You're welcome Basim. Hope to be able to do this more often.
Hey Michael,
Cautious wording in order to avoid hate mail if the expansion doesn't occur the day after I post the watchlist. I learned this setup from you so, I'm sure you know how these patterns can take several days to develop. ;)
Oh, I was thrown off thinking you had posted those before the session ended and weren't sure if those bars would be NR7s at the close. But you're using "potential NR7" to mean a potential range expansion is about to occur or something like that.
Looking at the end of day charts for both RHT and GROW says it all. GROW did have a slight expansion, but not what one would expect following an NR7 bar; and RHT disappointed altogether. So "potential" came in handy!
NR7 is the narrowest bar over the x bars (usually 7). Price contracts on declining volume and just before the next big move, it carves out a very narrow range bar. Alan Farly refers to it as a coiled spring.
Check these two posts for more info: www.hardrightedge.com/tour/spring.htm
Some of the stocks I'm watching.
7 comments:
Love that watch list. Try and do more of those when ever you can. thanks Jamie for everything you do!
Basim.
what's a "potential" NR7?
You're welcome Basim. Hope to be able to do this more often.
Hey Michael,
Cautious wording in order to avoid hate mail if the expansion doesn't occur the day after I post the watchlist. I learned this setup from you so, I'm sure you know how these patterns can take several days to develop. ;)
Oh, I was thrown off thinking you had posted those before the session ended and weren't sure if those bars would be NR7s at the close. But you're using "potential NR7" to mean a potential range expansion is about to occur or something like that.
Looking at the end of day charts for both RHT and GROW says it all. GROW did have a slight expansion, but not what one would expect following an NR7 bar; and RHT disappointed altogether. So "potential" came in handy!
what exactly is a NR7 bar?
Bubs
Bubs,
NR7 is the narrowest bar over the x bars (usually 7). Price contracts on declining volume and just before the next big move, it carves out a very narrow range bar. Alan Farly refers to it as a coiled spring.
Check these two posts for more info:
www.hardrightedge.com/tour/spring.htm
tradermike.net/2006/10/narrow_range_bars_range_contraction/
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