High 5 Sell Trading Pattern
The High 5 Sell Trading Pattern, labeled A, B, and C in Window 4 on Chart 4 (previous page), is an excellent pattern for going short in a declining market. (In this enlarged segment of Chart 4, only A and B can be seen; C is in the chart on the following chart).

1. The DBS10 is below 65.
2. The DBS5 is above 84.
3. The DBS5 turns down.
4. Sell the low of the downturn price bar. (Use the vertical line to determine the price low, and place a Sell Stop to go short 1 tick to a point, or more below it, depending upon the market and time frame).
5. Place a Protective Buy Stop above the swing high that preceded entry.

Low 5 Buy Trading Pattern
The Low 5 Buy Trading Pattern, labeled X, Y. and Z, is an excellent pattern for establishing long positions in a rising market. (In this enlarged segment of Chart 4, only X can be seen; Y and Z are in the chart on the following page).

1. The DBS10 is above 50 as...
2. … the DBS5 drops below 10.
3. The DBS5 turns up.
4. Buy the high of the upturn price bar. (Use the vertical line to determine the price high, and place a Buy Stop to go long1 tick to a point, or more above it, depending upon the market and time frame.)
5. Place a Protective Sell Stop below the swing low that preceded entry.