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Qualifications for the TR trade
1. The total volume of the two legs of the base
of the triangle must equal or be greater than the RV.
2. The volume of the second leg of the base of the triangle must equal or
be greater than 30% of the RV.
For example as noted on the above chart:
1. Second leg of the base did not have enough volume.
2. Combined volume did not have enough volume.
3. Second leg of the base did not have enough volume.
4. Combined volume and second leg of the base did have enough volume.
Note that the trade that was triggered had a
second leg base that probed down to the same price
as two of the markets previous tests.
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