MSFT intraday, nice double top there. I watched how it was a short opportunity there as the 5 min bar traded lower than the one before at 5 to 11am. that top bar had tails, and was right up there at the prior high at 10 am bar and 10:05 am bar. Some considerations for me were 1. the market is strong today, 2. i'd rather not short on a strong day and the 20 ma on the 5 is right under my short area so possible support 3. for me, i was already ahead, so why take more risk in the opposite direction. so then the next down bar is narrow at the potential support of the 20 ma there at 11:05, maybe setting up for continued upside going into reversal period? but then breaks down thru it and also down past prior lows between 10 and 11 am. another short opportunity. But also, MSFT has been hot, another thing holding me from kinda high risk short. but surprisingly, you get a full point down, and what's nice if you were short there, no bars even traded at or near prior bar's range! then you have a really nice doji at the bottom with bottom tails and you get one bar trading over that and there's your cover. at about 11:30 am.
The other choice, that I have been taking lately is if MSfT is breaking in a particular direction see if QQQ is still in synch with it. MSFT is 10% of QQQ and often leads it around like a dog on a leash. I usually also look at INTC CSCO ORCL and QCOM together with MSFT is up to 26.94 % of the QQQ so if they also begin to move like MSFT and you have a setup on QQQ too, decent indication. and more importantly for a learner like me, less volatile than any one component or other stock.
Am I upset that I didn't do it? No, not at all. But I am sure interested in it. It's fun to watch especially after being up for the day. also, it was lunch time, a little less predictable. Anyone like to add to this? am i mising some important points? Analysis from anyone is welcome.
AI
