Not much trading done on my part today. Stopped-out on two positions, one of which being SPY which was fine as I was just trading what I saw:
My anticipation was for a re-test of the lows (3b-to-3c-to-3d in terms of 3/10 macd criteria, which was likely my main mistake as 1's & 3's are long setups; refer to the spreadsheet if lost by this point).
Noticed two setups this morning ("noticed" as in didn't trade) based on the 3d criteria. In AAPL below, the Slow Line turned magenta briefly (4c) but that shouldn't negate the setup (it turned 3d on the next bar) as we're looking for a strong Slow Line trend with a mild Fast Line correction into it. I mentioned yesterday that 3d criteria fits a short squeeze or lifting of stops phenomena, so we need to be aware of the levels which would likely give us the dynamic price movement once cleared:
Also there was NFLX. Gaped strongly down on the open with buying that closed the first 15-min candle just above previous resistance. Following that move was a $1 move to the next resistance level and a further $2 move to the previous day's breakdown point.
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.