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Monday, February 14, 2011

Intersection

Intersection
Intersection is the most important and most interesting cardinal rule in GSCS.
It refers to areas of price and time where two waves or matrices using the 50




percent rule and measured move intersect. These are extremely reliable areas of
support and resistance, and it is useful to trade against these points or areas.
The double intersection is the third and most reliable (but most difficult
to find) of the three basic Goodman trading patterns, the first two being the return
swing and trading wave propagation. See Figure 5.23.
There are several forms of double intersection. The most common is the
50 percent return of a matrix being the measured move of another matrix. The
double intersection represents equilibrium at three points.
The triple intersection is an advanced GSCS pattern. I do not recommend
attempting to find it or use it until you have mastered the three basic
patterns. (See Figure 5.24.) Traders should first learn to see and anticipate wave
propagations, returns, and double intersections without regard to measurement
(ordinal). After mastering those tasks, learn the cardinal measurement rules.


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