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.

Friday, July 22, 2011

AMZN long

AMZN long off of an inverted hammer bottoming seed wave.

On the faster time frame you can better see the bottoming pattern trace itself out.  It's a reliable pattern to watch for to trade a bottoming pattern intraday; kind of an inverse H & S with two heads; with either a slightly lower low as in this case or, just as valid, a slightly higher low

Look closer at the 15-min chart, it's tracing out the same chart pattern as the one outlined on the 3-min chart above.  Look to buy $214 on Monday if price holds that support, if it fails it, look to short $214 on retest.

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