The Market Map Tutorial

Fact Sheet | General overview | The Perfect Market Map | Anticipation Move | Inversions | Other examples | Summary

Inversions

The Market Map is created using an advanced interpretation of commonly known time cycles such as Matrix cycles and Fibonacci cycles. In spite of all the research done in the application of the Matrix and astro-time cycles, there are times when the Market Maps invert. An inversion means that the market is doing exactly the opposite to what it "should do" or is "expected to do".

In reality this is not a major problem once the trader has gotten used to the Market Maps because it is ultimately about timing highs and lows during the day. The biggest advantage to having the Market Map is that it alerts the trader of the expected times a high or a low will occur. If the trader suspects an inversion is taking place, then he or she simply trades against the Map.

A prime example of an inversion was on the 1st September in the Russell 2000 index.

The Russell index was expected to rally right off the open, but instead began to fall immediately. The alert trader could have suspected that the "gap" would be closed and jumped on the "short" side of the market. The cautious trader could have suspected that the Market Map was inverting and waited for confirmation by seeing what the market was doing once it went into the 15:00 time frame. The inversion time zones have been indicated by a red ellipse. Halfway through the day the Market Map reverts back to its normal structure and the turns are spot on the rest of the day.

Experienced users of the Market Map will tell you that if a time zone does turn the market, but this price level is then taken out shortly after, there is a high probability that the market will continue in that direction, and it is often a good sign that the Market Map has inverted or reverted back to what it should do. You can see an example of that in the green ellipses on the Russell 2K chart.

Some days you will find small inversions lasting only a short while. The chart below is the Canadian Dollar. The red ellipse shows an inversion in the early trading. While the Map is pointing lower for most of the day there is an early inversion which culminate at the green ellipse. For the next 30 minutes the two lines are staying inverted until the Market Map catches up with the price action of the currency.

If you look closely you will notice that the Market Map for the Canadia Dollar in this case is actually calling for a high too early. You can see that the next turn lower down on the Map is the same distance from the green ellipse at the top of the chart image. What the Market Map has indicated is lower price, which clearly manifest itself during the trading day. This is the key to the Maps.

Money management is one of the absolute top priorities of successful traders. The beauty of the Market Map is that it assists the trader to enter the market at the most opportune time, thereby risking as little to the trader's capital as possible. It also shows the trader when he will be wrong on his trade and an optimal stop-loss can be placed.

Stop-losses are there to protect the trader, but any trader will tell you a story about how he or she put on a trade and a stop-loss. The stop-loss got triggered and then the market reversed and would have made the trader a profit. When you trade with the Market Map you can use fairly tight stops because you dont have to wait for very long to find out if you are right or wrong. However, it is definately recommened to use some other indicators that you are familiar with to support your trading decision.

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