Because of the Ocean setups shown on the weekly and 2-day charts, we're initially focusing on the March 12th time period in this daily chart of DISH.
Notice that NMC has done a 2-bar ZeroHit from below on Thursday & Friday, March 11th & 12th (labeled 2-bar ZeroHit in NMC pane).
Note also that prices have fallen below both their NMA and Fast NMA and prices are meeting the new resistance of the Fast NMA from below (labeled NMA Resistance on price).
Also note how NMS (bottom pane, in dark cyan) is below zero and below both of its Ocean averages (Fast NMA in blue, NMA in red), and is also meeting resistance from its Fast NMA.
Lastly, note the “slingshot” formation formed by the momentum based NMM ROC oscillator that has advanced to its opposite boundary, indicating that prices are well positioned for a quick reversal.
All of these Ocean formations are incredibly supportive for an imminent decline. However, our primary reason for rolling down to the daily chart was to see if we could somehow once again minimize the risk of a trade that the weekly and 2-day chart were offering us.
Note that the initial NMC ZeroHit setup on the 11th didn't offer an Ocean-based entry the following day (entry methods taught in workshop), and in fact the setup was followed by yet anther ZeroHit setup on Friday the 12th, thus refining the ZeroHits on the higher timeframes.
On Monday the 15th an entry signal is generated, and using the Ocean-based rules for risk management (among the lowest and most efficient you'll find anywhere), we enter the trade with less than $1 of risk.
Additionally, we are able to achieve this risk reduction while also entering at a price about 50 cents better than the 2-day timeframe and more than $1.50 better than the weekly timeframe.
(This is the end of Part 3. Go to Part 4.)
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