Wednesday, October 10, 2012

TQQQ Add area


This was nearly the perfect place to add TQQQ.
 This very strong leading positive divergence is only part of the story, it's where it falls.

After a move down, this descending triangle is a consolidation/continuation pattern for Technical Traders, note the volume surge as well as many traders run volume surge scans, it would have pulled their attention right to this bearish (according to TA) price pattern, they expected it to break to the downside. This breakout to the upside is what you call a head fake move, that's why the leading positive divergence during the hour the price pattern formed is more meaningful.

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