Sequential
Sequential is a pattern recognition technique designated to identify both high
risk and low risk entry zones. This approach is contratrend since it
anticipates areas of price exhaustion which often occur just prior to, or coincident
with, price turning points. There are two components to Sequential: the Setup
and the Countdown phases. Whereas minor price reversals are generally associated
with the completion of Setup, major turning points are typically identified
upon completion of Countdown.
A low risk Setup is a series of
For further information on Sequential, please refer to Thomas R. DeMark, The New Science of Technical Analysis, New York: John Wiley & Sons, 1994, Chapter 7, Sequential.
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