In Precision Trading with Stevenson Price and Time Targets You will find even further value in the fact that JR Stevenson has agreed to answer any questions posed on the contents and to offer further explanation wherever needed via e-mail.
Introduction:
The TOOL you are about to put in your “tool box” is so simple and easy to use that you may be tempted to discard it before trying, however “simplicity often leads to success.” In order to make a PIT [price-time tar get] all you need is:
- 1. A charting software package that allows you to draw on trendline on a 5 minute chart (or any time frame) of an e-mini mar ket, and to clone the trendline.
- 2. Recognize by observation, the appearance of a REGULAR CYCLE and that of an INVERTED CYCLE.
- 3 . Connect the two cycles, again b y observation, draw two trendlines and the price and time target PIT will be given at the end of the cloned trendline, plotted right on the chart.
There are no calculations, no expensive software needed, no formulas or complicated rules to follow and the same procedure is used on any chart of your choosing. You can choose any length cycle you wish to trade that will give you the profit!loss ratio that suits your money management policy. This step is the only subjective decision you need to make to arrive at the PIT. Proof of the above statements ar e in the pages to follow. Please read with an open and creative mind and you will be amazed as to how often near perfect results are obtained. Perhaps even more important is the mar ket analysis that is possible when the target is missed in price, time, or both. Many times you will be able to correctly predict the next move in the market because of a failure of the market to reach the PTT.
WHAT THIS MANUAL WILL OR WILL NOT DO FOR YOU:
- 1 . On a 5 minute chart of Mini S&P’s, you will be able to look ahead 20, 30, 60 or even several hours and predict where the price should be at a certain time. [PTT]
- 2. You will be able to tell which cycles are moving the market trend.
- 3 . You will b e able t o give a PIT for any cycle from 3 bars on up in length.
- 4. You will be able to reduce your trading to just a few trades per session to prevent overtrading, if you desire.
- 5 . You will b e able to tell when a reaction, or a rally against the trend i s about t o stop.
- 6. You will see why chart patterns form and how PIT’s can confirm their targets.
- 7. By using concept #2, you should be able to tell when a new cycle direction is confirmed.
- 8. The markets differ in character from day to day. PTT’s should help you trade trend days or trading range type markets.
- 9. The PIT’s will not make the market move to them. They are guide posts or signs to help guide you on yourj ourney.
Contents:
- Overview of Concepts
- Regular and Inverted Cycles
- Procedure for Making a PIT in Real Time
- How to Trade PIT’s in Real Time
- How to Select the Best Cycle to Trade
- How to Tell When a Cycle Has Ended
- What ifthe PIT Misses?
- Basic Questions
- About Cycles
- Trading Tips
- Points of Emphasis in this Manual
