Monthly Archives: April 2011

Price Action Lab Quiz – Win a book

Posted on April 29, 2011 by Michael Harris

All answers must be submitted by Sunday, May 1, 2011 at midnight EST by email to: blog – AT – priceactionlab.com. Prize: a copy of the book “Stock Trading Techniques Based on Price Patterns“, by Michael Harris (currently out of … Continue reading →

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Could a Small Gap in SPY Trigger a Short Term Correction?

Posted on April 28, 2011 by Michael Harris

A 5 cent gap was left behind in SPY at the open of Tuesday, April 25, 2011. It is definitively a small gap, as it is shown on the daily chart below. Could this small gap trigger a short term correction? Have … Continue reading →

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S&P 500 Index: Full Steam Ahead Towards the 1,400 Level

Posted on April 27, 2011 by Michael Harris

In a February 15, 2011 post I gave a subjective probability measure for the S&P 500 reaching the 1,400 level before retracing to the 1,200 level. Since then the index dropped to a low of 1,249 but then rallied almost 100 points to close … Continue reading →

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The State of ETFs – April 25, 2011 – The Week Ahead

Posted on April 23, 2011 by Michael Harris

As of the close of Thursday, April 21, 2011, there are 5 changes in the ETF trend state table in relation to previous week’s close. All tracked ETFs are on a short-term uptrend, one is severely overbought and one is close to entering overbought territory:

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Price Action Lab 3-Day Easter Sale

Posted on April 23, 2011 by Michael Harris

Price Action Lab Special Easter Sale: Click here for details and to place your order

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Two Variations of an Inside Day Pattern in SPY

Posted on April 20, 2011 by Michael Harris

As of the close of Tuesday, April 19, 2011, an inside day pattern formed in SPY daily chart.  An inside day formation occurs when the range of a bar falls within the range of the previous bar. The inside day pattern … Continue reading →

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What Every Trader Should Know About the Win Rate, Profit Factor and Payoff Ratio

Posted on April 18, 2011 by Michael Harris

Every trader should be aware that there is a formula that relates the win rate of a trading system, also known as percent profitability to some old-timers like me, to its profit factor and average win to average loss ratio, also known … Continue reading →

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The State of ETFs – April 18, 2011 – The Week Ahead

Posted on April 16, 2011 by Michael Harris

Both ETFs that I have marked as overbought in last week’s report,  DBC and USO, corrected immediately starting last Monday and are now moving sideways short-term. As of the close of Friday, April 15, 2011, there are only 4 changes in the ETF trend … Continue reading →

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Another Down Day for the Market?

Posted on April 15, 2011 by Michael Harris

Most stock market indices found support at their 30-day simple moving average on Thursday, April 14, 2011. This was also true for several ETFs, including DIA and QQQQ.

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An SPY pattern of 5 consecutive lower closes

Posted on April 14, 2011 by Michael Harris

The SPY daily chart below shows a pattern of 5 consecutive lower closes formed as of the close of yesterday, Wednesday, April 13, 2011, with the close of April 6, 2011 taken as the base, as indicated by the blue vertical line:

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