Use this for extra confirmation

Alright folks. So in this video, I want to go over a confirmation tactic that I use, we’re looking at GSK. This can be applied to any market any timeframe, but we’re using a daily chart of GSK. Now this is a confirmation tactic that I use personally. And again, it works on any market, any timeframe. I use this all the way down to the lower timeframes on intraday charts as well. So I want to take a look at a couple of different signals. You can see here, we’ve got our three s code indicator, which is a basic price action strategy, utilizing the 123, top and 123 Bottom methodology. So you can see our last two signals here, we had a 123 top right here. And we also had a 123 top right here. And then of course, we had this 123 top as well. So let’s first take a look and qualify these two trades. Why is this trade good? And why is this trade not as good? Well, for one, in hindsight, this one actually, this one actually worked, we have a 123 and it traded to the downside it met target one and target two. Now this one had a 123 top, but it went the opposite way it went higher. So what I like to do to qualify this trade is I like to see I like to see price action below the SMA. So this is a 521 you can really use any combo that you wish. But this is a 521. And you can see right here, as we were formed this 123 top pattern, we have price trading below both averages, and those averages are also crossing to the downside. So right here is our confirmation of entry. We’re also getting that on the trend line break that what that is what makes this a higher probability pattern. We go back and look at this one here, we can see that prices were not able to maintain below the averages, and the averages are still spread apart indicating that the trend is still strong. So this is a trade that we would avoid taking. And this is the trade that we would be glad to take. So let’s quickly recap here we’ve got price action, trading below the moving averages, we’ve got moving averages crossing. In this scenario, we have price action, not able to sustain below the averages and we’ve got the moving averages still spread apart. So this is just one of the confirmation tactics I use to qualify a one to three setup. Now I’m gonna be doing a free presentation on Wednesday, April 20. At 8pm Eastern three point price action formula to spot market reversals, I’m going to teach you exactly what we just looked at how to find and identify these high probability 123 Top 123 Bottom patterns. This is my go to chart pattern bread and butter strategy for any market totally mechanical removes your emotions. I’m going to hyperlink you to this page. All you got to do is click the orange button to register and I look forward to seeing you there.