Daily Recap 11-13-2013 It’s a Jump to the left and then a step to the right

Daily Recap: Today reminded me of the Time Warp song from the Rocky Horror Picture Show, It’s a jump to the left and then a step to the right, or the SPY version today of a gap down and then a rally up.

The 60 min reversal was triggered at the open with the gap down but was soon closed with a loss as SPY rallied . I checked the system statistics and since April I had only 3 losing 60 min reversal trades including today (unbelievable, I know) and 2 of them were when the reversal gap (the distance from the trend line) was near its limit, so I am going to decrease the allowed reversal gap, and hopefully this will eliminate some future losing trades.

The gap down touched the 120 min trend line and reversed creating a perfect 120 min reversal long trade which is still open. I expect to see some kind of retrace tomorrow and its size will determine if we exit the 120 long trade. The retrace may come close to the 60 min trend line setting a 60 min reversal trade too. Of course I may be wrong and we will gap up tomorrow on to more profit.

Battle Plan for the 11/14/2013

120 min reversal Long stop loss under 176.71

2013-11-13-End of day

* Stop loss lines should be triggered if there is an interval close above them (i.e. 60 min or 120 min ), they are published in the daily blog and updated during trading hours on twitter.

* Take profit lines should be triggered immediately when crossed, they are usually issued during the trading day on twitter.

* Entry signals should be triggered when crossed, but take into account that until there is a confirmation (i.e. close of the interval across the entry signal) , the signal can become a reversal signal.

For FREE updates in real time follow me on Twitter

To comment or post your own signals join me on Facebook 

Join Us on FaceBookFollow For FREE