Macro setup: Daily Gap-up into resistance, and filling prior (Gap-down). A gap into a supply area on a downtrending daily stock almost always calls for a bearish bias, especially when the prior 2-days were bullish.
Entry setup: After establishing it's opening 5-minute range, the stock setup a narrow range 5-minute bar. After taking out the high of that 5-minute bar, supply took over and the stock shot down very quickly. I shorted right at the "break" at 16.77 with a stop over the morning high.
I covered half near the gap-fill, then covered the back half after it bounced off the next level of support around 15.70.
A nice profitable trade to start the day!
Check out the chart...
