Stock Trading Opportunities
Friday, August 17th, 2007I think what’s funny here is that I picked the S&P 500 Index which end up being the strongest index of them all, as it didn’t give us a pullback to the previous resistance levels, 50% retracement on the Fibonacci’s. But if you look at the NASDAQ for instance, if I would think that you can see down here at the levels of the resistance. Here is the Fibonacci from the low to the high retracement of 50%, and exactly on the nose today on the low the day rally it set up a hammer candlestick chart pattern.
This is a good short-term reversal stock trading pattern. If you could buy the continuation stock trading pattern the next trading day, you can make some money in the stock market. I’m showing this to you guys to see if you understand what happens on a down day. On the intraday chart, you can see how the stock market rallied up nicely at the end of the trading day.
This is an intraday charts that shows the rally. This is a one-day chart featuring 5-minute candlesticks. You can see how the stock market had a lower low amid official rally attempt. So within these two levels here, and based on an intraday chart you see so it’s a exactly the level that we could expect stock market reversal, so we want to see is a higher highs and higher lows. We have lower lows, and another set of lower lows. With a stop-loss order below the day’s low there is very minimal risk in this case, especially, if you look for the market to go up, and to go back to the top of the trading channel which is a great stock trading opportunity.