Many of the European Indices are entering a bear market (50sma<200sma).
Shorting is difficult this early in a trend because counter-trend rallies can be explosive and rip through your stops.
The TI indicator that Tone Vays uses is brilliant for finding these inflection points when these counter-trend rallies run out of steam.
The Ibex hit a 9 candle inflection and the next candle closed lower.
Potentially we'll go sideways early in the week (I don't like shorting on Mondays/Tuesdays) and after the 4 candle correction we head lower.
A sell order in this vicinity with a stop above the 9, and above the previous TDST line (orange line) as well as the 50 day moving average (how far above depends on your own risk tolerance) presents a good risk to reward ratio if you're targeting the next lows around 8,650.
Shorting is difficult this early in a trend because counter-trend rallies can be explosive and rip through your stops.
The TI indicator that Tone Vays uses is brilliant for finding these inflection points when these counter-trend rallies run out of steam.
The Ibex hit a 9 candle inflection and the next candle closed lower.
Potentially we'll go sideways early in the week (I don't like shorting on Mondays/Tuesdays) and after the 4 candle correction we head lower.
A sell order in this vicinity with a stop above the 9, and above the previous TDST line (orange line) as well as the 50 day moving average (how far above depends on your own risk tolerance) presents a good risk to reward ratio if you're targeting the next lows around 8,650.
Trade active:
Original stop in place, so fartrade in profit but momentum is slow.
Trade closed: target reached:
Closing half my position here, leaving 0.5R with a trailing stop.
Global equities had a big sell off this week and there should be a bounce coming through. Will see what the chart shows next week.
Global equities had a big sell off this week and there should be a bounce coming through. Will see what the chart shows next week.