Today was a good example of why to scale out of a position once targets are met, otherwise you're likely to have covered today (from yesterday's short) at a scratch.
At this point, though we got what could be considered a trigger (in anticipation of the daily 3/10macd fast line going positive), it may be best to wait for a pullback. However, a gap and go move could be likely as well.
The DIA really lagging here
Bit of a sell divergence across the board here. May be best to wait for a pullback, but can also entertain a gap and go move.
We've seen this SPY move before, back on Nov.11, here is how it played out
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 firstname.lastname@example.org
I am always open to questions, comments, or suggestions on how to improve this blog.