ES Journal Archive (2006 - 2008)
- Thread starter Buy1Sell2
- Start date
- Status
My history as a trader has had me that early most of the time when I begin building a short position. It was just an experienced feeling. This is why I start with a small number of contracts and build into it. If I go all in at the first trade, then I have to use a stop and take the heat as you guys call it.
Nice one.
Back to the earlier question--do you agree that the first divergence could have been traded with a tight stop? Were there any signals there on your candles that could have had you reversing before getting stopped out? I noticed that the FST indicator made a sharp double top after the run up from the first divergence. Would that have helped?
There were a couple of signs, firstly it failed to reach previous WRBs High resistance level. Secondly the first red candle pretty much engulfed the previous 2 green candles. The second arrow points to a second attempt to advance, which has also failed. It would have been difficult to get out at entry, small loss more possible as I would have entered when stochastic breaking at least 20 level, that would have provided an entry @ 1266.25-50. Whether I would have reversed I could not say now, in hindsight perhaps. Not traded yet today, been away on other business.
Daily bias has been long here the past few days and is again today.It's easily seen on hourly charts with the numerous bullish divergences. We'll need to see some topping action on hourly charts to signify that we can break the 1260 area. This could happen in the next few days. However, for the moment the market has an intraday long bias as there are quite a few scared short coverers and greedy buy the dippers in there.
- Status