Next Delta Point (high) due roughly next Weds.

Based on MM, what's the Delta high next Wed. At least 2.0?

USD in troubles for now .............

Hi cmellon

According to my understanding, we need to take out the last high of 2.0006 for the next Delta point which is next week. I'm long 'till then.

next week we will see gbp touch the level `19850 - 20000

watch for the PPI indicators...

right now, im doing hedging buy and sell...

still not clear..

Man you got that right. This thing is getting squeezed hard between contracting Fibs, trend lines, etc. But sometimes, I notice that a tight squeeze can just fizzle, also.

I got another long signal at 9778 and have taken it (see chart). Even moving my stop up on the open long, means that my combined risk is a little higher than usual. But as the Phantom of the Pits said, Rule 2: press your winners without exception. This one is a little early to qualify; I guess you would say that I am a committed long now!

My stops are 9723. It's hard to see how this thing breaks 9838 this week, given the weekly chart, but, stranger things...

Additional evidence (see chart): seven times on the hourly the market could not close below the .618 at 9729... trend line was tested twice and rejected with reversal bars... the hourly chart as a double-inside (breakout) pattern... the 4 hour chart sports a bullish engulfing pattern, with tweezers bottom against the trend line... which effectively forms a sizable hammer on the 8 hour chart... missed my stop by 1.7 pips btw so I must be right! lol Only thing I don't like are my momentum indicators, which are slightly bearish.

As you all say, I'm waiting to see how Delta plays out on this. To that end, I'm curious JohnG et al Delta'ers, how often do you have to count an 'inversion'. When you say, "it has to go up before down", I interpret that as meaning you rarely have to invert the count... unlike Elliott Wave (as we saw this morning)... is my understanding correct, these inversions are quite rare? And therefore this explains your level of commitment to it?

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already open short position..

will do hedging..

if go to 19785

note : i think 19850 is a very strong resistance.. or may i call " pychology level"

Hi

It's a bit complicated to try and explain in a limited space but I will try and give an overview.

The whole thing is based on time, and that within a particular time frame there will be a set number of high and low points that arrive at the same relative time within a particular period.

As with Elliott Wave there are cycles within cycles and they will allways follow a set of rules.

I only trade it down to the Intermediate Term Delta or ITD but it is possible to use smaller time frames.

The three cycles I use are :

1. ITD which repeats every 4 lunar months and has 12 points within it
2. MTD every lunar year also with 12 points
3. LTD every 4 years. I'm currently using an 18 point count on that one

I've been using it for about 4 years now and I couldn't/wouldn't trade without it.

Elliott Wave and Fibonacci (price and time) are integral to how the system works, the whole lot links together. EW and Fibs to identify price targets and wave ends/turning points and the Delta counts to identify when those highs or lows are due.

Sometimes the counts are slightly unclear, not so much on the lower ITD time frame but the high/lows on the ITD must obey certain rules within the larger MTD time frame , and so on for the LTD. It's a bit like in EW where one wave is subdivided into 5 or 3 smaller waves with those sub waves also subdivided.

In this instance on cable the setup on all three time frames is good hence my confidence in the direction and minimum target.

Apologies if that doesn't really answer the question but it's quite an in depth system.

PS. an inversion is where there is an extra point at the end or beginning of a cycle, so on ITD only point 1 or 12 can be an inversion

__________________
John G

I totally agree with John, once you experience the sence of direction that delta provides you want to trade with it. You can use other filters to go in the direction or against it. At least you would know that you go against it ( if so with very tight SL). Trading with delta helps me to focus on optimasing profits, and because I usually trade in the direction of the next delta point (why should I do otherwise) I can put longer SL. Today was a down day for the cable, and even so I was able to get reasonable pipps out of it. If tomorrow is an up day, there will be plenty apportunity to get in for short term and medium term trades. The up day in my approach is a day that goes above +20 pss zone calculated from the US close the previous day at 9.30pm London time. On this occassion there is rather a lot of time for the next ITD and MTD to be reached, and cable is in no rush to get there. There will be down days in such a scenario. The positive side is the ability to get in the long positions on the dips, untill the delta point is reached. Using the daily range provides as a guidline to take some profits before the dips happen.
Happy trading to all,
2be

Hi hardknocklife

When using Delta/Matrix just do not trade using the inversion period, only trade between points 2 to 11. You will not get an inversion then.

