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4-08:45 [10:45 |12:45__| 7-08:45 |10:45 |12:45 | 8-08:45 |10:45 | 8-12:45

each Countdown price bar is less than or equal to the low two price bars earlier, each Countdown price bar's low is less than the previous price bar's low, and the close of each successive Countdown number is lower than the last. Keep in mind that we recommend using Countdown version 2, where all we require in order to obtain an 11, 12, and 13 count is that each numbered price bar close successively lower than the previous number.

Conversely, in the case of a sell Countdown, the first rule stipulates that the close of the current price bar must be greater than or equal to the high two price bars earlier. The second rule states that the high of the current price bar must be greater than the previous bar's high. The final rule requires that the close of each Countdown count be greater than the previous Countdown count's close. Therefore, the close of the 2 bar must be greater than the close of the 1 bar; the close of the 3 bar must be greater than the close of the 2 bar; the close of the 4 bar must be greater than the close of the 3 bar; and so forth. The only exception is the 1 bar which doesn't have a previous Countdown count. For the first bar of the Countdown phase, all that is necessary is that rules one and two are met. If all three rules are met, then a Countdown number is recorded and placed above the price bar to which it refers. Much like TD Sequential, the magic number for the Countdown phase is 13. Therefore, a completed TD Combo sell Countdown phase is defined as a series of 13 price bars where the close of each price bar is greater than or equal to the high two price bars earlier, the high of each price bar is greater than the high of the previous price bar, and the close of each Countdown count is greater than the close of the prior Countdown count. The second and the third rules are designed to ensure that there is some upward pressure upon the market's price and that the Countdown series has not formed in a sideways market. Therefore, upon completion of the TD Combo Countdown phase, the market should have an upward slope, whereas that is not necessarily the case with TD Sequential.

A completed sell Setup phase and a completed sell Countdown phase for TD Combo are illustrated in Fig. 6.36. Notice how the Countdown phase begins on the 3 bar of the sell Setup phase for TD Combo instead of commencing upon the completion of 9 bar of TD Sequential Setup. In the chart, you can see that the close of each Countdown price bar is greater than or equal to the high two price bars earlier, each Countdown price bar's high is greater than the previous price bar's high, and the close of each successive Countdown number is higher than the last. Keep in mind that we recommend using Countdown version 2, where all we require in order to obtain an 11, 12, and 13 count is that each numbered price bar close successively higher than the previous number.

Because TD Combo's rules are so strict, it is not hard to understand that TD Combo needs more time to develop a 13 count than TD Sequential. The greatest way in which the TD Combo Countdown phase differs from the TD Sequential Countdown phase, aside from the two additional counting rules, is in the point at

FIGURE 6.36 This chart displays a completed TD Combo low-risk seffing (pui-Duying) indication. The sell Countdown phase begins its count on the third bar of the Setup phase, as this was the first price bar where each of the three rules for sell Countdown were met. The asterisk represents a price bar that would have recorded a sell Countdown number for TD Sequential, but did not meet the rules for TD Combo.

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