Equilibrium

EquilibriumLesson 5 of 84 min read

Not a signal

Price reaching the cheap half is not a reason to buy. Equilibrium filters the places you were already watching.

The most common mistake with this tool is treating the line as an entry. It is not one, and the reason is arithmetic.

Half of every chart is cheap

Draw the range on any move, on any market, on any timeframe. Half of the resulting chart sits below the middle.

So "price is in the discount" describes an enormous amount of price. It is true for hours at a time, on every instrument, whether the move continues or reverses.

A description that fits half the chart cannot be a reason to click.

It filters, it does not trigger

What the line does is sort the places you were already watching into two piles.

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