Shockingly to me and many traders, US Steel (X) violated a breakout pattern in a strong uptrend to create a reversal and strong plunge, suddenly invalidating the pattern and shattering support in a short period of time. US Steel broke a potential triple top and horizontal resistance pattern at the $185 per share level, drawing…
Today’s action slammed both bulls and bears… more than once! It was another rough trading day, which can be expected during the summer months of low (relative) volume. Let’s view some of the price structure trades that could have been taken, in an effort to familiarize ourselves and trade more appropriately next time. Let’s use…
Friday’s action almost turned out to be another trend day down, but a recovery into the close prevented this development. Let’s look at some of the idealized trades we could have taken during the day, to learn more about these patterns should they develop soon in the future. The DIA – 5-minute: The day began…
Today’s intraday price action gave us a major lesson in price patterns, volatility, and clean high probability trade set-ups. Let’s see what we could have learned today in the SPY. First, the day began with an overnight gap, which led to a stop-loss if you tried to trade back into the gap. Often, when a…
I figured we might get some continued downside in the broader market today, but I’m always surprised at how swift and rapid these sell-offs actually are. Let’s take a quick look at the action so far as we near 2:30 EST in the trading day. I’ll be using one chart created ‘on the fly’ from…
Today’s action was stellar both for the bulls and the bears, turning what looked like a trend day up into yet another end-of-day sell-off into the close. Let’s look at some possible trade ideas that you could have taken within this structure. I had expectations for price movement to the downside at the open, but…