Here's is the inverse of yesterday's Soggy Bottom pattern.
It displays the Qs upward momentum's inability to rise to the R1 pivot and reflects underlying weakness. In this case the 10:00 drop back to the PP pivot was accompanied by the release of consumer confidence numbers and as such has to be considered event driven.
This was a tough trade to enter as the 10:00 down bar dropped .17 in 2 minutes. Unless you had preset an entry for the low close of the previous squat bar formation (39.31) there was little opportunity to enter short until 39.24.
This turned out to be a quick trade as the Qs bounced off S1 at 10:18 and the MACD signal line turned up. I jumped the exit gun on this one as the parabolics had not fired a BUY yet, but I was nervous about holding on. My Schwab platform killed the NYAD live feed yesterday so I was kinda trading with one hand tied behind my back and was being extra cautious as a result.
Net time in trade 10:00 - 10:18 = 18 minutes
Net trade gain 39.29 - 39.06 = .23 for 18 minutes exposure