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Learning from the Failed Feb 5th Bear Flag

BY COREY ROSENBLOOM | FEBRUARY 08, 2010 | 8:21 AM | 0 COMMENTS

It's true that failed trades sometimes can teach us more than successful trades, especially if we take the time to learn what went wrong - as in "Did I make a trading error" or "Did the market do something unexpected?" There was a particularly high probability trade set-up that triggered late Friday afternoon that failed due to the afternoon surge, but there were a few hints and lessons we can learn from this experience, so let's take a look! First, we'll start with the @ES (SP-mini futures) contract 5-min chart:  

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