Security prices could be trending or non-trending. Detecting where one phase ends, where the other begins and knowing what to do during each of the only two scenarios is the work of professionals mostly at the expense of amateurs.
John’s core trading philosophy is that prices could be (1) weak bullish (blue) or bearish (pink), or (2) strong bullish (green) or bearish (red). He builds strategies to take advantage of this truth and follows prices passing through market ebbs and tides.
The chart below reflects the shifts in strength through John’s proprietary trading code.