BBA - 120105; 15-minute chart at 2005-12-04 19:51:27
1.) What did I see? A gap down and wide range first bar. The second bar is a narrow range, inside bar and forms a nice hammer (and, stays above the 50% mark of the first bar - a bullish sign). 2.) What is the entry? A break of the second bar high. 3.) What is the exit? The target was the retracement zone from the previous day's high to the opening range low; it was hit three bars after the entry.
Notes - this was a very low price stock with an entry on a narrow-range bar that allowed a good-sized position; the total move returned just over 8%.
