Thursday, December 4, 2008

"Seeing" the math of the trade...

So, we had an 850 target from the earlier bear flag...

It broke and now we went from 866.5 to 856.5 and are basing here while the real short time frame waves go up on the 1,2, & 5 minute time frames - the small waves. Well, that move was 10 points... subtract 10 points from the most recent peak at 860 and you wind right back at 850!!! That's seeing the MATH, and I LOVE seeing trades work like that. It gives me the confidence to hang to my target! Trade profitable, now I move my stop down and will not let it get back above the most recent flag - profit locked!