When It’s Worth Playing
Let’s face it, all trading days are not
created equal. I have a tendency to focus on long reversal setups. Some days,
I’m going to kill ’em, but there are those other days where even the best-looking setups are not going to pan out as originally anticipated. In the scheme
of things this is quite all right, because over the long run, sticking to what
works the best for me, and executing that methodology consistently is the only
way to stay in the game. By continually playing ‘smart ball’ and not second-guessing a strong game plan, I know I’ll be around for the second half, ready to
play.
11:07:10
Intraday
Setup Alert
The S&P500 ETF (SPY)
is trading down about 1 point with session lows near the 1.25 Volatility band. Currently,
the index proxy is setting up into a potential 1,2,3
reversal pattern. Formation lows have further support from the 20-Day EMA, which
comes in at 98.65. The SPY is trading at 98.50 as we look for potential 3 points
to complete the pattern.
The high-probability setup showed itself two bars later in the form of a
Lower low 3 point, with some additional confirmation from the stochastics.
Triggers out of this one ultimately didn’t work, but over the long run,
the price of admission to play this type of game is well worth entering.
Remember, when it’s game time, ‘Life is not a spectator sport.’