Double bottom, Broke previous High, Strong momentum --> $420 profits
5 min Emini Nasdaq 100
Hi,
We are trading in exciting times when volatility expands and the emini contracts tend to trade with greater ranges. Today's trade is a little unusual in terms of technical set ups.
Firstly, price formed a double bottom pattern with yesterday's price and finally broke yesterday's high (which is a resistance level) at 11:30. Both stochastics and Short-term MACD are already at high levels. But upward trending moving averages, stochastics and MACD all offer comfort for me to go long 1 contract at 1908... Price never did pulled back below 1905 ( which is below yesterday's high) and this gave me confidence to go long another 2 more contracts at 1912.5
I stayed in my trade all the way till price hit the top of my bollinger band and stochastics and Short-term MACD started to turn down.. I exited at 1918 with profits of $420.