FOLLOW THE 50CB BO TO RESISTANCE 3/28/14

Trading discussions have covered the 50CB, resistance levels, and targets for the buyer/seller at the +8 to +10 return on their trade.  Today, we had it all play out nice and neat.

The early 50CB break out ran to resistance.  Price was above the 20EMA and the 50CB upper trend line.  This is used to gauge the strength of the run and a focal point to look for exits.  It also servers as part of the planning for a reversal trade when a new direction develops in the market.

The second part of the decision process was the signs of resistance: buyer taking exit and bears entering the market. These entries are expected to produce a +8 to +10 return for the risk .

Have a plan and execute your trade.  Let the market work for you.