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 toddstrade@gmail.com
I am always open to questions, comments, or suggestions on how to improve this blog.


Wednesday, August 22, 2012

trend

A look at the recent trend development in the SPY.  When in a trend (as defined by the Moving Averages you like to use) we can look to buy the pullbacks that I label as 2c-2d criteria.  There are also Fibonacci price projections plotted on the 60min chart (left) to give a guideline for targets.
On the faster time frame (right) you're looking for a 3d setup or fast line pullback into a positive sloping slow line which often takes on the characteristics of an inverse H&S or a 3-push pattern.
The highlighted regions are to show 50 & 100% projections, but also price holding a 50% retracement of the initial impulse move.

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