The setups I include on this blog are used in conjunction with the 3/10macd and the criteria I ascribe to it as a way to alert me to an existing condition of price. The key concept to take away from this blog is that I try to anticipate what will happen on the higher time frame by using a faster time frame to trigger the trade setup. I do not trade a "system" I use two indicators to clue me in to price conditions. Please read the Disclaimer located in the sidebar of this site. I can be contacted via email at
I am always open to questions, comments, or suggestions on how to improve this blog.

Saturday, August 16, 2008

Chart of the Week

the HANS short Squeeze.
You could have followed it courtesy of the Fly.
First the Daily. Notice the gaps (on lower volume) culminating in a high volume NR7 bar at the end of a triangle pattern.
the 15-minute. A high momentum morning gap up starts the short covering, aka GMTFO (get me the F out). Price rests right on a resistance trend line, but only until the next session, eventually retracing 62% in 4 days. Remember the $21.40 price level as future support, if we see it again.

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