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.

Saturday, March 10, 2012

SPY similarities

Taking a look at the SPY and to say this current price trend has all happened before is an understatement.
Here is a daily chart comparison of the recent (since Dec.) price action (right) compared to that of Sept. - Nov. 2010 (left), where in both instances the first bit of negative momentum was bought.

The Q4 2010 trend led to a constructive consolidation pullback which came in to test the 50-day Moving Average, after which time a measured move stretched into February 2011

These price trend similarities can be seen going back to July of 2009.  Below is a weekly chart starting from the March '09 lows where we have seen these price trends repeat themselves.

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