ETF SWING & DAY TRADING

[gloe]

"The 34 is the key. Between 14:00 and 14:30 the 3xPB was all red and the price was above the 34. Between 13:00 and 13:30 the 3xPB was all red and the price bounced off of the 34."

The reason I would not take those shorts, no matter what the 3xPB or the CCI said, was because (1) the price had previously broken below the 34 but got back above it. Telling me that the big boys don't want this to break down. Also, unlike the first short near the biginning of the day, the price was very close to the 34 ema at those points when the 3xPB turned red again. "Don't enter a new short with price very close above the 34 ema." Might as well wait to see if it would break. (2) Not only did the price recapture the 34, it recaptured the previous day's high (the horizontal green line on my chart.)

It's all about price support and resistance.