FIGURE 11
Figure 11 shows the market just after our Cash In stop has been hit. The market is continuing to follow the inverted forecast. The forecast shows approximately a three point drop, then a congestion period lasting into the close. At this point the risk of a trade has increased significantly. If a short is elected on a sell stop placed just under the market, the trader must be alert to cash it in quickly, expecting the market to congest into the close. A suitable tactic would be to place a sell stop at 963.3.
