Another session with rABC trades coming fast and furious on the lesser
charts. There are two important takeaways: 1) If a nice-looking rABC set-up
fails to produce a winner and gets stopped out, prepare immediately to try
again, since your odds will actually IMPROVE on the second attempt; and, 2)
rABC midpoint pivots can be used the same as conventional ABC midpoints for
purposes of determining the likelihood of a D target being reached. This
means that if the C-D leg of rABC blows past ‘p’, the ‘D’ target is likely
to be achieved. You can ‘convert’ this knowledge into a mechanical set-up if
you prefer to initiate the trade with a limit order rather than the stop
orders that apply to rABC entries.
