Chart patterns [1]work the same on an intraday basis as they do on a daily chart. Today I was watching GRMN, which had been weak all day and was nearing the lows of the day. I actually was waiting for a breakdown to short sell [2] the stock, but once the lows held, I noticed a familiar pattern – the triple bottom pattern [3]. Immediately I bought the stock and set my stop loss for the low of the day. Momentum began to build as the shorts started to get squeezed, and I had quite a nice winner on my screen. While I didn’t catch the entire move up, I did catch a big piece of the move and it was great for my P&L.
[4] Triple bottom patterns aren’t just found on daily charts – they can also be found and traded on an intraday basis.Be sure to apply well-known chart patterns [1]to your day trading [5] as well as your swing trading [6]. Being a flexible trader with a willingness to change directions when your original thesis is proven wrong can pay off very nicely!
Jeff White
President, The Stock Bandit, Inc.
www.TheStockBandit.com [6]