ES Journal Archive (2006 - 2008)
- Thread starter Buy1Sell2
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Quote from coolweb:
Can't believe you trade on a bolinger, but good trading if its working for you
Thanks. I think the Bollinger is the item that I look at the least in this package, but I do pay some attention to it. It's really the trio of indicators together, although in this chart, I mostly point to the RSI for places of entry etc. Great to hear from you Coolweb!
As far as daily analysis goes, it must be pointed out that long positions are still in vogue here with the most recent reaction low still at 1262.50. Generally speaking, a comfortable stop would be about 6 points below that number. More conservative traders would use the 8 15 06 low of 1273 as a place to key stops. I personally prefer using the reaction low, so as to give the trade plenty of room. With regard to Romik's potential BRD, this is to be monitored, but at the moment it's just brewing. There doesn't appear to be a good RSI short set up confirm going at the present time. I would think that the best set ups for the near future and for extended gains would be long set ups. Not to say that short set ups won't work, but I would think longs would be more profitable near term. I added the DMI indicator on the attached chart as well. There is a strong uptrend possibility here if the ADX continues to rise from below the two signal lines. Bottom line, reversal could be brewing, but right now it makes sense to favor the long side.
A Rally in crude might give the index shorts a decent exit- Some of this 8 am buying is probably associated with the recent decline in crude futures. Some covering around 5 pm yesterday on the QM chart(+1.40 in one minute)- not sure what it indicates but I usually keep an eye on it.
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