Monday, October 29, 2012


/tf gapping down --  hurricane closing at 9:15

But notice -- one of the rules I created was that when trading countertrend (for a bounce), the minimum time for a base to form is ONE HOUR.

/tf bottomed at 7:30 -- tried to rise and failed.

Now, at exactly 8:30 - data came out and we see -- a HUGE tail on HUGE volume.  And more importantly -- it's been 1 hour.

The market is now up 21 ticks from the low of the tail and rising.

This is a familiar, repeatable pattern.  And /tf hits 804 which was my target area.

So main rule to remember -- an hour is minimum time for a bounce to occur.  But still need to see long tail puke candle to mark a bottom.

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