Intraday Trend Spike

К оглавлению1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 
17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 
34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 
51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 
68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 
85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 
102 103 104 105 106 107 108 109 110 111 112 113 114 115 116 117 118 
119 120 121 122 123 124 125 126 127 

This occurs when you have an explosive bullish move. It appears to

work best when the momentum begins after the open and continues

for an hour or more. The last three or four 5-minute bars show large

intraday high-low range. At point A in Figure 5.17, the price has moved several dollars and statistically should retrace 30 percent, or

the time distance of three 5-minute bars—in this case, to the low of

the price bar marked 10 minutes. When using this technique, it is a

good idea to know the average price range for the stock on bullish

days. At point A, look for the market to begin showing signs of weakness.

While you still have an uptick, short the stock. Figure 5.17 gives

you a visual image of what an intraday trend spike trend looks like.

Knowing the stock's personality is important, and this comes with

time and experience. You will see this pattern over and over again.

This occurs when you have an explosive bullish move. It appears to

work best when the momentum begins after the open and continues

for an hour or more. The last three or four 5-minute bars show large

intraday high-low range. At point A in Figure 5.17, the price has moved several dollars and statistically should retrace 30 percent, or

the time distance of three 5-minute bars—in this case, to the low of

the price bar marked 10 minutes. When using this technique, it is a

good idea to know the average price range for the stock on bullish

days. At point A, look for the market to begin showing signs of weakness.

While you still have an uptick, short the stock. Figure 5.17 gives

you a visual image of what an intraday trend spike trend looks like.

Knowing the stock's personality is important, and this comes with

time and experience. You will see this pattern over and over again.