Anyway, price gapped all the way above R2 this morning, based for 20-minutes before making a run to R3, where it stopped dead in it's tracks.
So, if you missed the small play early in the morning, and you weren't positioned to take advantage of the gap, you're left to wait for the pullback. Before noon price came back to test the lows of the morning (giving up the 20-EMA briefly). This is where I switch to the 15-min time frame to wait for a strong reversal (or continuation) setup. Today we were given a combination of a Tweezer bottom with a bullish engulfing candlestick pattern.Also, looking at the 15-min chart we can see a good example of a "Slingshot" setup that ocurred yesterday late in the afternoon (price reaching like, or slightly higher swing lows, while momentum made lower lows; leading to a "Slingshot" in price.
On the daily time frame we have higher volume for today's move, a tick up in ADX (beginning of a trend?), momentum looking to get positive, and a 20- & 50-EMA crossover taking place. It would be nice to see a pullback to the moving average crossover, but ya gotta play what you get.
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