Once again, the emphasis on ‘mechanical’ set-ups and the two ideas that drive them: strong impulse legs followed by pullbacks from the sweet spot of C-D. One exception noted here concerns instances where C-D takes forever to achieve the sweet spot, then falls to the green line either suddenly or in ratcheting fashion. A bonus in this lesson is a no-brainer trade coming up in IWM, an ETF the tracks the Russell 2000.
