[From Dow Theory, how the appearance of arrows changes] Shape the flow with Prime ACE

Good morning.

I am Trader A (Ace), the developer of the "Prime ACE Strategy."

Last time,
when looking at the arrows of Prime ACE,
the point I want you to be aware of first is
whether you are going against the flow
as I wrote.

This time, continuing from there,
a way to view that “flow” a little more concretely,
in other wordsDow Theory,
I would like to整理 it as simply as possible.

When people hear about Dow Theory,
it may sound a little difficult.
However, what we want to look at here isn’t that complicated.

In short,
whether the highs and lows are rising or falling
to see.

For example in an uptrend,
the lows rise while
the highs also rise.
In a downtrend,
the highs fall, and
the lows also fall.

For now, this level of understanding is enough.

Why is this compatible with Prime ACE?
Because
it makes it easier to organize the place where the arrows appeared within the flow
.

Even for the same buy arrow,
there is a big difference between arrows that appear while highs/lows continue to rise,
and arrows that appear as the flow is about to break down.
The way it looks changes significantly.

The former is easy to view as a pullback within the flow.

The latter,
even if the same buy arrow, you may want to view it more cautiously.

What matters here is
that Dow Theory is not about mastering it perfectly.
What Prime ACE can first help with is
to roughly see whether the current arrow is within the rising or falling flow
.

For example, for a buy arrow,
it is easier to determine that you are in line with the flow if you can at least see a rising low.

Conversely, if the lows are being broken or if the highs stop rising,

you become a little more cautious even for the same buy arrow.
That is the difference.

The same applies to sell arrows.
In a flow where highs are falling and lows are falling,
it is relatively easy to read.
But if that pattern starts to break,
you still want to think a little more.

In other words,
Dow Theory provides a foundation to prevent making decisions about adopting or passing on an arrow purely by intuition

.

Prime ACE is not just a tool that looks at arrows.

First, identify the main battleground on the panel.
Then view arrows as candidates.
Moreover, with discretion, narrow down to high-probability situations.
This is the basic flow.

Within that, Dow Theory helps by making it easier to see whether you are following the flow by shaping it a little.
I think you don’t need to make it complex from the start here either.

There is no need to count waves in detail.
There is no need to rely on perfect textbook definitions.
First,
see whether highs are rising.
see whether lows are falling.
That alone is meaningful enough.

When this viewpoint is included,
the arrows of Prime ACE
are not just about “taking what comes,”
but rather
“becoming candidates because they are easy to see within the flow.”
I believe this is an important point for those considering buying.

When you hear discretionary trading,
you might feel that some special sense is required.
But in reality,
when you divide the points to look at like this,
you can gradually organize them.

Last time we said “don’t go against the flow.”
This time, we talked about viewing that flow
in the shape of highs and lows
.

If you organize up to this point,
Prime ACE’s discretion will not be an ambiguous sense, but a minimally structured way of thinking.

Prime ACE is not a product that does everything automatically.

However, instead,
by organizing what to look at,
it is built to narrow down candidates.

That is why,
even though discretion is needed,
you don’t have to be overly wary from the start.
First, just observe the flow.
Then confirm that flow with the highs and lows rising or falling.
Even that alone will change how the arrows look quite a bit.

This time,
“How arrows look changes when viewed with Dow Theory”
as the theme,
I organized how to shape the flow in Prime ACE.

Next time, going one step further from here,
why we don’t chase extended arrows too much
I would like to write about.

If you’re interested, please also take a look at the product page.

▼Product page

'Prime ACE Strategy'
https://www.gogojungle.co.jp/tools/indicators/77315?via=users