Tom DeMark Europe part 1.pdf

WelcomeTD Indicators™ on Bloomberg

Presented by Tom DeMark

Copyright© 2007 Markets Advisory Inc

Eugene Sorenson

Bloomberg

Todd Mayhew

Market Studies Inc

Master Market Timing with

DeMark Indicators ™on Bloomberg

Information for educational purposes only

TD Abs Retracement Downside

13

13

DJIA

1987

TD Sequential™

UKX1987

TD Sequential™

1313

13

TD Absolute Retracement

13

British Pound1992

TD Combo™

First Trip SP Cash

TD Absolute Retracement TD Relative Retracement

1st projected downside support level 944.75

2nd projected downside support level 776.70

Interim upside projected retracement

UKX – FTSE 100 IndexTD Absolute Retracement

Projected downside TD Absolute Retracement level of 3267.96

2nd trip to Europe

First Trip SP Cash

TD Absolute Retracement TD Relative Retracement

1st projected downside support level 943.97

2nd projected downside support level 763.73 2nd trip to Europe

SP CashTD Relative Retracement

2nd trip to Europe

UKX – FTSE 100 Index DailyTD Sequential™

2nd trip to Europe 13

UKX – FTSE 100 Index WeeklyTD Sequential™

2nd trip to Europe

UKX – FTSE 100 Index – 1 MinuteTD Sequential™

13

13

13

13

13

UKX – FTSE 100 IndexTD Absolute & Relative Retracements

2nd trip to Europe

SP Cash- 1 MinuteTD Combo™

13

13

13

SP Cash- 1 MinuteTD Sequential™

13

13

13

13

13

INDU Index TD Sequential™

INDU Index TD Combo™

2005 2006

QQQQ IndexTD Combo™

NDX IndexTD Sequential™

TDST


SP1 Index TD Sequential™


13

13

13


TDST


13

13

TDST

Risk Level

Compressed TDST™ Levels

• Included is a sample summary list of security symbols that have completed compressed TDST price patterns, both bottoms and tops.

• Although there is no certainty these candidates will in fact record breakouts of their respective TDST levels, experience has proven that should a breakout occur, it likely will be dramatic.

• Traditional technical analysis applies breakout levels constructed from prior peaks and troughs and our research indicates that often this practice is suspect. TDST levels appear to more accurately define support and resistance levels.

• Majority of DeMark Indicators™ are “trend exhaustion” while breakouts of TDST levels are trend following.

TDST is a trademark of Market Studies Inc. Educational information only. Copyright Markets Advisory

Inc. 2007. No reproduction without the express written permission of Markets Advisory Inc.

Compressed TDST™ Breakout Possibilities

Sample Scans5-JAN-2007

Compressed TDST Bottoms Compressed TDST Tops

ABI ACF

AMLN AGE

AXS AUO

CBP BEAV

DO BVF

EBAY BWA

ECLP CBRL

EFX CELL

FE CRA

FIC DWA

GPS EMN

HNZ ENR



TD Sequential

Compressed TDST Example

Copyright Markets Advisory Inc. 2007

Disclaimer

TD Sequential



Disclaimer

Wide TDST

TD Combo



Disclaimer

Low Risk 13 Bottoms and Tops

Sample Scan5-Jan-2007

(Symbols shown are for purposes of example only)

Low Risk Bottom Low RiskTop

TD Combo TD Sequential TD Combo TD Sequential

AMLN AMLN AGE ALD

AXS AGIX AUO AMX

CBP ANN BEAV ART

DO AVX BVF BIC

EBAY BLP BWA BOT

ECLP CC CBRL BRST

EFX CIL CELL CIL

FE F CRA CMTG

FIC GE DWA CNL

GPS GM EMN CPQ

HNZ HAL ENR DAL



“Perfected” 9 Buy and Sell Setups



“Perfected” 9 Buy Setups “Perfected” 9 Sell Setups


AMLN AMLN AGE ALD

AXS AGIX AUO AMX

CBP ANN BEAV ART

DO AVX BVF BIC

EBAY BLP BWA BOT

ECLP CC CBRL BRST

EFX CIL CELL CIL

FE F CRA CMTG

FIC GE DWA CNL

GPS GM EMN CPQ

HNZ HAL ENR DALTDST is a trademark of Market Studies Inc. Educational information only. Copyright Markets Advisory


