Jack said:Bingo, so people hunting for SMT right now have the process backwards.. 'cart before the horse' as they say.
the golden gun said:No, it's just as precise as the OB, the key levels of course being the Open and Close. I love it, the concept is basically "damage control" by the players big enough to move the market (lookin at you CBs). Their positions go Negative, but luckily they ARE the market so they take it back down to BE and collapse positions. It works best when one side of the market clearly got caught with their pants down and will need to scramble to get out. That's my take on it, worth the study.
rod178 said:precise, yes indeed. Some Traders use similar setups to trade post News big moves. Something to investigate further.
Got my RR 1:1 by standing in front of a Steamroller pre NFP, I'll have to stop doing that.
Just here from future dont mind meSo I slept in past LO and NYO, and awoke to find price back up in the area where the cable was accumulating shorts, and we saw that it ran the stops above the double top from friday when the markets opened yesterday. So expecting downward move in price, and still looking for completion of the MM sell model we are currently in. I saw price retracing up into OTE so that's when I started looking for SMT divergence. Cable had both USDX and correlated pair divergence...so I sold on the 5 min OTE after the initial LC retracement. Banked a quick 30 pips and I'm holding for the lows of the day to be taken out.
To your specific question, I use it a lot...not for every trade, but I probably should : )