ESRX - 112905; 15-minute chart at 2005-12-04 19:51:27
Great trade.
1.) What did I see? A gap up with the first seven bars "bouncing" around the opening range high set by the first bar. The eighth bar caught my attention as it pushed above the OR high for the second time and closed strong. The ninth bar was a narrow range, inside bar - although it was weak, it still closed above the OR high (bullish sign). The tenth bar was a narrow range (NR3), inside bar that bounced off the OR high and closed strong. 2.) What is the entry? A break of the tenth bar high. 3.) What is the exit? 1/2 closed after $1 gain. The other 1/2 was closed at the Fibonacci extension of the previous day's low to the opening range high.
