As mentioned before, the 2c-2d setup should include most, if not all, of the following:
- A strong bullish trend
- A reverse divergence
- 3-pushes to a low and/or
- Inverted Head & Shoulders
- and possibly a 3d setup on the faster time frame
So, here are two faster time frames (sorry for the confusion, but the faster time frame is on the left in the chart below)
Another similar setup occurred in AAPL today. The trend was in place, we got 3-pushes to a low followed bu an inverted head and shoulders pattern and the 50% projection lined up with the fib. fan's mid-line
And here's one to watch going forward in BIDU.
Provided the trend line remains intact, we'd like to see the second fib. fan line taken out on a strong candle. The brunt force of resistance looks to be initially at the $135 level. If the setup fails there can be an equal opportunity on the short side if the trend line breaks down.
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