Pure Trading

Hi Big,

I understand that you trade price action and volume; however, do you ever consider other confirming setups, such as the velocity of price movement or the stochastic confirmation of support/resistance levels?

Good job on your detailed jornal journey... I believe it's going to be a challenge to continue at this pace.

Walt
 
Quote from jones247:

Hi Big,

I understand that you trade price action and volume; however, do you ever consider other confirming setups, such as the velocity of price movement or the stochastic confirmation of support/resistance levels?

Good job on your detailed jornal journey... I believe it's going to be a challenge to continue at this pace.

Walt
More...

Hey Walt,

As mentioned in my pre mkt post, I always look @ the speed/velocity of the mkt. I won't just throw out an order at a level if the mkt is moving at 100 mph.

what creates speed anyway?? more buying/selling sentiment at any given price point at any given moment. Every trade needs a buy and a sell but it's the fear, greed etc behind the price that cause traders to drop bids or lift their offers creating a vacuum so to speak....that creates speed. we can have very hi vol areas but stay in a tight range.

So it's the lack of the other side of the trade that creates speed. Price often speeds it's way to an area of acceptance for example....while writing this I had to pause to take a long @ 91.5. I didn't pick this area out of a hat either. If you have read any of my posts from yest I spoke of the 91-92 area right?

So I didn't just throw an order out at 92 to get long while the mkt was dropping like a stone. I got a slightly better fill on the way back up. I had a pivot low at 90.75 from yes PM as well and I was waiting to see how the tape printed when we got into that zone. 91-92 is also an are of hi vol....meaning, other traders...bigger traders....found value there.

As far as stochs....no I do not use it.

Sorry for a long answer to a short question but to me, this is the most important aspect of my type of day trading.

Hope it makes sense
 
ES having a great rotational move to the upside
shallow pullback on light vol indicating a push higher. We are now back into the AM congestion range and open price of 01.5
 

Attachments

ES.........L 1100.25

this is a tough area for me as price distributions is pretty even form 98-1102 area so I will take a +1 if given the chance & be tight with the stops....as usual. If it breaks up I wil have a good shot to see the HOD or close to it but thats not up to me
 
thanks for your reply, Big...

I agree that it sure seems that 92.00 is a strong support level...


Walt


btw... do you plan on posting a weekly PnL summary?
 
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