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.

Wednesday, August 5, 2009

Wed. 08/05

We ended the day on a hanging man type candle, while we're also at a long term resistance level on the SPY:A very slight gap up this morning with a very brief test of our previous day's highs, all on relative weak TICK. The lows of the day were formed on a TICK divergence at the 10:45 hour as well as on the 1:00 hour.Here's the 5-min chart; the green horizontal line being my support pivot for the day that acted as resistance for most of the morning. Also marked are the momentum divergences present today.
I was watching FCX today as the dollar continued to weaken. Price failed my support pivot but again found support at the Monday gap-up low. Once price recovered and tested the support level, I entered a very small position to target the highs of the day.
I was looking for some sort of move in RIMM today, instead it just based around my resistance pivot.

Big mover of the day was AIG, playing on sympathy with Radian Group's reporting. Though I didn't make a trade in it, it still presents a beautiful portrait of a perfect trend with perfect setups, the ideal time to get aggressive.

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