This content is restricted to CTU members
Today we look at SPY on the 5 minute chart. There is a relatively clear ascending triangle which can also be viewed as a launch pad. A launch pad (launchpad) is just a very in-your-face level of resistance. Clay provides a T chart listing positives for the bull case or the bear case. There is an overwhelming amount of data points for the bulls case so we create a long trade plan. After we set up our trade plans, we scroll the chart. After a brief glimpse of hope, the trade does not work out and pulls back. However, it does a horseshoe and goes back to break even but all that does is reinforce awful habits. The one time it doesn’t horseshoe, you may end up without a trading account.