Author: cjrosen

That’s a question I’ve been highlighting frequently, with the type of day structure repeating, almost forming a script.

What’s interesting is that – as of 1:00 EST – I can highlight the direct comparisons so far in today’s trading that are identical in everything but price to yesterday’s morning action.

There’s no guarantee that the market will continue following the script, but if it does, why not try to take advantage of it, as if the pathway forward for price was made clear.

I couldn’t pass up posting on the almost perfect short-term rising parallel trendline channel that has formed on the intraday chart of Crude Oil futures.

It allows us to observe a key channeling formation and learn an important lesson – that divergences can persist and give false signals while price remains in a powerful trend, and that it is more important to watch what price is doing in order to generate trading signals – an important lesson on all timeframes.

Following up from my previous webinar on trading intraday ‘dual’ divergences (TICK and Momentum), I wanted to show the most recent example in the SPY intraday with regards to the negative divergences that resolved in a downward swipe today, which serves as an excellent example of the concept.

Even if you don’t trade or look at the Japanese Yen Index charts, the Yen Index formed an interested “busted” (so far) head and shoulders pattern on its daily chart that is worth an educational look.

Beyond that, let’s look at the key levels to watch for an upside or downside break of current trendline boundaries.

I’ve been asking the question, almost rhetorically, “How many times will the market repeat the same pattern,” (see prior post for previous examples) and the answer is “at least one more time… today.”

What pattern is that? And how can knowing the pattern help your trading? Let’s take a look.