A trend day that wasn't

It looked like we were going to have another trend day today. I wrote to Corey at Afraid to Trade and lamented that I wasn't playing for a trend day even though the market was having one. He wrote me back and said that he highly doubted that we would end higher--there was just too much against another trend day. He ended the e-mail with, "Got some major confluence overhead that could stop this rally any second now."

As soon as I got his response (about 1:45 EST) the market began its tumble down. That guy knows his stuff.

Despite the day ending lower, there were still opportunities out there for nimble traders. I highlighted the flag patterns that occurred today and met their targets. I also played for a gap fill today. I managed 1R before heading back to break-even.