Inside technicals and chart patterns by 
I received some really good emails regarding the prior post regarding the swing trade and I thought I would share the gist of them here since a couple thoughtful points were brought up. Thanks for your feedback.
The first and I think most important point was that the trade, when it did finally trigger during the Asian session, represented a 21 pips risk at entry. The point of validity (stop loss) on swing trades is the opposite side of the RCI (aka Wave) plus five. In this case that price at entry was 109.61. Remember since the RCI is dynamic resistance in a downtrend, that price level can change.
I also liked many of the emails I received mentioned the fact that there was a second chance short entry at between 8:00 and 8:30am EST that morning. And that is correct!
The RCI/CCI short did not follow through immediately and offered a chance for selling that morning long before the swing short set up. While that has no direct bearing on the swing short getting stopped out, it does have a bearing on being able to capitalize on the initial set up and playing during a more reasonable hour of the day.
- Raghee