But Vervoort’s system—a combination of a slow stochastic oscillator, a 10-period RSI, and a proprietary “end-of-trend” signal—flashed .
He placed a conditional order: short SPY at $478, stop at $484, target $462. But Vervoort’s system—a combination of a slow stochastic
One evening, watching the S&P 500 hover at an all-time high, Martin’s new system triggered a on SPY. The stochastic had diverged bearishly for three weeks. Volume was drying up. The stochastic had diverged bearishly for three weeks
Martin had been trading for six years, but he still felt like he was gambling. He’d ride a stock up 15%, only to watch it give back 20% the next week. His screen was a Jackson Pollock of green and red candles. Fear was his co-pilot; greed, his navigator. He’d ride a stock up 15%, only to
His wife asked, “Aren’t you nervous?”
He had learned, at last, to trap it.
He stared at the screen. He hadn’t predicted the drop. He had simply built a cage for it—a profit capture zone based on historical volatility and Fibonacci extensions of the prior swing low.