A Zigzag Turning-Point Rule Using Alligator Lines
Summary
The post describes a rule for identifying potential peaks and troughs by comparing a candle's low and high with the Alligator indicator's Lips, Jaws, and Teeth lines. A candle whose low is above all three lines is treated as a peak; one whose high is below all three is treated as a bottom. The method then uses the highest high and lowest low to draw a zigzag path.
The author says the resulting swings can help with Fibonacci calculations, harmonic pattern work, and trend direction. These are stated uses rather than tested findings: the post supplies no chart examples, parameter details, performance evidence, or discussion of how turning points are confirmed or revised. It is a brief technical-indicator description, so practical reliability and implementation choices remain unspecified.
Key ideas
- The rule marks a potential peak when a candle's low exceeds all three Alligator lines.
- It marks a potential bottom when a candle's high falls below all three lines.
- The method connects swing extremes to form a zigzag representation.
- The author proposes using the swings for Fibonacci analysis, harmonic patterns, and trend reading.
- The post provides no empirical validation or details about signal confirmation.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.