yeah, the fearless leader I followed started screaming the thursday/friday before the take off to close any puts/shorts and go whole hog long... you ever draw the nyse 30 year trendline? right on the mark. We didn't know which sectors to go into, so it was double leverged ETFs and calls on the big indexes and financials, crazy. we cut out to early though, expecting a turnaround. Most of the calls went up well over 1000%, and he cut them at 100% - he's the king of TA, and looking back, the previous rally 9 years ago or whatever that fell on the trendline went about as high as this last one did to the point of the first consolidaion... shoulda known better. I was so unsure of things back then, cause I was long a few things I shouldn't have been, that I didn't place most of the trades, because half of them I had to get in the day the market rallyed, and I thought I was too late, lol. Cost me a fortune. Oh well, live and learn - 12-15 years from now, I'll be ready, lol.
This is a descending triangle, so more often, it is bearish, not bullish, so there may not be a breakout, we'll see - it differs from a pennant, cause its longer in duration, and the rules are different.
Here's an explanation - he plots the target a little different. The white and black books aren't bad... see if you can get one at the library.
http://thepatternsite.com/dt.html
Dave, on your "measure here" line, how do you locate that? About half way down the triangle? So right now a breakout would be anything above 6?
Last edited by thetree; 08-07-2009 at 06:40 AM.
hey, ok, for no reason SARO went up yesterday... and then they got a PR today... do people know when PR's are coming? i'd assume like a handful of pple would know, and they tell their friends and they tell their friends etc?
i doubt it could hit 18 today, but if it does think i should exit at 18 (50$ gain) and try to reentry at 10 before the PR on or around the 17th?
bass, i jumped in heavy on spng yesterday. it creeped down to the two gaps i saw and they both filled yesterday. The last gap is at around .08 and i don't see that one coming back. When i put in my order it only partially filled, then i moved it up and the rest filled, after that the price jumped back to .147. Its ready to move, i grabbed the last of what was on the board at this level
i practiced with spng's chart and the accumulation is upward like you saw to me also.