Q: I’m a recent subscriber to your software through Larry Pesavento. I use Ensign Map and was wanting to know how I can tweak a chart with other indicators. I’ve looked at the Pensavento Pattern but I don’t really do much with Fibonacci since I’m not going in and out on an ETF throughout the day. Is there another one or two technical indicators I should be using to predict where the market is going for the next day or two?
A: Thank you for using Ensign. The Ensign Map, Pesavento Patterns and other tools are great tools and perhaps unique to Ensign. Larry has been very helpful in getting tools like these in our software and then promoting them in the seminars he gives. He uses these tools.
Use the Map with 2 minute charts, and refresh the chart’s data set to have at least 12,000 bars. Check the Maximum Bar setting and Resize Bar setting on the chart property form so the capacity is set to at least 15,000 bars. More is better. Maximum is 65530.
I encourage you to study the Fibonacci material and use the Pesavento Patterns as they are key to how Larry analyses the markets. He is using the Map tool for time, the Fibonacci Levels for a price objective, and Pesavento Patterns for wave patterns. He is taking trades at the intersection of time and price and using risk money management principles to keep emotion out of the trade.
There is no tool that will predict. However the Map does give a suggestion based on statistics of the time when turns might happen, and Fibonacci Levels is a good tool for where turns will happen. And I will add to the list the value of a simple trend line drawn under rising trends and above falling trends. Sometimes the simplest things like a trend line work better than all the complex math others use.
Here is my list of greart articles to read. And read the articles linked to these articles.