Afternoon,

I was not expecting the market to do much today as we were approaching a 3 day weekend in the US. Boy, was I wrong. There were 5 valid set-ups in the first 2 hours.

First, there was a trend line break followed by a trader’s trick set-up at 8:48 am CST with a short entry at 727.00. That was followed  by abobber set-up at 9:33 am CST with another short entry of 721.60. The market went down and stopped at the 161% fib area as measured from the TS pivot at point 1 at 8:54 am CST to point 2 at 8:39 an CST. The next bar after touching that area was an inside vertical bar (IVB). The time was 9:42 am CST with a long entry of 719.80. Another IVBhappened at 10:27 am CST with a short entry of 721.20. Resistance was a double top and the R1 area. Price dropped off nicely and another IVB formed at a double bottom with an entry time of 10:36 am CST and an long entry price of 719.90. All trades made their objective. Here is the chart for trades 1, 2, 3, 4 and 5

Trades 1, 2, 3, 4, and 5

Click on chart to enlarge.

The last trade of the day was a trend line break followed by a trader’s trick set up. Entry was right below the 56 EMA at 12:30 pm CST with a long entry of 722.80. Even thought the 56 EMA was right above the entry, price has pulled back to the trend line that was just broken. Many of you that have been reading my blog know that is one of the expections that I have for entering a long trade below the 56 EMA. The trade was up 1.60 points. The stop was moved to break even and the trade broke even. Here is the chart for trade 6.

Trade 6

Click on chart to enlarge. 

OK, for a day that I was expecting to be slow, there were some very nice set-ups. There were 6 valid set-ups with 5 winning trades and 1 break-even trade for a net profit of $1,000, ignoring slippage and commissions.

Have a safe and happy memorial day.

Best regards,

Ron

This is not a solicitation to buy or sell. 
There is a risk in any investment.