And the bears have it.
SPY took on the ABC wave rather than the "W" pattern mentioned yesterday. The 200-day MA below and a 50% Fib. extension at $137.33 could offer some support.
The weekly is sitting right at the intermediate trend line, still showing the 2c-2d criteria, however the daily hasn't triggered a long entry (which typically comes in the form of the 3d criteria)
Here is a 5-minute chart of the SPY today. Fib. projections are based off of the opening gap (previous day's close to todays open) and off of the high/low opening swing.
Another view of today's trade. The IB_low retaining a lot of chop this afternoon, while the o/s_low offering a great short setup opportunity on the pullback
A key for the above chart to define the horizontal lines and dots. For further explanation, see this link:
Many quick trades rather than just holding onto a short (not ideal). "MAE" in the chart below = Maximum Adverse Excursion.
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 email@example.com
I am always open to questions, comments, or suggestions on how to improve this blog.