Rebound from Hammer Candlestick, cut all moving average envelopes --> $440 profits.
Emini Nasdaq 100 5 min Chart
Emini Nasdaq 100 Daily Chart
Hi,
How's it going lately? First of all, the big picture, notice that the daily chart shows a nicely formed hammer pattern (green circle) bouncing off the mid-line of Bollinger Bands? This is a signal of strength and we can expect the next day to be bullish. This is especially so in an uptrend environment... I have detailed examples in my new book " DAY TRADE EMINI WORKBOOK" about how to forecast the scenario the next day by looking at the charts and indicators..
Ok, let's look at the 5 min Chart, notice how yesterday towards the close, there was a turnaround? By turnaround, I mean, the morning session was beaten down, but price caught up in the afternoon session and infact caused all the moving averages to turn. There was a sharp 'V' formed by stochastics and we certainly hope that such movements will continue today.
At the opening bell, price cut through my longest moving average (red MA) with a big white candlestick and simply refused to buckle down.. The price action is giving a strong signal that it wants to go up. Notice that I have circled in green all the important points yesterday? The V formed by stochastics and the cutting of zero line by Mid-term MACD. These signals together with the price action gave me confidence to go long 1 contract at 1888.5 and another 2 contracts at 1889.5 when it became clear that price was holding up above the moving averags.
My trade confirmation came from the Long-term MACD crossing it's signal line... and it just went up and up... I exited at 1896.5 when red candlesticks appeared in succession and Stochastic cut down from overbought and Short-term MACD cut its signal line. Profits of $440 today.
Emini Nasdaq 100 Daily Chart
Hi,
How's it going lately? First of all, the big picture, notice that the daily chart shows a nicely formed hammer pattern (green circle) bouncing off the mid-line of Bollinger Bands? This is a signal of strength and we can expect the next day to be bullish. This is especially so in an uptrend environment... I have detailed examples in my new book " DAY TRADE EMINI WORKBOOK" about how to forecast the scenario the next day by looking at the charts and indicators..
Ok, let's look at the 5 min Chart, notice how yesterday towards the close, there was a turnaround? By turnaround, I mean, the morning session was beaten down, but price caught up in the afternoon session and infact caused all the moving averages to turn. There was a sharp 'V' formed by stochastics and we certainly hope that such movements will continue today.
At the opening bell, price cut through my longest moving average (red MA) with a big white candlestick and simply refused to buckle down.. The price action is giving a strong signal that it wants to go up. Notice that I have circled in green all the important points yesterday? The V formed by stochastics and the cutting of zero line by Mid-term MACD. These signals together with the price action gave me confidence to go long 1 contract at 1888.5 and another 2 contracts at 1889.5 when it became clear that price was holding up above the moving averags.
My trade confirmation came from the Long-term MACD crossing it's signal line... and it just went up and up... I exited at 1896.5 when red candlesticks appeared in succession and Stochastic cut down from overbought and Short-term MACD cut its signal line. Profits of $440 today.