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Re: dialedinc post# 11590

Tuesday, 12/22/2009 6:11:52 PM

Tuesday, December 22, 2009 6:11:52 PM

Post# of 72328
Often, with these types of market(s) I tend to follow two main principles: (1) support & resistance, & (2) volume or liquidity. With that being said, regardless of how the price moves I have a game plan ready.

For instance based on support & resistance I determine entries & exits, level(s) to add to an existing position & levels to take some off the table. Volume is typically the lifeline of these types of market(s) - when and if the volume begins to decline substantially, I ask myself whether or not the risk of not being able to liquidate is worth the potential reward.

Hope this answers you question to a degree.

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