So, was today a game-changer, or a short squeeze that will find people coming back to reality come next week? I can't really say I care either way, I'm just happy having strength and conviction no matter what the direction.
The SPY Head & Shoulders is now morphing into a sideways channel:
What has confused me about today's session was why the VIX was trending WITH the market. Anybody have input on this aberration?Fresh momentum highs and a close above $93 and have gone very far, very quicklyJust looking at price, the SPY set up very nicely all day long after gaping up into R3, starting with the small flag from the 3rd to the 5th bars, followed by two base breaks later on:
I had a lot of fun (fun = profitable) during the last hour's volatility thanks to FAS and FAZ; playing off of flag patterns on the 1-min chart. These two issues are back in a big way since their reverse split. Look at this nice double bottom-turned trend in FAS:
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.