Nearly all trades begin with textbook impulse legs, and that means the charts we use must contain external highs and lows, the building blocks. Once you get this simple rule down, it becomes possible to trade small but technically perfect patterns on the lesser charts all day long. We did so toward the end of this session, taking a small instance of ‘ABC’ on the chart of QQQ to execute a trade that would have been worth $100. Easy. We also saw that the old-style ‘counterintuitive’ trade is best done ‘scientifically’, using rABC techniques we’ve learned since.
