Another gap-up and low volume short squeeze. What is this, the fifth one now? Updating yesterday's chart of the Fib. extensions, here's where we stand:We gaped above the 138.2% retracement and closed above the 150%. Next stop, new '09 highs and the 161.8% level.
Today's volume was just pathetic!The Dow led the way today and finally looks ready to test the Lehman-Gap levels, which happens to be 50% retracement resistance
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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