Pending ”Perfected” 9 Buy and Sell Setups



Pending "Perfected” 9 Buy Setups Pending “Perfected” 9 Sell

Setups


AMLN AMLN AGE ALD

AXS AGIX AUO AMX

CBP ANN BEAV ART

DO AVX BVF BIC

EBAY BLP BWA BOT

ECLP CC CBRL BRST

EFX CIL CELL CIL

FE F CRA CMTG

FIC GE DWA CNL

GPS GM EMN CPQ

HNZ HAL ENR DAL



Potential TD Combo Countdown 13 BottomsSample Scan

5-Jan-2007


Conventional TD Combo Aggressive TD Combo

Countdown 11 Countdown 12 Countdown 11 Countdown 12

AMLN AMLN AGE ALD

AXS AGIX AUO AMX

CBP ANN BEAV ART

DO AVX BVF BIC

EBAY BLP BWA BOT

ECLP CC CBRL BRST

EFX CIL CELL CIL

FE F CRA CMTG

FIC GE DWA CNL

GPS GM EMN CPQ

HNZ HAL ENR DAL



Potential TD Sequential Countdown 13 BottomsSample Scan

5-Jan-2007


Conventional TD Sequential Aggressive TD Sequential

Countdown 11 Countdown 12 Countdown 11 Countdown 12

AMLN AMLN AGE ALD

AXS AGIX AUO AMX

CBP ANN BEAV ART

DO AVX BVF BIC

EBAY BLP BWA BOT

ECLP CC CBRL BRST

EFX CIL CELL CIL

FE F CRA CMTG

FIC GE DWA CNL

GPS GM EMN CPQ

HNZ HAL ENR DAL



The Great Depression

TD Abs Retracement Downside

13

13

DJIA

1987

TD Sequential™

Setup

TD Combo™ and Sequential™

• The setup phase of both TD Combo™ and TD Sequential™ is designed to identify a likely trending market.

• The Setup process compares the current price bar level with a prior price bar level to identify the trend.

• Markets Advisory Inc. recommends the close of the current price bar be compared to the close 4 price bars earlier and the minimum setup completion set at 9 however users can select other price level comparisons and time series.


Close (B) greater than the close 4 price bars earlier (A) fulfills the

initialization requirement for the start of a buy setup

Buy Setup Initialization

A

B


First close (Y) less than the close 4 price bars earlier (X)

Buy Setup

X

Y

“Price Flip” from Sell Setup to Buy Setup

1Copyright Markets Advisory Inc. 2007

Buy Setup continues provided the next

price bar’s close is less than the close 4

price bars earlier.

The minimum

requirement for a Buy

Setup is completed once

9 consecutive price bar

closes less than the

close 4 price bars earlier

are recorded

Buy Setup Progression2

12


Sell Setup Initialization

AB

3

Close (B) less than the close 4 price bars earlier (A) fulfills the initialization

requirement for the start of a Sell Setup


Sell Setup

X

Y

3

First close (Y) greater than the close 4 price bars earlier (X).

.

“Price Flip” from Buy Setup to Sell Setup

C

C


Sell Setup Progression

4

Sell Setup continues provided the next

price bar’s close is greater than the close

4 price bars earlier.

The minimum

requirement for a Sell

Setup is completed once

9 consecutive price bar

closes greater than the

close 4 price bars earlier

are recorded

1

2

9


TD Setup Trend™ (TDST™) Once a Setup is completed, a TDST line is created which serves

as price support or resistance for future price movements.

An upside TDST resistance line is drawn

horizontally by extending the line from the

highest true high of the prior Buy Setup into

future price activity..


TDST™ Upside Breakout

The TDST line from the prior Buy Setup is

exceeded early in the subsequent Sell Setup

series indicating likely continued upside

movement through Countdown completion..


Documents

Tom DeMark Europe part 1.pdf