6/20/11 Afterhours Wave 2 pullback short: $60 profit, 12 ticks

We took a wave 2 pullback short. A few notes about why we entered the position.

1) Failure to set a new high / failure for buyers to support price and break the high.

2) Wave 1 breaker with conviction.

3) Upon pullback after wave 1 short signal, there was a failure to break the previous swing high.

4) Target was set at 2 ticks below previous swing, at 3 points.

Here is the chart that details the setup and entry / exit.

I will be posting system rules over the next few posts.