Continue To Enjoy The Music
On Thursday, the Nasdaq opened flat and after chopping
lower, mounted a decent rally to close well.
The S&P also reversed
intra-day and tacked on some decent gains.
The fact that the markets
“faked out” first to the downside before rallying, leads me to believe
that this rally will continue into the weekend.
So what do we do? One thing to remember, we are still in a
bear market. Therefore, as I said last night, enjoy the music but continue to
keep a chair ready for when the music stops.
Looking to potential setups: Well, I don’t know if I was
biased because I won’t be in front of a screen on Friday, but, I was unable to
find many interesting setups.
With that said, for those willing to take another OPEC
spanking, Transocean Sedco Forex
(
RIG |
Quote |
Chart |
News |
PowerRating) looks poised to continue its
downtrend out of a Trend Pivot Pullback.Â
Random Thoughts
I’m often asked if daily
patterns work intra-day. I believe that patterns are fractal–what works in one
time frame also works in others. For instance, the S&P cash and Nasdaq both
formed interesting intra-day cup and handle patterns on the 5 minute charts.
Print off today’s charts and keep for your files. I’ll see if I can get some
screen captures for those who don’t have intra-day data.
Best of luck with
your trading on Friday!
Dave Landry
P.S. Reminder: Protective stops on
every trade!
P.P.S. I’ll be out of the office on Friday and,
barring shark attacks, will be back on Monday. As usual, Bubba Boudreaux will be
house sitting. Feel free to stop by for a demo of his massive gun collection.
“..I bought a lot of books, but
sincerely, Dave Landry on the Swing Trading is the best…”
Ilidio F.
Portugal
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