now in place
and the price activity
a chance to narrow
as the differences of opinion
are resolved
We can then see what side becomes urgent
( if price narrows as supply again withdraws… and Then We see a SOS
ie demand responds by becoming urgent…That would be very different to the first pattern on the 4% chart )
I can post some more charts later ( look at the 1 box reversal charts )
If you are interested
motorway
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