CELG is the only chart that I traded and it failed. CELG formed a base at $73 which was a daily PP, and before that it kept making higher lows. The area in color marks the mini-formation previous to the anticipated (and failed) BO. The interesting thing to note is how price consolidated and formed some bullish bars at the BO area. This ended up being a bull trap that took all the rookies like me. Price takes the $73 area a little bit later in the day without any hesitation. I am still studying this chart to understand the reasons for this failure, and the ones I can see so far are: very choppy session (which is a market broad mood nowadays) and the large number of offsetting bars throughout the session, which I interpret as buyers and sellers fighting for control and market indecision (another form of choppiness).
Next is a series of charts that highlight mini-patters that I am starting to notice. I am not sure where this study would take me, but I certainly find it useful to drill down into the 3min chart and observe the similarities of certain pattern formations.
XTO highlights roundish continuation patterns that mark periods of rest during the down trend.
SOLF highlights a triangular formation before a BO. Consolidation takes place at the upper right corner of the highlighted area with a few bullish bars before the BO.
PBR is one of my favorite charts here. It is also a triangular formation before a major drop. Interesting to note is how price travels from the upper left corner to the lower right corner of the highlighted area, and at the very bottom of the right corner it prints a few NRIBs. Additionally in this chart, the NRIBs are below the previous day low, which makes this setup even more powerful.
WB marks a roundish formation after a mini rally.
GG marks a roundish continuation pattern.
