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Finally the cuddly bear appears…

I have a confession to make: I did not managed to do any dry swimming at all this Chinese New Year In fact, never came close to touching the mah jong set at all. While the wife and kids are enjoying themselves, I have been spending late nights cracking my head to find some additional strategy and I found some. It looks good but I need more testing before I can release it. That’s why I have not been posting much charts but I have been watching it closely now and then.

Today we finally have the confirmation of profit taking. If anyone have short position, do take note that to short now is counter-trend, which means there is a higher risk. But to short now is better than to long as the prices from last week is extremely overbought and a lot of counter is on or outside the upper bollinger band (which means that price is at extreme high ready for pull back). Once price touches the 20 day moving average or maybe the Fibonacci 38.2% retracement, then we start to look for long position. As of now, this is just a profit taking pullback. Can it be worse than that? It is possible, but don’t bet on it first. Take it once step at a time. If you are not comfortable shorting, then wait once this overbought pressure is less and get ready to look for long position. By this I mean, don’t ask me tomorrow morning is it time to enter, or tomorrow afternoon time to enter…

Wait means can be a few days as you are looking at daily candles.

Oh, by the way, there will be no webinar this Thursday 10:00am. I got some emails stating that they are having some withdrawal syndrome of not having the webinar, but the good news is that it will be back to normal schedule next week. In the meantime, find some excuses to participate in the gambling den session. Oh another thing too: Risk $0.50 reward $10mil is this Friday…

 




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