The market gaped up big this morning to 65.60 and immediately set the low of 65.51 before exploding to the upside taking out the last bit of resistance near by at 65.75 and finally setting the high of the day at 11 am @ 66.34. The Q’s triggered a 15 minute buy at noon but could not take out the high of the day and price finally headed lower @ 2:30 pm EST. Price found support at the old level of resistance near the 65.75 area and closed at 66.10. My first play was actually a short near the 10 am reversal time with hopes that the market would also pull in a little as well. I found TEVA on my daily climatic sell list because it had seven straight days of buying, The first entry short I missed and actually that was the best entry and I would have been fine all day long. I took the a 2nd entry that appeared off the 1 minute chart at the declining 20 ma and just after TEVA had consolidated and was setting up to go lower. The play triggered but price could not take out the low and I was soon stopped out of the play. Price flurried up to the declining 20 ma on the 5 minute chart putting in a topping tail. Again I entered below the topping tail bar and I soon found myself stopped out again. I was done at this point since the market was continuing higher. Well the bar that took me out collapsed into anther topping tail and price took off lower and never took out the high of that bar the rest of the day. TEVA sold off hard the rest of the day, if I would have taken the break of the first 5 minute bar with a stop over the high, it would have been a beautiful thing. Here is the chart for my play in TEVA…
teva