I have been watching this chart for past few days waiting patiently for the trigger.
The trigger happened at around 2pm today when I shorted this with futures at 358.50.
By 3.15 I closed at 348. But the trade itself is far from over.
The trade set up is obvious from the chart. A sharp run up tapered to a very narrow range when ultimately it just had to topple over for lack of momentum.
Like riding a bicycle.
Ideally, I would wait for it to bounce a bit towards 355 levels before going short again. Stop loss at about 367
The target would be around 330 that lines up nicely along 38.2 Fib level as well as the gap that would be acting as a pull.
The trigger happened at around 2pm today when I shorted this with futures at 358.50.
By 3.15 I closed at 348. But the trade itself is far from over.
The trade set up is obvious from the chart. A sharp run up tapered to a very narrow range when ultimately it just had to topple over for lack of momentum.
Like riding a bicycle.
Ideally, I would wait for it to bounce a bit towards 355 levels before going short again. Stop loss at about 367
The target would be around 330 that lines up nicely along 38.2 Fib level as well as the gap that would be acting as a pull.