DOW Intraday Channel Watch – 30th January 2012

DOW Intraday Channel Watch – 30th January 2012

Just a quick chart for the Day Traders amongst you to keep an eye on.

I currently have a day trade long position open in DOW and this chart shows both my initial upside target but more importantly a level that may warrant looking for short entries if resistance is comfirmed.

Not shown on the chart is the Fibonacci levels, so to confirm, this channel back test would combine with the 38.2% fib retrace from last Weeks high to today’s low. ┬áThe 38.2% fib retrace is not often known for being a powerful resistance level so we may see an over-shoot to the 50%.

2 Comments
  • RS2OOO
    Posted at 21:16h, 30 January

    I opted to hold on to this long whilst scalping short from the channel. In the event we saw a 30 point pull back from the hourly 200 MA which gave a few points on the scalp, whilst the long position remains intact and left to run overnight with a +10 pip stop. (Entry was at 12,592 and based on a 5 minute breakout strategy, a self modified intraday system which I’ve only just started playing with and originally devised from the Turtle Trading system).

    It must be noted however that we do have immediate overhead resistance at the current price (12,660) in the form of that channel back test, the intraday fib level and a convergence of MA’s on the hourly time frame.

  • RS2OOO
    Posted at 17:42h, 31 January

    This long trade was closed out on a trailing stop shortly after todays U.S open.

    A 33 point profit was taken, though earlier in the day it had been showing +145 points and I was very close to taking that…. wish I had now!