Saturday, October 29, 2011

Trading Plan: Box Breakout, Predicting Trend Continuation or Reversals Entry Levels

Comparing the 3 screenshots (NQ, ES and FDAX) its pretty clear that FDAX has the best reversal chance followed by ES followed by NQ, because when the price touched the 45 degree up trendline for the 3th time the price jumped up unlike on the nasdaq where the trendline got broken or on the S&P where the trendline was not at a 45 degree up angle but still ES was also profitable:



Basically after at prior day high or at the daily targets the long trend can reverse
if it breaks below the last 30 min bar.

Trend Continuation happens if price bounces of a trendline (an up trendline requires a higher low)

Box Breakout happen if price trades for hours up and down




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