For the first half hour this morning, the two strong sectors looked to be energy (XLE) and materials (XLB). Plenty of things gapped up today, but these two sectors held on after the first half-hour. So, playing off of that I looked to FCX (as a play off of XLB) and OXY (as a play off of XLE). Both stocks ascended into a base and broke on strong volume, much in the same way their respective ETF's performed.
Things of note from the start of this morning, the NYSE TICK was mostly positive for the first 90-min while price in SPY didn't get beyond yesterday's highs (also R1).It was all bearish breakdown after 11am once not being able to hold R1. Price spent a lot of time chopping around Pivot support before finally breaking down.We're back to a bearish stance on our 15-min perspective.While on a longer time frame (here being a 9-min SPY chart) we cracked an ascending triangle pattern.
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 email@example.com
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