What a weird day. Some wild fluctuations in the NYSE TICK on both ends of the positive/negative spectrum. Today was all about reading the tape, and being quick on your mouse finger (something I am still developing).
Price gapped down to pivot and then just popped. Pretty spectacular move. The retracement after that move I was expecting to move higher than it did, but after the expansion price just rounded off and moved back down to R1.Here was my look at the 5-min SPY today with the TICK in the subgraph. I'm really liking this chart setup.Look at these moves on the 15-min chart. Also notice the momentum divergence on all three swing highs today. Price ended up back down just below the $84.33 consolidation range (the 20- & 50-EMA's heading back down to a crossover; amazing how quickly these moving averages are switching their orientation).After all of that today we're left with a gravestone/shooting star-like doji candle.
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 firstname.lastname@example.org
I am always open to questions, comments, or suggestions on how to improve this blog.