Sparks Fly
Did you see it?
Hopefully, you know what I mean by now and can probably write the column for me
this morning as an early three-minute stochastic divergence confirmed with a MA
crossover led the way to a nice tradable reversal off the recent market bounce.
Again, I’ll let the charts do the talking:
Tuesday
August 14, 2001 11:20 PM EDT
We’ve had some nice intraday setup
signals over the last few days, which provided fuel for potential mid-day market
climbs. Specifically, we discussed a strengthening 13-minute stochastic on
Friday morning’s second bottom and an oversold 13-minute stochastic during
consolidation yesterday. In both instances, we were watching for a three-minute
trend to emerge in the direction of the potential move for confirmation (even
fuel needs a spark to ignite), and yesterday provided us with a nice trend
breakout from consolidation, complete with a few entry pullbacks on both the
three-minute and 13-minute charts.
Good trading,
P.S. I’m pleased to announce that I’ll
be hosting a two-day
QQQ trading learning forum immediately following TM2001 at the Venetian
Hotel and Resort on October 7- 8, 2001. It seems like we’ve struck a pleasant
nerve with the Q column, and I look forward to sharing my thoughts and views in
a live forum highly conducive to learning and interaction, as well as simply
meeting many of you in person. So whether you trade the Qs or watermelon
seeds, consider extending your stay just a bit and we’ll combine some very
intensive trading discussions and some fun!
For
a more in-depth look at how Don trades the QQQs, click here.