If You Can Draw A Straight Line . . .
- Thread starter dbphoenix
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Always trade the trend. The trend is shown by the supply/demand lines. If they haven't been broken, the trend is intact.
If you were short, the question of buying would not arise. If you weren't short and decided to buy anyway because you didn't short when you supposed to, consider that although price rallied 12pts, it then declined 16, which is another indication of the direction of the trend.
The more eager you are to find trades, the longer it will take you to learn this. This isn't about finding trades. It's about understanding what traders are doing and where they're doing it and why they're doing it.
The only reason I bothered to post that trade from today was that my execution of it matched up so nicely with DbPhoenix's highlight of the opportunity. I thought it might be helpful for others to see that two different sets of eyeballs attached to two different brains sitting in two different and distant cities and the owners of these two sets of eyeballs have never met each other except for what passes for a meeting in the electronic space of an internet message board could see the same data, come to essentuially the same conclusion, and act upon it with nearly an identical result.
And yes, that 3100 area has been mentioned and shown marked on charts a bunch of times over the past days and weeks. Kinda like "trading in foresight," to borrow a DbPhoenix phrase
Here is my roadmap chart, showing areas where I will be paying attention to see what other trader's do if and when any of these levels are again visited by price.
Starting the morning warm-up: Here is the 60, 5 and 1 minute NQ. Since I took these, price has moved belwo the overnight low of 58.
Here is what the ines mean: A solid magenta/solid cyan line is a price S/R, an actual high or low. The dotted dark blue lines are midpoints of ranges or prior consolidation areas, e.g. we remember the amount of activity that took place around 77.50 +/- a couple of points. The dotted magenta/dotted cyan are overnight highs/low. I started color coding my lines this way not to over complicate my charts but to make the removal of potential S/R lines easier. While prior highs and lows are always prior highs and lows, midpoints chanage as ranges expand, and each night has its own overnight high and low.
The open is still an hour and a half away, and anything can happen between now and then, but as of this moment, the most relevant areas for me aorund which I will be looking for a trade will be yesterday's 52.50 low and the afternoon's and overnight's 3070 high. Right at the moment, 3058 +/- looks to be in play for a long, though I do not yet trade premkt. And also I'll be watching that 3076/77/78 level should price again revisit it.
Here is what the ines mean: A solid magenta/solid cyan line is a price S/R, an actual high or low. The dotted dark blue lines are midpoints of ranges or prior consolidation areas, e.g. we remember the amount of activity that took place around 77.50 +/- a couple of points. The dotted magenta/dotted cyan are overnight highs/low. I started color coding my lines this way not to over complicate my charts but to make the removal of potential S/R lines easier. While prior highs and lows are always prior highs and lows, midpoints chanage as ranges expand, and each night has its own overnight high and low.
The open is still an hour and a half away, and anything can happen between now and then, but as of this moment, the most relevant areas for me aorund which I will be looking for a trade will be yesterday's 52.50 low and the afternoon's and overnight's 3070 high. Right at the moment, 3058 +/- looks to be in play for a long, though I do not yet trade premkt. And also I'll be watching that 3076/77/78 level should price again revisit it.
Here is a chart showing where I would have made the long entry, which was as I was hitting the "submit reply" on the above post. I cannot take the time to mark charts up and post while I am trading, so this sort of "real time" posting will have to be limited to premkt, because I do not trade during this time. That will change soon. I trade small enough, and carefully enough, and the opportunities are sufficient enough to have me incorporate premkt trades into my plan.
Did anyone take the long at the open? Kind of hard from my perspective.
We hit S and sellers managed to push a little bit below previous low, but then it just shoot up.
Is this a dog that did not bark kind of opportunity Db?
My charts are attached, I don´t post them as the size will make reading uncomfortable.
We hit S and sellers managed to push a little bit below previous low, but then it just shoot up.
Is this a dog that did not bark kind of opportunity Db?
My charts are attached, I don´t post them as the size will make reading uncomfortable.
Just in case someone wants to join during the trading day http://stinto.net/en/chat.htm?refId=srtz5#
No. TDTDB is something that is expected to happen that doesn't. This was a test of the 0800 swing low, almost to the tick. And a good example of why the buystop should be placed above the reversal rather than just jumping right in. Anyone trying to do the latter would never get filled, though in this case any kind of buy other than market might have trouble getting filled.
Just a guy learning to crawl... I cleaned all the indicators off a month ago, got dbP's book and been reading the Wycoff course... got back from breakfast and saw the break from congestion and took the short with a bracket. Was moving my stop down when my target got hit quicker than I thought. Will be working on trade management... Red line short, green line is the cover. Only 1 contract. Arrows only show HL or LH and HL&H and LH&L.
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