Point and Figure charts make it Brain Dead Simple.

Ted Burge Has Had Over 100 FollowersPrevious "Hall of Fame" ChartList Author Rank: 14 Followers: 148 Votes: 310 Years Member: 13 Last Update: 24 November 2015, 17:45 Categories: Point and Figure Charting
Support / Resistance Lines

Brain Dead Trading with PnF charts.

November 23rd. The number of stocks moving to O's in November has dropped from the high of 1010 to 581 as of Monday. A sign of changing demand. Just the facts!

November 17th The numbers have changed based on X's and O's with a drop from 1010 to 793 stocks to O's since the beginning of the month.

November 13th Since November 3rd there have been so far a net 1004 stocks changing from X's demand to O's supply and a net 70 PnF SELL signals.

5 day PnF sell signals have increased 5 fold in the last 20 trading days.

October closed the month with a net 753 PnF buy signals and a net 1085 stocks moving to X's. It usually changes when the numbers get 'high'

September 30th To complete the month we had a net 913 stocks moving to O's (supply) and a net 153 PnF sell signals.

What you did not see was 5 day BUY signals at a low point on Tuesday September 29th (within 8 stocks of the 29 (last seen on May 21, 2012). .

September 21st. So far in September we have had 519 PnF buy signals and 213 PnF Sell signals with 1846 stocks moving to X's (demand) and 1829 moving to O's, (Net difference is 17 so watch what happens)

Just another way of objectively defining the trends of supply and demand and it works.

Just the facts.

Such a simple methodology and we have a complete report each evening.


The e-book explains the methodology to Objectively define Support and Resistance using any chart in any time frame.

Once you understand it, 'it's brain dead simple'!

Simply watch what price does at objectively defined support and resistance.

Readers have coined the term the 'Ted Lines'!

PnF charts are the 'yeast that raises the dough' and what you see on the candles charts are Support and Resistance based on PnF analysis.


....771. NYSE Composite Index ($NYA) MONTHLY CHART

11105 the high of last July 2014 on this monthly chart and closed at the same level last Friday February 20th! Where is price NOW!

February 27, 2015. Now we know that the biggest stock exchange in the world did not advance this week! Just the facts.

....7712. $NYA - daily PnF ATR scaling

This PnF chart has a scale that is calculated based on the average size move called ATR or Average true Range.

Currently on a buy signal as of October. It is marked at the top of the chart under the heading PnF pattern.

The box size adjusts to volatility . The red line is called the Bearish Support line! It is resistance until proven otherwise.

...36. Russell 2000 Small Cap Index ($rut)

The TED LINES won't change (they have been posted in advance for months and sometimes years) and they are where price will change momentum or direction.

Support and resistance is not based on pivot points, or theory, it is based on objective analysis of price activity over the life time of a trading instrument.

The only thing we can objectively define in advance is support and resistance. What else do you really need to know. (except understand the methodology to find it) Support and Resistance based on price analysis may be objectively defined.

You are the judge! You can evaluate the outcomes on these charts.


...366. $RUT - 1 hour Candlesticks, 1024 3

1173 has been a price level where the Russell 2000 has changed direction 8 times since Oct 31, 2014. (not 2015)

Watching where (not when) price has changed momentum or direction before offers insight into the next price that the process may repeat.

...3666. $RUT - daily PnF, 460

Look left to be right.

..411. NASDAQ 100 Shares (QQQQ) candle

Now the activity is at 108.00 +/- a small margin of error.

Now we can see that within the margin of error of 1/2 of one percent that 104 +/- .50 cents has been an important level before.

One message! If you know how to to accurately find support and resistance you can make it work for you.

If you don't know, you don't know! It's in my e-book!

It is all about objectively defining where price has changed momentum or direction in the past. These are the TED Lines and they are posted in advance are are light years ahead of any other indicator.

..42. QID - Daily Candlesticks, 1024

Added on May 18th with Tedlines based on a 60 minute PnF ATR chart

..43. QLD - Daily Candlesticks, 1024

..433. QLD - 60MN PnF, 460

1. $INDU - Daily Candlesticks, 1024

February 27 close 18,132

January 30 close 17164

Dec 31 close 17823

Nov 28 close 17828 (Last trading day of November)

This information is presented for education purposes only. StockCharts.com is not responsible for any comments, advice, or annotations presented on this page. Please review our Terms of Use for more details.