Wavenode PTL Module is the Profit Takeaway Level that uses the concepts of price action to forecast the possible future price level. PTL Module is used in sync with Wavenodes IWC .
How the PTL Module is Used?
PTL is primarily used by the options traders to find the the eventual target. It can be used independently but is recommended to be used with WaveNodes Clouds. PTL shows the expected price level as and when applicable.
When PTL becomes visible on the chart, it means the market or stock is highly likely to move towards this price level (PTL level)
When PTL is not displaying on chart, it means the market is likely to move against previously the forecasted price (PTL Level) temporarily and the position must be hedged in such a case. New positions are recommended to be opened only after untested PTL level appears on the chart for first time.
PTL is there on chart : Stay in the trade
PTL is not there on the chart: Move out of the trade or hedge the trade completely.
When PTL appears on multiple timeframes, the nearest PTL price level is considered for trading irrespective of direction on other time-frame.
Breakout out above the PTL suggests further trend build up. Usually, the position is kept low above the PTL level and the stop is placed at broken PTL level.
Timeframe:
PTL can be used on any timeframe. At times, the PTL can be close on a higher timeframe and farther on the lower timeframe. Both remain valid respectively but it is suggested to stay with nearest PTL level.
Colours:
Long PTL , Blue coloured
Short PTL , Red coloured
