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.

Thursday, April 15, 2010

Forks, seeds

Though I risk alienating the ten people that actually visit this blog, my posting has been reflective of my trading lately (disinterested). Perhaps it's the change in season and the warm weather is keeping me away from the computer for any amount of time more than need be. Anyway, I believe these moods go in cycles, and at the moment I'm cycling back into interest, though there's not much worth noting in this relentless melt-up we find ourselves.
I'll add two things today that touch upon previous and recent posts. One is an Andrew's pitchfork, and the other the seed wave concept.
First the forks.
Here's a 60-min SPY chart showing the Andrews Median line giving nice Support/Resistance boundaries:Meanwhile, here's a daily QQQQ chart with an Andrews line going all the way back to the March lows...Price has found it's way back between the Upper Median Line and the 25% warning line. The bars painted purple indicate Options Expiration which is coming up this Friday. Curious how frequently price has traded in the upper median line extremes during OpEx in this past year, curious indeed.Now to combine the two topics of a seed wave and Andrews line.
Below is a daily chart of the SPY. The Andrews Line goes back to the March lows, while the Fibonacci retracement lines are based on the most recent seed wave that started in February (go back and read this post if you don't know the seed wave concept).As "trend's end in a climax," somewhere in this range would be a good place to do so.
Oh, by the way, the Q's are a mere 8.9% away from their Nov. '07 highs! That's just extraordinary.

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