Charts breakdown 3 lines (Three-Line Break) the indicator for Omega Tradestation.
There are many new and sometimes quite sophisticated methods of forecasting market rates. As with all methods, they have no apparent reason, it may work, no work. Using an old and simple approach may seem unfashionable, but is actually quite effective.
One of the classical approaches - graphic "tic-tac-toe," is used by many to identify turning points. At the same time, another known approach for predicting turning points, the method is basically similar to the identification of turning points in the graphs "tic-tac-toe." This approach is known as "sample 3 lines." Other common names - three-step new price and three-step reversal charts.
This method is described in the book Neeson "Candlestick". "Break 3 lines" combines the quality of the graphics "tic-tac-toe" and standard line graphs or bar.
The literature notes advantages of methods of forecasting future price movements based on the calculation of the duration of price patterns.
This chart makes it easy to filter noise and effectively identify such points, support and resistance levels, graphic shapes. It should be noted that the kind of graphic figures on a regular schedule and schedule breakdown 3 lines somewhat different, which is caused by the nonlinearity of the timeline.
In some ways, this kind of price movement charts transforms - in a series of cyclical fluctuations.