Regards
Ian

I gather that the inversion feature is there so that the ITD can get back in step with MTD, and MTD can get back in step with LTD (and so on up the chain) after making a turn, i.e., when the lower cycles aren't quite matching up? So the lower time-frame 'slips' a little (same as switching bottom/top or top/bottom) in order to keep the rules of the higher time frame satisfied?

I have the impression that it's like marching. If you get out of step, you just skip a step or throw in a couple half-steps to get back in time with the rhythm. It makes a lot of sense in terms of harmonics, sum of sines, etc.

The comment about stops makes a lot of sense, like placing a stop just below wave 1 in EW, etc.

As I read the current situation in GBP, you're saying we could have a drop to any point above 9646 (ITD2) without breaking the ITD rules. Looking at the latest price action, I think a decline below 9744 is likely before further rally. Accordingly, I closed my second long entry for a small loss (-4.6 pips). I'd rather be out than sweating.

Still holding my (reentry!) long at 9748, stop 9710. I can't afford a stop all the way to ITD2 for a single trade. If I get clipped, I'll look for another entry.

Also I notice from your chart JohnG that the last MTD point was point 12. That means we are working on MTD 1? But if an inversion can happen on MTD 1 or 12, isn't there some chance that MTD 1 is going to be inverted? Is this the same question ian asked you a while back and the answer was you felt it was not likely?

Thanks for comments all, I will buy the Delta Matrix package in the fall and look then. Without any guidance on time, the waiting game is a real bugger.

Dear hardnock

I think that the reason John dismissed (correctly) my thoughts on the possible 1 inversion was because Delta is based on TIME and the ITD1 was not due for a few more days.

Once time was up the market had to turn, in this case down to the ITD2 (it could have inverted quickly within a couple of days though and carried on up to the ITD2 making it a high, and not a low). The ITD3 would then have been a low. It's a bit confusing at first, but once you get the hang of it it makes sense.

As it is we didn't get the inversion, so the ITD2 was a low and the 3 will be a high. It can't go back below the level of the ITD2. Time will be up for the ITD3 sometime in the middle to the end of next week.

If you're trading the ITD points then I don't think that an inversion matters on the MTD points.

I'm sure someone can add to, or correct this.

Regards

Ian

Hi hardknocklife,
I think it is very difficult to learn anything without proper tools and resources, Delta is not different. I was advised before studying delta to study EW and fibs, as the person who advised me have been using Delta for many years, together with EW and delta tackted by fibs. Robert Miner's book, Dynamic Trading is the one I was recommended alongside with Frost and Prechter, Elliott Wave Principle, classic by now. I also bought the Delta book, but it was the Matrix video that helped me re Delta. I know that there are traders who apply Delta in different way to what I have been accustomed, but I find it working well with the EW and the fibs. I use Delta on daily ITD, MTD and so on, using daily charts, so inversion can happen only at 12 or 1 in case of cable, other trading instruments migh have different number of Highs & Lows, fo cable I work on 12 points in the cycle. ITD 12 comes every 4 lunar months, and inversions happen around 25%, they are reasonably rare, but they do appear, it also is easy to slap one just to square the more demanding count. Apart from that there are few rules which are simple, yet more difficult to explain without knowing how much you already know re Delta.
There are many additional filters traders use with Delta, and providing there are not too many of them at one time, they work well.
I wish you and others to gain a good understanding of Delta so that you can apply it to your trading.
2be

just test trend to 2.000 level

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