OK, so yesterday's pivot high retracement turned out to be a BUY signal. . . . Hey! . . .it's a learning process. Once again the 5 minute 10/20 MA provided good entry and exit signals. My problem (just one of many) is that I failed to noticed yesterday's 10/20 cross in the last 20 minutes, which has been proven to be a good follow through pattern for much of the last 2 months.
Yesterday's price action had led me to expect a continued decline today, and the danger of having a preconceived market bias is that it tends to hamper your brain's ability to say, "Ooops, that's wrong, now let's go the other way."
By the time I washed the cobwebs out of my mind, the Qs were coming off the 10:00 lows and with the 10/20 cross on the 2 minute bars at 10:18 and the NYAD now upslope, I went long at 45.14. I followed the 10/20 up to 11:22, where we got a pendant formation for the next 3 bars and with the NYAD now pulling back I bailed out 11:28 at 45.64 in anticipation of further decline.
As in other recent trades, my exit proved to be premature, but I consider the trade a success as capturing the high and low of an intraday cycle is very difficult, at best. In hindsight I should have closed 1/2 the position and let the remainder ride until the 2 minute 10/20 cross.
There's always a next time.
Today's trade recap:
Time in trade: 70 minutes
Gain: .50
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