Technical Strategy

Not a long trending day after all.

Looks like a long traverse, no lateral, then a short channel...

 

Not the best day for building trust...

<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=2276618>

 

The Day

<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=2276855>

 

Bar 1 tells me to go long.

Prudence says to wait one more bar.

 

6 points later, a decidedly suboptimal entry at the channel VE.

843.75 @ 09:39:52

<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=2277690>

 

This is where I begin to wonder if the lateral was more wishful thinking than fact.

 

A box and couple of lines make a staggering difference.

In the absence of the box, a whole new story unfolds, to the detriment of the current trade...

This is the main problem I've noticed in religiously adhering to the sanctity of sequences...


<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=2277820>

 

The other version...


<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=2277828>

 

The other (AKA correct) version, with amended gaussians.

So the 3rd leg of the long channel was a tape.

<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=2277843>

 

This may be a puerile question, but does a non-dominant open definitively preclude the possibility of a short trending day?

If so, I might anticipate a W day.

I'll refer to my chartbooks for an answer.