Price has trended up to this resistance level over the course of nearly 6 weeks.
In that time there has only been one correction that returned 100% or more of it's initial impulse momentum move, like so:
Taking that largest correction range we can add it to future momentum moves to determine valid breakouts, like so: (note, decisions based on a daily candle require the close of the daily candle. Therefore, the breakout on 9/30 was determined to be false; leading shorts into positions. We were then able to move the largest momentum box up to 9/30's high and wait for the low of that box range to be broken. Of course it stopped dead on the lower boundary , but shorts were still in positions. Said shorts were squeezed today).
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 firstname.lastname@example.org
I am always open to questions, comments, or suggestions on how to improve this blog.