I wanted to show a chart of some of the better trading opportunities that presented themselves during today’s intraday trading, so as to serve as a reference to see more examples of these trades and patterns. Here’s today’s structure (Rounded Reversal) that offered a limited number of good set-ups.
Today’s price action held a lot of lessons for apt traders – let’s take a look at the SPY (US Market proxy) and the intraday chart to see what quick lessons we can learn from today’s price action – technically a Trend Day Down.
What a day! We got an unexpected “Trend Day” up which just so happened to form a text-book complete Elliott Wave pattern. Let’s take a look and learn from some of today’s lessons, including a “Three Push” pattern and Bull Flag.
Each day I write a ‘daily summary’ I call my “Idealized Trades” reports (which will be available for subscription by next week) and I wanted to highlight a few lessons from today’s (June 22, 2009) intraday Type III “Trend Day Down” in the SPY 5-min chart.
I mentioned last night in a lesson/example on intraday Elliott Wave that a fractal 5-wave structure had completed. If we look up to the 15 (or 30) minute intraday charts, we see another ideal example of the expected Elliott pattern. Let’s see it as another example to try to learn this concept of how momentum lows and divergences fit into an Elliott pattern.
What a day! Let’s learn a few critical lessons from today’s trading activity, particularly in regards to how Momentum fits into Elliott Wave, how bear flags are confirmed with dojis, and more!
Thursday’s intraday trading action gives us a perfect example of how to use Fibonacci grids to uncover ‘hidden’ confluence zones in the market action. Let’s see how to do it and how it played out in the SPY.
To say I was impressed with the bullish action today is an understatement – I was astonished at the strength! Let’s look inside today’s intraday action to see how the Trend Day structure developed and what opportunities existed for profit – knowing how to trade a trend day can make the difference in a large loss or large profit the next day we get one.
There I go again with the long titles, but I had to fit it all in. Today, there were two excellent trading opportunities I wanted to highlight in today’s intraday structure. One was a “buy the 4th wave” into confluence support (with a TICK divergence) and the second was a “sell short the 5th wave”…