Ghost of If You Can Draw A Straight Line

[dbphoenix]

Is this an actual market call?

If you want to know why, tho, you'll have to refer to the material.

.

 

[tradingjournals]

It's also a question of how fearful one is and how many contracts he's trading. If he's fearful, he's likely trading only one or two contracts, most likely one. In that case, he's looking for reasons to exit, to cut his profits short, so he'll be exiting and re-entering and exiting and re-entering and so on, assuming he re-enters at all.

The confident trader, on the other hand, will be trading greater size and he'll be looking for reasons to stay in, not to get out. So it really depends on where you are.

This is not to say that one gains confidence solely by behaving that way. It's a process, and one reaches the goal by repeated practice, assuming that one learns from the practice. Many people don't.

This is a very good post! I would add to it that when one is confident and correct in a direction, the attitude could also be to add to original position or if to take some profits on what was to reenter on bounces and to keep the original position open as long as the scenario is developing according to plan.

I could relate to the quoted post from DBP in my following of the market last Friday. I might summarize the live posts from the ES journal and post them here, as they may give an example in support of what is in the DBP's post

 

[MethylSeasons]

Going over your threads on TradersLab. Great stuff!

Do you find trendlines work better on NQ than ES? What do you think about using tick charts instead of time?

 

[dbphoenix]

Do you find trendlines work better on NQ than ES?

Trendlines can be applied to anything. Whether or not they provide any information that is tradeable is another matter.

Trend channels can only be applied to mean-reverting instruments. Both the NQ and ES qualify.

What do you think about using tick charts instead of time?

Not much. I want to know how long traders are holding in a certain area, how long it takes them to get to another one, the ebb and flow of the activity level.

 

[bh_prop]

Thank you DB for continuing to freely give - the pdf was very informative and a wonderful contribution to this forum.

 

[dbphoenix]

Charts of the five most heavily-weighted stocks were posted here before the jobs report on Friday.

Below are the same five charts after the end of the session:

 

[dbphoenix]

In re the above post, the following charts were posted before the jobs report and after the end of the session.

What now?

 

[green.green]

In re the above post, the following charts were posted before the jobs report and after the end of the session.

What now?

Not sure if this is rhetorical but 3600 or there about looks like the next stop. Of course anything can happen.

 

[MadeMan]

In re the above post, the following charts were posted before the jobs report and after the end of the session.

What now?

well. AMT wise we are at an extreme (lower channel) . one could look for a reversal (low risk) with a potential readyness for a reverse of the inital position. should we break the channel... on a long , one should watch PA at the mean ... again to close and to look for a pot. reversal.. which would add to weakness...

 

[MadeMan]

5min Intraday NAZ...

well , we are at an extreme .. so what do we wanna see ?
we want to see demand overcoming supply.. do we see that ?

well.. sort of .. yes we have broken several SLs , we see that price has trouble making
new lows.. we even whitness a higher low , ie. a retr. after the penultimate SL break..

but is that enough evidence that the balance of supply and demand is now in
thefavour of demand ?.. not quite yet... or. would u exit your short given the current
market scenario ?

so there is some pausing at the moment.,. but still no evidence that strenght is
returning to the market...

if we look into the future ie.. the up ward drawn channel (blue) we even see a rejection
of the mean.. as of now.. so caution here...

risk wise one could try and play a reversal right away (strict SLA) (with a lil stirct MM
why not?) not much to lose here... but context wise.. i would rather wait and see how
a retest of the lows would play out.. even shorting a break of the Blue channel + retr.
would be an option... as alot of people may look at a long opportunity right now.. but
if the market isnt ready to rise.... they will start to puke if that level breaks.... and one
could play that right from the start...

so we have three options here.. test a long opportunity right away (AMT+SLA) ,

or try a short play if we break the DL + Retr. (playing a pot. momentum driven puke)

or wait till we test the mean of the down channel (pink) + a rejection of that + a break
of the down channel + retr. ( playing a pot. strenght returning to the market
AMT+SLA+Exhaustion of sellers+Fresh Demand kickin in..)