Thursday, February 16, 2012

6e bottom

tight channel  formation --  stock drops below key 1.30 level

then:   big volume spike to 1.2975 with a tail -- 1 min candle

then:  rising 3 bump pattern  directly afterward

then: a BIGGER volume spike but this time vol. pushes ABOVE 33 day MA 

then:  descending channel that had taken hours to form breaks.... 99 day MA breaks.

 so:   major shifts are often preceded by  multiple buy signals. 

 An intial entry would have resulted in over 150 pips -- even AFTER waiting for all this information.

 Therefore:  there's no need to jump the gun shorting or entering long.  The multiple signals will form time and time again.  Allowing an entry that minimizes time and drawdown.

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