LONG BO DAY RETURNS 12/9/11

B1 ran through the short target (SB) and the EMA.  The 50%CB was never challenged and PA ran the range to the Long BOT (LB).  A FBO (B8-9 is a reversal at the LB) which returned to the EMA MB area.  B14 was a control bar.  On the chart is a simplified diagram of the 50CB:

1.  PA creates a 50CB bar.  This bar is deemed to control PA in an area
2.  Additional bars will continue the trend, or PB to test the 50CB
3.  If the 50CB is not tested-trend continues;  if it test and fails- trend continues; a break is a reversal

B1 50CB was not tested so trend continues.  B14 was tested and pushed above for a BO reversal.  Both were helped by range support and the EMA.  The B14 reversal was strong:  a HL, at the range, and at the EMA.  Results?  PA ran the LB for a BO-5 (range value plus 5).

B27-28 created another reversal where the bull appeared to be exhausted.  Additionally, b28 set a 50CB.

A post that many perhaps seemed to miss, and became important:

[12:00] <CM> how i see this and hope i can write clearly  b27-28 is a reversal pattern at the +5 from my long range  b28 is a control bar  if pa does not test 50%  more dn  if it test 50% and fails more dn  ema close and can be support for more up and a long above the 50% level should work..  (bold added)


[12:16] <CM> still interested in b28 50% level roughly 47.25-47.5


A 50CB tends to be important for the market; similar to importance of the ranges and the BO targets.