It's so important to match the personality of a price pattern with your count. When they diverge, something may be wrong in your assessment.
Earlier today I posted this chart of the e-mini S&P 500 where I showed two high probability scenarios that might be unfolding based upon my evaluation of most recent price action.
So far so go in that assessment! However, the personality of the waves must match your evaluation of market structure.
"It's almost like a Doctor seeing a patient. You describe the symptoms.
They must match the diagnosis! This is called a differential diagnosis"
In the same way, when evaluating a price chart in real- time if the wave personality doesn't match price action, it's often your first sign of trouble and an opportunity to reassess, take protective action against loss, or use progressive stops to lock in gains.
I hope you found this quick tip helpful and ...
Best of Trading
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Fair Disclosure Notice: I do not have a position in any of the aforementioned futures markets or securities related to this article.
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