With the DJIA closing up 135 points today, the exit of our hypothetical short trade yesterday looks great. If you look on the chart, the bar for today looks similar in length and height to yesterday's price bar (except for the closes of course). The indicators below tell another story, however. The stochastics is close to breaking above 20, which would indicate a buy signal. Let's see how this plays out over the next two sessions of this week.

So far: +165 points