'Trading is a process of observing the market's action until such a time you can find and form trading ideas and get involved.'**

Wednesday, December 22, 2010

Observe & Trade




Showing these two similar charts from DJ-30 and DIA which is identical to e-mini YM.

YM is the only clear tradeable I can see from the e-minis today.

It has a nice consolidation above the ascending 20MA.

And also it's way above the previous close.

If you are looking for a breakout, this is the one.

And this can be exited from the R1.