I describe trading candidates and possible action for selected, low-risk trade ideas to review.
The morning session of January 5th gave us a great chance to see two principles/trade set-ups in motion, which both serve as great educational examples of the “TICK Flush” and “Dual Divergence” situations. Let’s see them and then define them for reference.
Many traders are throwing around the term “January Effect,” especially as we turn the corner into January 2010. Some are trying to profit from the “January Effect,” but what is this ‘effect’ and how can we monitor it? Let’s find out.
… and “Familiarity Breeds Contempt.” Let’s take a quick pure price look at the recent five overnight gaps in the SPY – S&P 500 during the oozing uptrend that is taking place in the holiday bullish seasonality in the US Equity Markets.
In another interesting complete Bear Flag that formed into yesterday’s close, giving a target to trade on any downside break of the lower trendline in the morning session… price had already met the price projection target forecast by the bear flag right as the market opened! Those are some of the most frustrating experiences, when…
There’s an interesting convergence of two ‘advanced’ technical trading methods that show potential overhead resistance – or upcoming technical breakthrough – at the 10,500 on the Dow Jones Index – the upper trendline from an Andrew’s Pitchfork and the 100% Fibonacci Price Projection. Let’s see them both.
From now until November 30th, Elliott Wave International is offering part 1 (a 42 page PDF document) of their “How You Can Identify Turning Points Using Fibonacci” e-book. Chapters in the eBook include the following: Ch 1: The Golden Ratio and the Golden Spiral Ch 2: Fibonacci Ratios and Multiples Ch 3: Amplitude Relationships Ch…
Friday’s action gave us one of the best examples of the ‘Rounded Reversal’ Day Structural developments. Let’s take a quick look at both the intraday SPY 5-min and 1-min chart and use this day as an educational reference of this concept.
November 17th’s intraday SPY (and other Index ETF and futures) action gave us an excellent example of the “Rounded Reversal” structure along with a positive TICK and multi-swing positive momentum divergence marking the absolute low of the day and forecasting an intraday price reversal. Sound complex? Let’s look at it step-by-step.November 17th’s intraday SPY (and other Index ETF and futures) action gave us an excellent example of the “Rounded Reversal” structure along with a positive TICK and multi-swing positive momentum divergence marking the absolute low of the day and forecasting an intraday price reversal. Sound complex? Let’s look at it step-by-step.
This morning’s action gave a great example of the “Divergence” lessons, in that dual TICK and Momentum divergences can forecast intraday price reversals of either short or intermediate term degree. Let’s take a look.
Today’s intraday price action gave me a chance to show you two specific Fibonacci Retracement grid examples of how to use the “Fibonacci Retracement” tool to find potential trade entries or reversals in price. Let’s take a look at them and learn how to use this tool.