TRADE D
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                       TRADE D Starts with Day 1
                       DAY 1 5 BAR move down from Day 11 – S2 top.  This  isa huge reversal of the 5 bar downside move from the Day  11  high  on  lightvolume. It was due to an upside earnings  surprise.  It  closed  at  98  3/4versus Day 11 high of 98 3/16.                       DAY 2 the Generals came for  stock  again  on  a  BP1pattern. The low was 3/4  of  a  point  above  Day  1  high.  There  was  noinflection point entry unless you entered off a 5-min chart pattern.  Volumewas big at 1,026,400 shares.                       After this second WRB move up NXLK  consolidated  forthree Days 3,4 and 5 in another dynamite triangle or some would  call  it  aFLAG. Who cares what the name is, we  are  ready  to  enter  above  high  ofsecond inside Day 5.                       DAY 6 Good entry  above  inside  Day  5  high  as  ittrades and closes at a new high of 108.                       DAY 7 Good entry 1/8 above Day 6 high  makes  anothernew all time high of 115 3/8 but on only 477,800 shares. Give  me  a  break,the stock is up 7 3/8 points from Day 6 close  of  108.  Great  end  of  themonth move isn’t it? You are aware Day 7 is July 30.  These  are  the  movesall traders dream about.                       DAY 8 August 2nd, first day of the new month. What  asurprise. NXLK opens at 112 - trades down  to  a  low  of  102  1/8,  beforeclosing in bottom of range at 104 7/16. This big move down on  only  357,100shares. No more mark up buyers, but this WRB expansion move to the  downsidein price shook the tree.                       DAY 9 Panic City, stock opens at 104 7/8  and  tradesdown to 85 3/8 on 1,894,600 shares than closes at  87  7/8.  Home  Run.  TheGenerals couldn’t get to the exits fast  enough  and  no  market  makers  insight. This was a pull back entry and break back below Day 8 low.                       DAY 10 opens at 90 7/8 trades below  entry  point  of85 1/4 the prior day’s low and a key inflection point.  It  trades  down  tolow of 80 and closes at 82 on volume of 2,036,000 shares, which  means  morepanic. Closes below 50 EMA.
                                           Note: Day  8  had  broken  an  S3swing point trendline from Day 1 to the S3 point on Day 6. If  you  were  inthis stock, short entry on the  downside  crossing  of  this  trendline  wasprofitable.
                       DAY 11 Good entry below Day 10 low  of  80  and  NXLKtrades to a low of 76 3/8 on more big volume by the  Generals  of  1,658,500shares.
                                           Note: After Day 11  volume  driedup as the sellers backed away. The stock consolidated                                           before starting a  weak  up  moverelative to volume.
                       REVIEW NXLK
                       WRB’s, BP’s 1  –  4,  dynamite  triangles  or  flags,pullbacks to the 50-DAY EMA,  Outside  Reversal  Days  on  good  volume  andmomentum crack and panic on Wide range reversal bars.                        Also,  you  saw  the  action  at  the  swing   pointtrendline breaks. Any  combination  of  S2  or  S3  points  will  form  yourtrendline. The strongpoint is the S3 to S3 TL as in  trades  B  and  C.  Youdraw the trendline (TL) from right to left  as  that  is  the  most  currentdata. That is why my S3 TL isn’t straight as it would be if I drew  it  fromDay 18.                       I hope this example brings some life to your  thoughtprocess and to what you see on the chart. You can take these  examples  downto the 5-min chart level.