dont short the hole thursday

Well you can do whatever you want.... LOL!


The stuff that I spraff about most when i get serious is trading via theMACD and its signals.

the "system" I have developed goes thusly.

Observe the current trend

Note any divergence between Price and the MACD Histograms... if found look for divergence between price and the MACD moving averages.. specifically higher highs on price with lower highs on MACD mavs for impending downside and Lower lows on price and higher lows on the MACD mavs.

It is important that the MACD MAVS be at extremes... away from the zero line whilst this is occurring.

If found observe how price is reacting to the 21 period Moving average.

In the ideal situation two hits and failure to hold above or below the moving average will have occurred

Watch for a third hit of the 21 period moving average and if there is a pierce and hold above/below of price for one bar take a position in the direction of the pierce and hold.

Please consider the following 10 minute chart from overnight action in the SPI/IG equivalent:




we have divergence on the MACD histograms as they incline whilst price declines
We have divergence on the MACD MAVs as they incline whilst price declines.

Price is moving towards the 21 Period moving average for the third time BUT HAS NOT YET PIERCED (final signal to go long on this time span has not yet occurred)

As such I would suggest that upside short term, with the marked target Red dotted cross hairs... may be the go.

;)