This video covers one of the futures chart patterns I use to identify high-probability trade setups – trends and cycles, analysed using the Better Sine Wave indicator. I go through End of Trend signals on the lower-time-frame chart, syncing up with Cyclical signals on the higher-time-frame chart. Remember:
Trends in lower time frames are equivalent to cycles in higher time frames.
Emini-Watch.com
In the end we got 3 trend and cycle setups in a row. Each was good for a 10 point move in the Emini. Here’s the chart with the two timeframes and signals annotated.
CME/Globex data and my chart settings
In October 2009, the CME/Globex exchange changed how Emini trades were aggregated. As a result, I changed my multiple timeframe tick charts from 233 / 699 / 2,097 ticks to 500 / 1,500 / 4,500 ticks. This video was recorded before this change, showing 233 tick charts, etc. For pattern-based applications of these same principles, see the Killing Fields pattern – where cycle exhaustion and professional trapping combine – and how to read professional buying and selling in real time.
