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, December 16, 2009

setups today

Two nice trades today in POT and RIMM.
POT played Pong all day within a $1 range. The setup I took was around 11 am where price bounced and retraced off of $118 (those are nice 61.8% retracements that end up looking like inverted H&S patterns, some call it a "Phoenix"). There was also a nice one towards the close, where price retraced a little more steeply than the other, but was good above $118.5. This range was very tradable today, with shorts/longs based on the bollinger bands and the whole & 50-cent increments. I need to recognize this behavior earlier on in the session.
RIMM has a $65 pivot...and as such, price consolidated narrowly under this level this morning. The first move to $65 was a fakeout and looked to be breaking down from an ascending triangle (a measured move from which would target the lows of the day). Being that price didn't give up much ground from the apparent breakdown, it was still looking bullish. My entry was $64.89 and my target was $65.75 (based on previous resistance) and I actually held the entire way.Unfortunately I didn't short the double top back down to $65, and beyond.

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