If you follow my Twitter feed you likely came across many of the stock market related acronyms I use mostly due to the limitation to Twitter tweet lengths. Please refer to the list of acronyms below to better understand and follow my tweets.

On Twitter I add a hashtag in front of the acronym in order to allow for an easy search via twitters built-in search function.

How to use Twitter’s powerful search function:

First you put in the acronym with or without a hashtag followed by from:thweissxfx into the search field. Example: #FFF from:thweissxfx

Then you sort the outcome via “Latest”.

If you are interested in a specific time-period simply go to Advanced Search.

Thweis List of Acronyms

  • FFF: Fade to Fake to Flat IPO chart pattern. This is not just a general pattern, it is also a trading setup where the flat phase triggers the entry. During the flat phase you want the daily closes to be confined to a PLL zone but don’t be too strict. Oftentimes there is a QTS on top.
  • PLL: Peak Liquidity Level. This is a term I coined to better describe a high volume level in the volume-by-price indicator.
  • LLL: Low Liquidity Level or volume void: This is the opposite of the Peak Liquidity Level explained above. Between high volume levels there is usually a price range where little trading took place. A stock needs net buying/selling in order to make it through that LLL. Such a move is therefore much more significant compared to price fluctuations inside a PLL zone.
  • QTS: Quiet and tight setup. A pullback into a PLL or short term moving average on low volume and with a tight daily trading range compared to the typcial average true range of the respective stock.
  • URS: Undercut and rally stock setup. A typical Wyckoff price and volume pattern where price undercuts a meaningful prior low in the chart and then rallies just to close back above that low line. Can be a one or two-day affair.
  • IPO: Stocks which came public in the recent past.
  • Clothesline: An upper trendline on a logarithmic chart connecting the highs. Typically price bounces off the trendline giving it the apparance of multiple pegs on a clothesline. Can be used as a price target or to time climax moves and short setups. The longer the duration the better.
  • Test: Low volume retests. Price testing a prior low (high) w/o an undercut on muted volume and a general lack of selling (buying) interest. This gives big operators the confirmation that sellers (buyers) are absorbed and that they can now finally start their accumulation (distribution) campaign. Follow them!
  • MGS: Momentum Gap setup. A breakway or runaway momentum gap. This occurs after earnings in almost all cases. However it can also be triggered by any other catalyst causing a meaningful overnight gap.
  • Gap: An overnight gap in the price of a stock. Stocks don’t like gaps and they are often filled. ‘Often’ is an understatement!
  • FHS: Fishhook setup. This is basically a multi day retest of the lows of an earnings momentum gap setup. Can be used to layer into MGS’s.
  • 10% Rule: +10% intraday scale-out rule. When a stock is up around 10% intraday I typically scale-out some into strength in order to make it more easy to secure my desired risk multiple winners. Be aware of support and resistance levels as they can interfere.
  • ORB: Opening range breakout. This is a technique which can be used to buy into or better yet scale-into breakaway moves. Once price exceeds the highs of the first 15-min bar of the session, it is considered a 15min ORB. I mostly use these as an additional scale-in technique for the momentum gap setup on gap-up day.

I started to use those acronyms in mid 2020, so if you are looking for an earlier time period you should rather search for the fully written-out terms.

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Disclaimer: This article is my opinion which stems from my own experience gathered trading real money in the stock market. It represents my style and it fits my personality and risk allowance. More power to you if you are a net profitable trader despite violating everything that’s written above!

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