'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, January 5, 2011

Trade Ideas


Showing this 10-min. chart from Russell 2000 (TF).

A huge decline from the previous trading day's surge.

A double top formation if I may conclude.

Notice that it drops further from the previous day's open.

A dramatic profit taking and lots of "shorters" took the opportunity.

Shorting at the open can give you a nice payday for a week?!