March 14, 2005: Thiesta

After close analysis:

This was an easy day to trade. Traded short side then recognized Thiesta pattern and went long. Considering the tight range, it was an excellent day! I don't buy into late day reversals like this one (they call it 'technical bounce'? who knows!). Market has to show me follow-thru tomorrow morning otherwise I'll be taking the short side. Ok, so I'm playing around w/posting some thumbnails... lemme see if this looks nice...

Observation(s) of the day: Mini-Thiesta pattern on Addq and Add confirmed by Semis.

Market breadth opened higher than previous day and after some morning cnsld b/o, Addq and Add based and reversed to the upside. Vold was much stronger as well for most of the day. All 3 closed w/+ve xover.

Futures consolidated in the morning and broke down of triangles or channels, then based and reversed to the upside. AB had a beautiful triangle b/o then reversed to the upside and is bumping against the 9day-ema in addition to multi-day apex which is strong resistance! NQ was much stronger today and looked like a dbl bottom. Amazing ES200R along w/other futs are at their emas.

Indices were a good clue for a reversal today since SMH/SOX had a triangle but didn't breakdown. Dow had a mini Thiesta as well and is below its ema.

Overall positive day!


Mini_Thiesta (repeating pattern): triangle b/o, base, reverse