April 18, 2006: TD

Not just any kind of TD...a monsterous one if I may add. The market was surely on fire today and there were plenty of trade setups for the taking on the long side. I was skeptical of yesterday's downmove to have a follow through because VOLD didn't support it. Today, Dow fulfilled its 'W' pattern then some more (after FOMC minutes, thanks gurl :) ) and breached two resistance levels with an anticipated equal leg move around 11320. Let's look at an interesting and very reliable pattern which is the 'arc' as highlighted on NQ chart. I spotted it real-time as it was developing and marked on the chart the 2 arcs converging before final parabolic movement. Very easy pattern to spot and play.

Since the 'oh so critical' level 11240 was taken out which is also the 'diamond' b/o level, I'd like to see cnsld just above this level before resumption of upward movement to prove it's for real...

For commodities and currencies, I took the HS pattern b/o on euro, also the dbl humper on notes, as highlighted on the charts. As for gold, I took the pullback (was expecting more though) for a short below the ma. I did miss the long setup though in the latter part of the session but I was very tired at this point. The game plan is to trade simple patterns on those 3.