Everytime this comes to mind (the yellow part), XARD explains this in the 2nd dot PDF.samxtrader wrote: Sun Nov 27, 2022 11:30 pm This is the question that has been on my mind since I started learning this system, and im still unclear,
BUT …….
My 2 cents is that it keeps making a lower low or a higher high depending on the direction the higher time frame is heading and you keep trading until it fails to break the low or the high i.e the PEAK your referring to , price then bounces off the channel line and the so called 2nd dot shows up that is where you trade from going the other direction. It may only be a retrace until prices resumes in the previous direction again.
Guys correct me if I’m wrong ??? Anybody
I’ve also been in search for the answer to this question for a long time
Hope this helps