The previous week ended with the market cracking hard on Friday. With the daily and weekly bars closing on the lows, it looked like the market was heading lower and I decided to go short. I hoped to see a small gap up which I would expect to roll over and give me a good short setup, with a tight risk.
![](https://www.spiketrade.com/images/comments/2021/11/2021-11-06_15-42-44.png)
In my trade plan last weekend, looking at CarGurus Inc (CARG), I identified an area of potential support between the 20 day EMA and the –1 ATR.