I am always looking for good chart patterns. There is a site I follow daily and thought you lot might be interested as it is free www.aitradesystems.com
Fun helpful site, should be more like this!! jus got onto there mailing list, good for adding there stuff to my watch list.
GCast, mostly swing for a few days try to grab upwards of 2+ points, some intra-day quick plays ect..
I have found a few profits in watching a strong $gainer make a steep trend and then shorting the stock after it has toped out and broke the trend intra-day. Usualy i look at 30 min intra-day chart to establish where the trend is. I only really consider stocks that have been trending steeply for 3-5 days. I use a 5 min chart to time entry and exit. Stock must be liquid though or else your for it!!! Aneybody else doing the same thing?
Your technique most certainly has merit... I often enter long, get stopped out and flip to a short on the break of a trendline to the downside... in much the same scenario as you describe. I think it is of the utmost import to initiate a position with the trend, since I am a proponent of that old trader's axiom: "thou must trade with the trend"... but once the trend has been violated, your technique is indeed an efficacious proposition, since it now has the laws of probability on its side.
I know exactly what you mean, i also feel the same about trading with the trend. For quick intraday moves i like to watch a daily trending stock consolidate near the main 3-5 day trend and when it breaks out in the direction of the main trend i then place my trades in the direction of that main trend. Or if it is topping out do what i said in the post above. My grammar is not very good so hope you understood that candletrader. Let me now your thoughts.
One of my fav strats is to enter a stock long after a trend break when it hits strong support (usually where the trend started). (Swing-trading...)the longer and smoother the uptrend, and the faster the fall, the more I like the trade. I have noticed also that shorting in support voids after trend violations works well.
"One of my fav strats is to enter a stock long after a trend break when it hits strong support (usually where the trend started). " Could you explain a bit more. Do you mean break of an up trend then buy at strong support?
i have entered a stock many a time when there is a selloff back to the breakout level it then becomes support i enter and set my stops just bellow this level. I follow the price up setting stops behind me at strong support levels and like to watch the relative strength for tell tale sighns of weekness. i use 1 and 5 min charts i also acasionaly swing trade end of day. My favorites are beaten down stocks that have been hit by sudden heavy volume (as long as technical picture is good). I got one last year that doubled in i week only had a small portion of portfolio in it though. Don't like to talk about my loses though.