1.) What did I see?
Similar to these charts. A gap down with a strong first bar that moved into resistance (and stopped) at the retracement zone of the previous day's high to the opening range low. The second bar is a bearish candle.
2.) What is the entry?
A break of the second bar low.
3.) What is the exit?
1/2 closed after $1 gain, the other 1/2 closed at the end of the 12th bar (a very strong bar, signaling a short-term reversal).
Notes - this is a perfect example of why you close 1/2 after a nice gain (my standard is $1). As you can see, price reversed sharply at the end of the day so it was nice to have that "locked in" gain.
No comments:
Post a Comment