What a day Thursday’s trading was! It seemed all hope was lost for the bulls until the last hour. Let’s dig a little deeper to see some patterns you might have overlooked, including a rare fractal (double) Bear Flag and a “Three Push” Pattern. DIA 5-min chart: Again, what a day. Thanks to the end-of-day…
Let’s look inside the price action of the 5 and 15 minute chart of the DIA to see the clues preceding the reversal down and also an example of an extremely powerful trend day. Let’s start with the 15-min structure that I almost highlighted to you last night: I almost pointed out the “Rounded Reversal”…
Did you know Elliott Wave can be applied to the intricacies of the One-Minute Charts? I wanted to show an example that occurred just a few hours ago that details a possible Elliott Wave overlay that captured the full structure of the minuscule movements on the DIA 1-min chart on February 9th. DIA 1-min Chart…
Friday gave us a solid, upward performance in the US Equity Indexes. Let’s zoom in to the 5-minute chart and learn a valuable lesson regarding Trend Days and Stop-Loss Strategy or Trade Management. DIA 5-min February 6th 2009: Friday’s action wasn’t an “Ideal” Trend Day, but a Trend Day it was. Most trend days open…
2008 was a record-setting year in many ways. Volatility reached extraordinarily high levels and the broader US Equity Indexes lost 40% in a single year as the Credit Crisis spread to the broader economy. Let’s focus in on Gaps for the moment and form composite stats to see how the Gap-Fade strategy fared in 2008,…
I wanted to point out a potentially significant structural change in price that developed today before the close. We have a confirmed Rounded Reversal on the 15-minute chart of the DIA which is setting up confluence support. DIA 15-min chart: Rounded Reversals can be significant because they highlight a clean shift in the balance between…
Friday gave us yet another “Trend Day Down” in the market – making two in a row – but there’s something quite interesting you need to review about Friday’s Trend Day action. DIA 5-min: Do you know what it is without looking? At 1:00pm, all short stops were triggered, knocking trend-day traders out of their…
Thursday’s price action gave us yet another excellent example of a trend day, which offers us the opportunity to trade any retracement aggressively. Let’s look at the structure and key high probability trade set-ups that formed. DIA 5-min: The day started just as Wednesday did with a large (greater than $1.00) overnight gap. For the…
We expected a price movement out of the recent coil (consolidation) and we got it today in spades. The break was to the upside which surprised many bears, but let’s look inside the DIA’s 5-minute chart to gather where we might have entered some high probability trades and learn from the day’s structure. DIA 5-min…
One might describe Tuesday’s action as a “Creeping” or “Oozing” Trend Day which never really gave a clean retracement swing to enter as price bled its way to the close. Let’s look at the DIA and take a special glance at the NASDAQ’s near perfect trend channel which pushed the Index down for almost a…