The Pattern Recognition program (Plungers) identifies current forward
(bullish) and reverse (bearish) plunger days and generates a daily report
showing the markets that currently exhibit these patterns. This report
provides reversals, stops, and potential profit objectives.
The criteria for the daily plungers is that we must meet or exceed a
new 10-day high or 10-day low and then close in the top or bottom 30% of
that days range. The entire price range for that day must also be at least
1/3 of an average days range (this used to be 1/2) for that market. This
eliminates plungers with extremely tiny intra-day ranges. The criteria for
the weekly plungers are again essentially the same, except we are evaluating
the data on a weekly basis as opposed to daily. Just as the close of each
day is the most important price of the day, the close on Friday is the most
important price of the week.
One of the benefits of identifying plunger formations and using them as
springs for any entry into a position is the logical protective stop they
provide. If it turns out that the plunger pattern did identify a turning
point, the low/high of the plunger should not be penetrated. In other
words, if the market moves higher following a forward plunger day, the
low of the plunger day should not be penetrated. Thus, this is a logical
area for a protective stop (sell stop). Likewise on a reverse plunger day,
if the market moves lower, the high of the reverse plunger day should not
be penetrated. This is also a logical place for the protective stop (buy
stop).
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Important!
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NO
TRADING SYSTEM CAN GUARANTEE PROFITS
No guarantees can be made for success. Past performance is not a
guarantee of future profits.
Futures trading is NOT our only means of income. We also invest
in stocks, real estate as well as
generate income from other businesses. We have both winning trades
and losing trades. We trade professionally, but not daily. We wait
for what we believe to be ideal trading opportunities.
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"I can't imagine trading commodities without this data!
This is the missing link"
J.T., private trader
"I don't know how you can make it (IMPA system) any better...
This is the BEST system I have ever seen. "
R.K. Part-time futures trader
"Dear Floyd, Well I have read the manual and studied lots & lots
of charts... all I can say is wow - I finally found it - !!!
THE SYSTEM (the only system) ... Finally FA & TA in one package!
Thanks, Subscribing for life now please...from way down under"
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Swing Trading Information
