"Divergance in the making". When this happens, one looks for longs.
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One should try to buy as close as possible to the invalidation point. Also, this is your stoploss point. Which is quite nicely given.
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Indicator: Stochaistic(6,3,3) .Only "k" visible.
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You then look on a smaller TF for divergances, if you seen it happen, you're in.
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"Short" example.
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Long: As long as the stoch was above the previous low, and price below the previus price low, was a buy. One can wait for it to be over, then jump in.
Long: As long as the stoch was above the previous low, and price below the previus price low, was a buy. One can wait for it to be over, then jump in.
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