lowtrade

[lowtrade]

S&P up date chart - Here's a perfect example of trading the most recent short term pattern over the mid or long term patterns and how those patterns can morph into tradable swing trades.

The first mid term "V" bottoms failed to continue past throw back high, after target. But the short term symmetrical triangle did reach target. The second "V" bottom failed all together. But watch the shorter term symmetrical triangle.

Eventually as the long term wedge works it's way tighter, one should keep an eye on what short term pattern forms, when tight (ready to break). If it's any thing other then a continuation pattern, bet on a real long term correction. As the long term rising wedge is a dark omen lurking on all markets now. But can be saved if a positive sentiment, short term pattern shows it's head.

This is how to evaluate mid/long vs. short term chart patterns on big board stocks. Expect mid & long, but trade short. As chart pattern can & do morph as retail sentiment changes.

Yep, I'm still confident the S&P will break 1890 top resistance, even with the damn flux lately. And it's the most recent short term patterns which cause this projection.

Charting is in the eye of the chartist. One could call the symt triangle (pennants) with much larger projected target. I'm low risk. and trade the most recent pattern first. So once the symt triangle target is hit. I would look for re-entry on the pennant pattern target. Get the idea?