Phoenix36 wrote: Thu Sep 05, 2024 7:31 am Still learning, but took a few trades today. Got stopped out in the direction it was supposed to go anyways, but later realised I did not spot the AMD formation. But recovered the loss later in the day.

I did have a question on the Image below, since AM the BLUE UP Arrow has been visible and repainted and went down with the price. Its been a bit confusing for me, as I felt price was at a reversal point. But I saw it happen on all pairs today, so avoided it, but would be keen to understand why it happens.

Q3.png

All Semaphores will RECALCULATE if price pushes beyond it. They are only set in stone when a new Semaphore the same size with opposite colour appears. IE in the image below the Blue Square Semaphore can still move lower if price moves lower, the Red Semaphore in the top left will never move as there is the blue on the low.

When a larger Semaphore appears be aware that there may be a reversal but price still can push further. When a second dot appears and the price crosses the moving averages is when you would take trades moving away from the square Semaphore.

Just keep watching how they behave and it will start to make sense.