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Matt
A Doji Sandwich is comprised of three bars: an up-bar, a conventional doji,
and a down-bar. The S&P gapped down and then immediately started to trade
up. A DS was thus impossible, but if it had then at least become a down
bar, there would have been some validity.
A good example of this pattern was seen today on the T-Bonds. My 34 minute
chart came up with a classic, to confirm on the 5 min chart a nice little
wedge to get short, for what turned out to be the rest of the day and 20
ticks in the bag. Once you are short like this, all you have to do is
measure the retracements, watch the res/sup lines and away you go, in good
tape reading fashion! If the bonds goes on in like fashion for the rest of
this week, we could yet see a flat bottomed wedge on the 400 min chart, to
give us a classic sell signal. While I am strictly a day trader, a signal
like that on the longer term time frame would probably merit a punt at a put
or two (a la Ben and his 90 puts, which he has already taken out, for
different reasons).
I am sending this on to RT, as some others may have had the same question in
their mind and appreciate the answer!
Hope this helps
Bill Eykyn
www.t-bondtrader.com
"Learn to read the tape"
----- Original Message -----
From: <itradesp@xxxxxxxxxxxx>
To: "t-bondtrader" <t-bondtrader@xxxxxxxxxxxxx>
Sent: Monday, March 13, 2000 6:12 PM
Subject: Re: Gif File for Doji Sandwich on the S&P
> so where would the SP have to close below to complete this doji sandwich??
>
> Matt
>
>
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