I was bullish all along 2013, even in the same thread you also hang around with ,"ES Journal", but this time the charts represent a serious technical menace. I'm not short yet, but I've begun to exit my positions and preparing myself for the high probability market correction or sideways action. I apologize for talking about trading in a trader's forum.
TF it was said " tongue in cheek" However if the market is self correcting it will tank 100-150 ES pts when you "least" expect it...when all seems smooth sailing. Like everyone else and their mother I'm net short so until we all throw in the towel I really don't expect a tank...sigh oh and we already have seen it pretty much sideways...which could continue for another month in lieu of a "correction"
I would go long on the breakout of that trendline (or whatever you call it) with a stop loss (apols to emg).
For illustration purposes I included the channel breakout from the 90s (the one revisited during the subprime crisis).
That steep selloff on 1/13 that busted out lower and then was ignored the next 4 days afetrward, does that worry anyone? That was no freak accident.:eek:
No technical damage to the bullside yet, not even close, so I have no idea what you referring to, couple of red days of volatility ? That's nothing bearish, and theres plenty of support intact. The channel shows potential resistance, it needs to manifest itself now, it has not. It's a warning, all it is for now.
Guess that would depend on your TF. That breach reached down to just above the highs of 12/18 and 12/9. The selloff was steep and unrelenting for 5 hrs. It punched thru multiple levels. Since then Fri broke thru Thurs LOD, covered the GAP from Tues>Wed but barely BARLEY violated Tues HOD. Read b/w the lines :eek: