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

Tuesday, December 28, 2010

Observe & Trade


A shallow cup and handle formed on SPY (ES, e-mini).

In-between the pivot and the previous close, it plays a zigzag mode after it drops from the open.

From there, it stays idle in the form of rectangular S/R level.

At around 12:00 noon to 1:00 pm., it consolidates on small bars above the 20MA.

Confirming a buy trade!

That's showing the technical trading 102.