The 13 vs. 8 Countdown Deferral rule is designed to ensure that the tail end of the Countdown phase is representative of the existing trend as opposed to market noise due to an early break in the trend. To fulfill this qualifier, the high of the 13 bar must be greater than or equal to the close of the 8 bar in the case of a Sequential sell, while the low of the 13 bar must be less than or equal to the close of the 8 bar in the case of a Sequential buy. Because the Countdown can accrue in a sideways market, requiring the 13 to exceed the 8 bar’s close, be it upside or downside, assures that there is some trend intact and provides a higher level of accuracy as the chart reaches its completion.
The Countdown Deferral condition is represented by a ‘+’ and indicates that the Countdown requirement was met but the 13 vs. 8 rule was not fulfilled, thereby postponing the count.
Whereas the 13 vs. 8 Countdown Deferral rule is designed to ensure that the tail end of the Sequential series is representative of the existing trend, the 8 vs. 5 Countdown Deferral rule is designed to ensure that the body of the Countdown phase is properly configured. The 13 vs. 8 comparison is critical to the Countdown phase, while the 8 vs. 5 comparison is elective and affords greater comfort that the trend has remained intact.