Try This Powerful One-Two Combination
Traders know that the probabilities for success
in any one trade are increased when there are multiple confirmations. There are
many different technical methods and tools for measuring confirmation within a
trade setup. Using the TradersWire in conjunction with our Nightly Daytrader’s
Report is another way in which we help you find the best setups based upon this
principle.
10:09:01
Intraday
Setup Alert
Electronic Arts (ERTS)
is staging a counter trend rally on its intraday chart. The stock is a
member of TM’s Implosion List
and is down 0.16 at 50.82.
By itself, the alert stands on its own, and one
can see the ensuing price action in the above chart. If part of your preparation
for the trading day included the Nightly Daytrader’s Report, you had the
additional confirmation of inherent technical weakness in the form of a low-level Slim Jim from the prior session. The early action, in which the
“emotional wrong way crowd” is notorious for participating in, had the
stock breaking out of the pattern as a reversal. Within 30 minutes of the
opening bell, ERTS began showing its true colors once again as the Slim Jim
breakout was actually a head fake “Shake ‘n Bake” version of the
classic pattern. Our short alert on TradersWire followed this shakeout of the
wrong side crowd as the stronger trade materialized within the context of
pattern and trend.