About this blog:

CURRENT MARKET TREND: Up 5/27/16 @ 2090
Stop-loss 2026






Wednesday, May 11, 2011

Whipsaw Nation & Trendline Support

This will be the first post of many which lead into you my swing trading intellect. I have been watching the hourly and shorter term charts whipsaw for a few days now. My previous call at 1350 was for a top to 1370 then a pullback. That happened nearly perfectly with the market topping at 1370 and change. The pullback I expected was to 1240/42, so I established long positions at that level. When the market dropped further I didn't fret, I added more long positions after I looked at my original anlaysis and deemed it correct. I sold out out of this position on Tuesday and have been in cash. (Tuesday 1358).



Some would say I missed this drop. I disagree. Per the stock market all gains made on the short side should be considered a bonus in my opinion. Also, I knew the drop was coming since I sold my long position. YOU DON'T HAVE TO PLAY EVERY SWING TO MAKE MONEY!!! You want to be on the longer term side of the swing!!

I believe these tops & drops are part of a consolidation pattern and I don't think we'll see new lows under 1329.

My next projection target comes around 1389.60 as long as 1329 holds. I am flat position wise and really don't plan on playing anything until my upside projection targets are met, or something on the short side triggers my interest. If anything happens you'll be the first to know!

POSITIONS: FLAT...NO LONGS EVER, maybe short under 1329.

Until next time,

geno0010

The

Trader

PS WATCH HORIZONTAL WHITE AND UPTREND YELLOW


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