Here Goes our Fourth Successful SPX Bull Flag Since November
Wed, Mar 15, 3:11 PM ET, by Corey Rosenbloom
If you’re keeping track, the market is poised to complete its fourth successful Bull Flag Retracement since reversing higher in November 2016.
While it’s an impressive feat, it’s our job to make it profitable as price continues the bullish pathway.
Here’s the pattern and potential pathway to more profits as the uptrend continues:
Since November, price touched the rising 200 day SMA and buyers intervened aggressively, reversing the mid-year weakness into late-year impressive strength.
From then, three small pullbacks or retracements – tiny Bull Flags – set-up and triggered.
We generally buy on a retracement to the rising 20 day EMA in a strong uptrend.
For a more detailed method of how we do this, check out our “Perfect Pullback” strategy series.
The minimum (smallest) target is a retest of the prior high and the goal is often to hold as long as possible, exiting when price breaks under a rising trendline during the rally.
We’re seeing price for a fourth time – this time on a deeper retracement from 2,400 – rally “up away from” the rising 20 day EMA near 2,355 “toward” the 2,400 level or higher.
That’s been our plan for members (join us to take advantage of detailed strategies like this as they develop in real-time) and so far the market is “repeating the past” with a successful rally through the bullish pathway.
Profits from the strong uptrend abound!
Follow along with members of the Afraid to Trade Premium Membership for real-time updates and additional trade planning.
Corey Rosenbloom, CMT
Afraid to Trade.com
Follow Corey on Twitter: http://twitter.com/afraidtotrade
Corey's book The Complete Trading Course (Wiley Finance) is now available along with the newly released Profiting from the Life Cycle of a Stock Trend presentation (also from Wiley).”
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