SPX 5 min - the usual suspects

    Posted by matt on 3rd of Aug 2012 at 01:55 pm

    $SPX - Chart Link - once again plays out like it normally does, below in the morning I said to expect price move sideways to higher and for the MACD to recycle back to zero and price back to the 50 SMA which would take until the afternoon, and 60 Stochastic to stay above 80%.

    Now that price is testing the 50 SMA and MACD has recycled, generally in most cases you get another pop to form a divergent high by late afternoon such as the last 1 - 1.5 hrs of the day, then perhaps pullback the last hr.  

    60 Stocahstic stays above 80% either all day or finally dips below by the last hr, otherwise it's way too early for it to dip now

    Here's a video that I

    Posted by matt on 3rd of Aug 2012 at 02:03 pm

    Here's a video that I made back in September of last year on how large gap days tend to behave and what to look for using a 5 min chart with various indicators like MACD, MA's etc.  Now this one pulls back the last hr with the 60 stochastic losing 80% in the last hr, but a lot of these type days also do not do this and hold up and pullback the next morning instead.

    anyway here's the video 

    http://breakpointtrades.com/jing/2011-09-28_0840.swf

    Can't thank you enough Matt!!

    Posted by carpru on 3rd of Aug 2012 at 02:47 pm

    Can't thank you enough Matt!! Timing of the video and comment were perfect!! Combined with the MACD Trending indicator vidieos...were exactly what i needed!!

    What do you think about

    Posted by frtaylor on 3rd of Aug 2012 at 02:07 pm

    What do you think about shorting IYT instead of SPY using this approach?  The rationale is the transports have been weaker.  Does that make sense?

    Lots of shorts on the

    Posted by zwyss on 3rd of Aug 2012 at 02:19 pm

    Lots of shorts on the watchlist!! Some of them seem to be at good levels to short here imho like SPG, RE, HON, KSU and others..... I try one or two....

    thanks for the bump, I'll

    Posted by frtaylor on 3rd of Aug 2012 at 02:20 pm

    thanks for the bump, I'll have a closer look @ the charts.

    update on volume %  looks

    Posted by bkout3 on 3rd of Aug 2012 at 02:15 pm

    update on volume %  looks like everyone left for the beach after the open -- now only a few above average and IYT only on track to do 13% of average

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