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.

Wednesday, January 30, 2013

Wed 01_30

today's trade:
A key for the above chart to define the horizontal lines and dots.  For further explanation, see this link:  

I don't care for being in the market during FOMC minutes, but once the dust settles a directional move can unfold.

I should have stayed more focused (patient) with the higher time frame unfolding.  Bear flag (channel) breakdown was fairly straight forward if you can ignore the noise.
The 65-min showing 2c-2d still, which would mean caution once we saw the 15min turn 3a criteria, while a long entry could form with the 3d criteria, but this will take time as the 15-min works off the bearish momentum (unless we have a V-bottom squeeze).  

A pullback from here is just that.  The momentum built up by this January move would take extreme momentum or a lengthy period of time to do real damage to it and create (higher time frame) sell setups.
Daily on the right in the chart below; that's a lot of bullish momentum that was formed this year.  So, we would be looking to buy the 2c-2d criteria going forward (in the same way I've been highlighting this criteria on the 65-min chart above.

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