Sunday, September 4, 2011

Trading Plan: Two Types of Top Building



Market Tops with Huge Sell Offs happen if no one wants to buy anymore, this is clearly visible:

a) If the price moves down and goes only back up to the 50% level of the downmove and then breaks down again (close below 5 min bar)

b)At a double top scenario there are clearly more people that sell at downloading bars (Volume Spread Analysis Red bars, as you can see on the Crude Oil Screenshot)

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