Sunday, May 6, 2012

Trading Plan: Inside or Outside Gap Fill, Atr Trailing, Impulsive Moves and 10 min chart

If you plan to go long the S+P because of a gap fill consider looking at a stronger market (dow or NQ) especially if they just have an inside and not like the S+P and outside gap, as the inside gaps get filled faster:



Its wise to compare how the atrtrailing indicator is on other markets to avoid getting stopped out on minor pullbacks:


Its better to trade impulsive moves rather than corrective ones:


To identify the stronger market its valid to look at the 10 min chart, if there is a clear AB correction on the 10 min chart chances are higher the setup on the lower time frame (3 or 2 min chart) will work better:





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