1 Gap Closed, 2 Bounce from Moving Averages, 3 Stochastics up, 4 MACD up --> $680 profits
5 minutes Emini Nasdaq 100
Hi,
I was expecting today to be another dull day with ranging movements.. Price gapped up around 6 points. and plunged to close the gap from the opening bell. I did not participate in shorting the gap closure... I was waiting for a rebound and a chance to go long as the long term trend is still up....
Price went beyond closing the gap.. it broke all the moving averages only to find support at my longest moving average ( the red moving average) At the same time, stochastic and Short-term MACD were showing interesting developments.... Stochastic started to upturn and MACD also upturned as price rebounded from the moving averages.
This provided the signal to enter. I entered 1 contract at 1860 and another 2 more contracts at 1862.5 when price reached yesterday's close...after that it was a matter of waiting for the trade to pan out.. I expected some resistance when price reaches today's open price..Surprisingly, it pierced through decisively with a big white candlestick... I let the profits ride until a red candle appeared and I exited at 1873 with $680 profits.