Indicators are liars! Support and Resistance Trading for the S&P emini

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Quote from ESResistance:

[B
Support and Resistance levels are areas of high emotion, and reactions at these levels are usually violent, the short I just took now is a good example of that. [/B]
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ES-- I totally agree these areas are high areas of emotion, and just for interesting thought here is another take on what is happening at support/resistance from the market profile standpoint.

Using a resistance example, the move up is where the patient sellers would like to get their orders filled (sellers prefer to sell high, buyer buy low).

So the move up to the highs in consolidation resistance is from the anxious buyers as you say as, and it is possible all the patient sellers have acted in this area already, so price heads lower.

Or, on a pullback to swing resistance point in a trend, the patient sellers are waiting for price to move higher as ususal, and when they cant get their higher price, they become anxious as price moves lower towards the patient buyers in control.

The first scenario, is ususally a less swift a move because it represents a drying activity in the area, the second scenario is a swifter move because it represent more immediate anxiety....

Again, just something to think about...
 
I dont think I have ever seen a gap this big!Short from 81.00 was a dream, to hold onto if they try to fill the gap today.

EDIT: I am no longer in the short, I like to take little bites, rather than hit home runs.
 
Quote from EMC2Trader:
Using a resistance example, the move up is where the patient sellers would like to get their orders filled (sellers prefer to sell high, buyer buy low).

So the move up to the highs in consolidation resistance is from the buyers as you say as, and it is possible all the patient sellers have acted in this area already, so price heads lower.

Or, on a pullback to swing resistance point in a trend, the patient sellers are waiting for price to move higher as ususal, and when they cant get their higher price, they become anxious as price moves lower towards the patient buyers in control.

The first scenario, is ususally a less swift a move because it represents a drying activity in the area, the second scenario is a swifter move because it represent more immediate anxiety....

Again, just something to think about... [/B]
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As to what participant is in control now(the 10 minutes market has been opened), we've got no clue as to which that is as of yet right?
 
Quote from forrestang:

As to what participant is in control now(the 10 minutes market has been opened), we've got no clue as to which that is as of yet right?
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The particant in control is just a continuous flow throughout the day, and it often aligns very nicley with support/resistance areas.

As os this writing 15 minute after the open, I see the patient buyers in control in relation to the 1280-1260 range.

That means to me price heads lower until patient sellers take control, and if a good setup happens in relation to resistance on the way down, it represents the best of all trading worlds.
 
I entered Long at 69.50, using the 70.25 level with a fairly decent set up. And took a full 5 tick loss on the long. The low was at 67.50

The momentum was huge.

Although the loss is small in comparison to my gains this morning. I feel it is ALWAYS very important to analyse losses and understand why they happened. Many traders try to brush their losses under the carpet. I say embrace your losses! Analyse and dissect your losses.

Join me in Traders Anonymous : )
 
Quote from ESResistance:

I entered Long at 69.50, using the 70.25 level with a fairly decent set up. And took a full 5 tick loss on the long. The low was at 67.50

The momentum was huge.

Although the loss is small in comparison to my gains this morning. I feel it is ALWAYS very important to analyse losses and understand why they happened. Many traders try to brush their losses under the carpet. I say embrace your losses! Analyse and dissect your losses.

Join me in Traders Anonymous : )
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hehe, I just got stopped out for 5 ticks, by a measely 2 ticks, then price headed in my favor 5 full ES points......darn

--EDIT---
JUST TOOK ANOTHER SETUP minutes later, short from 1268.25 to 1265.25, didn't manage the exit properly, there was another 2-3 points there.

Trading down to that lower bracket area.
 
Quote from forrestang:

hehe, I just got stopped out for 5 ticks, by a measely 2 ticks, then price headed in my favor 5 full ES points......darn
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Losses happen. No fill for me at 65.25, if a level is missed by a tick or 2 and and makes a good move, like what just happened there. Then the odds of it working if it gets hit a 2nd time are reduced.

I didnt have a set up at the markets 2nd attempt at 65.25. This downside pressure is strong,

Now in long at 62.75! first 2/3s filled! Holding

EDIT at 10:08 - Covered 68.50. This may go higher but I am now done for the day.
 
OK guys and dolls that me done.

Hope everyone did well today.

I had one full sized loss, and some nice gains from the premarket till this bad boy just now.

Some overall VERY green for the day.

Today is a dangerous day to trade with all the emotion around from the whole Freddie/Fannie stuff. so be careful out there.
 
Quote from ESResistance:

OK guys and dolls that me done.

Hope everyone did well today.

I had one full sized loss, and some nice gains from the premarket till this bad boy just now.

Some overall VERY green for the day.

Today is a dangerous day to trade with all the emotion around from the whole Freddie/Fannie stuff. so be careful out there.
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great job...get green and get gone...
 
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