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, April 7, 2010

The battle rages

I've posted this chart a number of times;The Q's have been testing these July '08 highs for the past 3 weeks now. Two weeks ago they were extended tests that were quickly (and with reasonably large volume) rejected. Last week, price nudged a little higher and swiftly sold off, all the way back down to the $47.80 support level (even put in a higher low). This week, however, price has turned that resistance pivot into support. Price attempted a breakout yesterday only to turn into a reversal. Today, as price tested yesterday's highs selling again ensued, only this time price turned around at the previous day's low (Resistance becomes Support). Worth noting is the large volume surge that came into this rejection. It appears there was even greater volume keeping price above $48.40 (prior resistance last week) than there was bringing price down to that level. As an aside, the Q's are only 11.7% off of their 2007 highs!

No comments: