12 Jul DOW 15 Minute Breakout for Long Entry
Ok, so updates have been so few and far between that I’m searching for anything that I can talk about!
The quality of trading set-ups has been pretty poor, and those that look good technically have had major fundamental overhangs that put me off the trade. For example, I’d been lining up a USD:JPY short ready for today and all of a sudden there are Market rumours of BOJ intervention at any time. If you’re comfortable sleeping at night with that on your mind then USD:JPY may offer a great swing short, but for me I’ll day trade it and only run it as a swing if I can get stops to breakeven on the day.
However, today I noticed a nice set-up on DOW, it’s not necessarily a swing set-up but if it plays out it could turn into one. In fact, based on the naked price pattern I’m not fully convinced it will play out, but technically all the indicators are suggesting the possibility of a leg up that could deliver 100 to 200 points or more.
All time frames offer something in support of the trade, albeit the main trend is down and that weighs strongly against such a trade. Nonetheless, this chart of the 15 minute time frame offers a fair view of what I’ve been watching and why I’ve bought this particular break-out.
Entry is from 12,560 and for now, stop loss is on a 5 minute close below today’s low:
As it’s a relatively short time frame where indicators can change quickly, I’ll leave a comment beneath this post if I decide to exit the trade in a hurry. The top of the projected channel would be an ideal first target, albeit somewhat optimistic this early into the trade.