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. I day trade the 15-minute time frame by using the 5-minute to trigger the trade setup. I can be contacted via email at toddstrade@gmail.com


Thursday, February 23, 2012

same ol trend

Starting with the higher time frame and drilling down.  The SPY trend is still very much intact.  Notice the lack of negative readings for both the fast line and slow line on the 3/10macd.  On a shorter time frame (I use 130-minutes because there are 3-bars for each daily bar) we had yet another 2c-2d setup:

As mentioned before, the 2c-2d setup should include most, if not all, of the following:
 - A strong bullish trend
 - A reverse divergence
 - 3-pushes to a low and/or
 - Inverted Head & Shoulders
 - and possibly a 3d setup on the faster time frame

So, here are two faster time frames (sorry for the confusion, but the faster time frame is on the left in the chart below)

and the 15-minute chart; notice the 100% projection lined up with the fib. fan's mid-line which was finally achieved into the close

Another similar setup occurred in AAPL today.  The trend was in place, we got 3-pushes to a low followed bu an inverted head and shoulders pattern and the 50% projection lined up with the fib. fan's mid-line


And here's one to watch going forward in BIDU.
Provided the trend line remains intact, we'd like to see the second fib. fan line taken out on a strong candle.  The brunt force of resistance looks to be initially at the $135 level.  If the setup fails there can be an equal opportunity on the short side if the trend line breaks down.



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