Pivot Re Tags

4 Levels of PRTs

4 Levels of PRTs

Trading Ideas• Watch for key levels where the market might turn but do not

enter at these levels• Look for a ABC/123 formation or a DT/DB before entry• Use room signal• A trend is intact as long as HH/HL or LH/LL remains intact

AND price doesn’t violate a PRT 4 by 1 closed bars• Expect price to retrace to some PRT level; watch them all.• Oftentimes the amount of retracement to a PRT might be

excessive; exit and re-enter• The market will sometimes turn in NML. Do not freak out

just hold the course until bullet 4 above is violated.• High volume E2s also act as PRTs

The Waterfall

The Geyser

Summary

• Know the 4 levels of PRTs. They are everywhere and they should be used in entering and managing your trade.

• Local PRTs carry the most weight but outside levels are very valid.

• I don’t enter at top or bottom of swing. I wait for ABC/123 formation that normally involves a PRT of some level.

• A trend is intact as long as HH/HL or LH/LL remains intact AND price doesn’t violate a PRT 4 by 1 closed bars

• Adjust your stops (and your profit targets too) after you see that this works for you.

Cycling

Questions

• What does it mean when price turns in NML? Make sure to check the longer term chart.

• Is a HV E2 a proxy for a PRT? Which ones• Is this method valid in high volatility and low

volatility environments• On any given day, the median swing size on 5

brick chart is 50-80 ticks. How big should your stop be to catch most of that????