The Arizona Rules - Rob Booker

Phase #3: The “Phoenix” Phase, Trade Type #3 (“Mesa”)
The Mesa Rules tell us to look for a flattening, ‘table’-like formation during a Phoenix
Phase, and then buy on a break beyond the table formation, in the direction of the trend.
You just keep buying each time the pair flattens out, and then breaks above
the high of that flat, flag, table-like formation.
Figure 9. “Mesa” means “table” in Spanish. When you take the Mesa Trade, you’re
buying above the table in an uptrend, or below the table in a downtrend.
In the example above, we could also buy at the #2 mark – because this would be another
opportunity to buy above the highest point that it has reached so far. But I just pointed
out #1 because it was easier to show one example on the charts.
The reason we don’t take the Mesa trade before the first example that I point out – is
because the pair was not officially in a Phoenix phase. Remember, to be in the Phoenix
Phase, we’ve got to see the 62 above the 200, above the 800. That’s what the red circle
in Figure 9 shows.
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