October 2nd 23: In this video we see the market lower than it was last night. I changed some of the chart in a little bit because I didn't like one of the ABCD patterns... so I explained that. I changed the range boxes a little bit.... when the market went a little bit lower I visualized it a little differently.... so I changed that. The market went lower and on a smaller than usual time frame... the 2-hour chart, I could see that there was a 1.618 extension that was touched reversal pattern....And then I went into rant About small stops.Markets like this can produce two or three bear flags meaning that the market finds buyers but it quickly makes a new low. the bear flag is an indicator to me that I have the right idea because the market did go higher but I was just a little bit too soon and the market made a new low... and sometimes I might hesitate or even wait on a trade and avoid the bear flag that makes a new low.... but sometimes that trade didn't make a new low and then I'm glad I took the trade. My thinking when the markets are like this is that I think the market is going higher but it's not quite at that support area or that extension that I'm looking at And if I don't take the trade I'll miss the reversal. sometimes it pays to take the trade even though there's a better trade location below The current price.The way this market looks on this video is that it could go higher from this point but it wouldn't surprise me if it gets down to that support area or to the Measured move. I do believe however that the market is in the ballpark for a reversal and I know for a fact I will not have a large stop. In this case I'll be buying physical depending on the price I get from my broker. The other reason for metals to go down could be because the general market is very weak and professional funds have to liquidate a lot of their positions because they're overextended and that means they may have to close Gold or silver positions.... and some firms sell the paper and you can't see them buying the physical.
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