Swing Trading and Market Timing Knowledgebase

By: John Crane, swing trading guru

Market Timing swing trade dates

Market timing swing trade dates, or reaction points, are future dates where there is a high probability of a reaction in the futures market. The majority of the time, this reaction will be a futures market timing reversal or a pause of the futures market’s current trend.  The futures market timing reversal can be at either the end of a long-term price move or the beginning of a short-term price correction.

However, a small percentage of the time the futures market will not reverse on the predicted date.  Instead, the futures market will begin to consolidate or form what I call a continuation pattern. This type of
pattern suggests that the futures market is not ready to reverse, but will continue to trade in the same direction as the current trend. This usually occurs when the futures market has been in a consolidation pattern (trading sideways).

On the predicted date, the futures market will generally break out of the consolidation pattern and continue the trend. Both the futures market timing reversal and continuation patterns offer extremely important information to a trader because they are used in conjunction with the reverse/forward count to project future Market timing swing trade dates.

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**THE RISK OF LOSS IN TRADING CAN BE SUBSTANTIAL. YOU SHOULD, THEREFORE, CAREFULLY CONSIDER WHETHER SUCH TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION. HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER OR OVER-COMPENSATED FOR THE IMPACT IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT.NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES.

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