2nd trade:On hourly, price went below a previous resistance and came up again in what appeared to be a bullish engulfing (but not quite) pattern. A second bullish candle closed above resistance and I wondered if I was looking at a 3 white soldier pattern in the making.
On 5 min, A Cup with Handle formation (I simply call that a "W") has become quite apparent and price has gone above the rim of the cup.
Went in long at the "handle" - a familiar "Resistance-Turn-Support" setup for me. This was a limit entry ie. not a precise entry as my decision to enter was really based on several reasons - none of which has anything to do with the 5 min except that it had conveniently given me a "W" pattern.
I actually had 2 targets in mind - 854 (a tad above fib 138.2) and 861.25 (a tad above Fib 211.8). Since I had entered on 1 contract, I had to take profit at 854. Besides, candle was getting too long too fast ie. my exit signal.
Will see what develops above 854. Right now, I'm looking at 2 hanging men and a candle with a long upper shadow right beneath 854. A throwback to around 852 (the top of the cup handle) will have me considering another long entry.
Hourly is forming what looks like a triple top to me. So my going long really has nothing to do with bullishness. I'm just buying to where I think ES will be stopped.
On 5 min, A Cup with Handle formation (I simply call that a "W") has become quite apparent and price has gone above the rim of the cup.
Went in long at the "handle" - a familiar "Resistance-Turn-Support" setup for me. This was a limit entry ie. not a precise entry as my decision to enter was really based on several reasons - none of which has anything to do with the 5 min except that it had conveniently given me a "W" pattern.
I actually had 2 targets in mind - 854 (a tad above fib 138.2) and 861.25 (a tad above Fib 211.8). Since I had entered on 1 contract, I had to take profit at 854. Besides, candle was getting too long too fast ie. my exit signal.
Will see what develops above 854. Right now, I'm looking at 2 hanging men and a candle with a long upper shadow right beneath 854. A throwback to around 852 (the top of the cup handle) will have me considering another long entry.
Hourly is forming what looks like a triple top to me. So my going long really has nothing to do with bullishness. I'm just buying to where I think ES will be stopped.
3 comments:
hi jules, im a michael woo student as well, glad to have found your blog. will you be going to suntec this weekend for ATIC?
Hi Sloh,
what's ATIC? If it's a trading seminar, I'm not going. Don't want to see that SOB guru (NOT Michael :-))
yes it is, you can check out this link:
http://www.theatic.net/atic_registration_sg_09.php?aid=25&cdid=18
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