ER2 has topped?

lolo24ca · Mar 21, 2006

well i said I was bearish this week on the er2 baseon my analysis, but i didn't expect the market to plunge + 10 points today.HOLLY COW!!!

polpolik · Mar 21, 2006

I feel like I've abandoned this thread since I started it. Well, I don't think this is any confirmation yet but this year is going to be very challenging for all the indices.

With that said, I haven't done any serious trading on the index futures and have dedicated more time to trading EUR and JPY futures.

Good luck to all of you. I think the current market (despite the upward move) still has an inherent negative bias on it.

lynx2004 · Mar 21, 2006

Quote from lolo24ca:

well i said I was bearish this week on the er2 baseon my analysis, but i didn't expect the market to plunge + 10 points today.HOLLY COW!!!

SWEEEEET! one of the best days so far this quarter..

This is what I meant when I said that ER2 seems to want to take the long way home...It had to spike to above 755 from 744 before going to below 740! It must be that many started shorting this market too early and had to contribute to a blowoff top. Given this action, I think there is more room on the downside...probably another 15 points or so, this round (on the daily chart time-frame).

This move is not so significant on the weekly chart but strength seems to be weakening there too...but not so convincingly. Let's watch it as this unfolds.

lynx2004 · Mar 21, 2006

Quote from polpolik:

I feel like I've abandoned this thread since I started it. Well, I don't think this is any confirmation yet but this year is going to be very challenging for all the indices.

With that said, I haven't done any serious trading on the index futures and have dedicated more time to trading EUR and JPY futures.

Good luck to all of you. I think the current market (despite the upward move) still has an inherent negative bias on it.

We miss you here...
Seems we've highjacked your thread!
Good luck in your trading.

Mike805 · Mar 21, 2006

Quote from lynx2004:

SWEEEEET! one of the best days so far this quarter..

This is what I meant when I said that ER2 seems to want to take the long way home...It had to spike to above 755 from 744 before going to below 740! It must be that many started shorting this market too early and had to contribute to a blowoff top. Given this action, I think there is more room on the downside...probably another 15 points or so, this round (on the daily chart time-frame).

This move is not so significant on the weekly chart but strength seems to be weakening there too...but not so convincingly. Let's watch it as this unfolds.

Money was just lying on the ground today

I kept thinking the move down would find support - BUT no - It just kept going and going and going... haven't seen a 15 point trend like that in a while.

lolo24ca · Mar 21, 2006

Quote from Mike805:

Money was just lying on the ground today I kept thinking the move down would find support - BUT no - It just kept going and going and going... haven't seen a 15 point trend like that in a while.

Indeed Mike..... money was lying on the ground today... and who said there was no free lunch!!!!!!

glassinc · Mar 22, 2006

Quote from lolo24ca:

Indeed Mike..... money was lying on the ground today... and who said there was no free lunch!!!!!!

Good Morning,

After such a nice flight down, the opportunity is for a nice long trade may be possible this morning. I am primarily lookng at the 5m and 15m timeframes. The 5m was particularly stretched, and could stretch a little more before snapping back. Markets like people have to breathe, and one has to inhale in order to exhale. Remember, it's a marathon in the long run, not just a sprint.

I'll miss the open by about 15m, and possibly the trade. No loss there will be others. Follow the price on the 5m or one can look to the 1m for a lower risk entry, it is more noisy at times though.

Good Day 2 U!

Kelly

P.S. I myself would even prefer a nice down gap open, at the moment though unchanged. The same opportunity exist on the NQ and SP, not as profitable though IMHO.

lynx2004 · Mar 22, 2006

Quote from glassinc:

Quote from lolo24ca:

Indeed Mike..... money was lying on the ground today... and who said there was no free lunch!!!!!!

Good Morning,

After such a nice flight down, the opportunity is for a nice long trade may be possible this morning. I am primarily lookng at the 5m and 15m timeframes. The 5m was particularly stretched, and could stretch a little more before snapping back. Markets like people have to breathe, and one has to inhale in order to exhale. Remember, it's a marathon in the long run, not just a sprint.

I'll miss the open by about 15m, and possibly the trade. No loss there will be others. Follow the price on the 5m or one can look to the 1m for a lower risk entry, it is more noisy at times though.

Good Day 2 U!

Kelly

P.S. I myself would even prefer a nice down gap open, at the moment though unchanged. The same opportunity exist on the NQ and SP, not as profitable though IMHO.

More...

Yes, true that it is a marathon in the long run...and er2 has been sprinting for a while so I think large caps (ES, YM, NQ) might be a better long trade, if at all (for a bounce). er2 needs more rest (given the high volume blowoff last few days).
Good Luck!

glassinc · Mar 22, 2006

Hello,

Well the rubber band snapped back. Currently trading at 746.2 and am out. Will now be stalking the sell side. Potential wedge formation on the 5min. May turn inot something or may be nothing. My entry will be on a break below 745.6 at 745.5 currently or will trail higher if necessary.

Good Trading 2 All!

Kelly

Just filled at 745.5 with stop at HOD, one could be plus or minus a tick depending on how you view stop placement.

lynx2004 · Mar 22, 2006

Quote from glassinc:

Hello,

Well the rubber band snapped back. Currently trading at 746.2 and am out. Will now be stalking the sell side. Potential wedge formation on the 5min. May turn inot something or may be nothing. My entry will be on a break below 745.6 at 745.5 currently or will trail higher if necessary.

Good Trading 2 All!

Kelly

Just filled at 745.5 with stop at HOD, one could be plus or minus a tick depending on how you view stop placement.

Great. I think you are on the right track.
Good trading!