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Double bottom, bounce from moving average, Stochastics up, MACD up --> $100 profits

5 min Emini Nasdaq 100

Hi,

Market has been a little unpredictable of late... and I dont find many chances to trade. Today's trade is a classic pattern.

At the open, price gapped up.. but then it closed the gap and rebounded from the moving averages in a double bottom formation. This is a very powerful signal. Furthermore, short-term MACD and Stochastics cut their signal lines.. This gave me the confidence to enter 1 contract at 2104 and another 2 more contracts at 2109...

However, things started to turn bad after my 2nd entry.. stochastics started to turn down and I exited immediately at 2109 with profits of $100.

Posted by Michael Taylor on September 26, 2007 7:24 PM |

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