S/R Emini Journal

[princessa]

Quote from Patricio:

My charts show S2 at 1306.6 and 1307.5 intermediate resistance on a daily basis.

In fact I should be short, and I am not

this question is for anyone:
how do you know where supports are?

does there exist an actual chart showing the supports or do you eyeball it. i usually eyeball it for equities, but i find other sources that disagree with me....

 

[princessa]

Quote from ksonsinc:

U guys are so right ( shorts )
i am long but i am getting slaughtered thinking there will be a dead cats ass bounce heeheheh
is there any big reason the market is selling off today - ???
wtf

imho it is folks coming back from vacation bringing more volume, truer moves, and september factor (worst month for stocks).

we'll see if my opinion holds out, but for my trades it doesn't matter b/c they're mostly shorts on ugly stocks....

 

[princessa]

Quote from volente_00:

And why do they offend you ?

lmao..oh gee, i don't know, maybe cuz he says F U to the ladies....

oh, yeah, i know, just the shallow ladies but still very disrespectful....

 

[4re]

Quote from Patricio:

It depends on how you trade, if you have large stops on long time frames, I agree you would only see a down trend . But if you are looking at small stops and small time frames you will see both long and short entries, which may or may not be a valid 1 - 2 point scalp. I actually use a 1 min and a 5 min time frame. Not all days trend all day like today, in fact very few days go straight down or straight up. I am not disagreeing with you but I am pointing out there is more than one way to skin a cat and not everyone here trades the same way.

You are right there are sooo many ways to skin a cat but what I would like people to start doing before entering a trade is this.

1. Make sure you have a clear signal well in advance

2. Make sure that your beliefs are not making the decision for you.

3. If your entry has the words I think or I believe it will do this or that You are trading with a bias and not a signal stop and check the chart again. If you miss a signal there will be another. If you have a clear signal and lose the trade that happens you can move on from that.

If you will do these things you can be successful whether trading pivots, fades, breakouts or anything. Consistency will only happen when you throw out bias.

Gary

 

[princessa]

i am SOOO tempted to trade ES tomorrow (short, assuming it hits targets), but i guess i'll resist.

if i do give in to this temptation, it will be only 1 contract! am heeding gary's advice....

 

[TGM]

Quote from Spooz Top:

tgm....could you do me a favor & break that down for me layman`s terms on what exactly that means & why would it benefit the daytrader.........................................tia....steve

Well, I will try. The ES had an order protocol ever since it was first introduced (naz as well). You could only do an order for 20 contracts at a time. Many of us got beyond irritated. They kept appeasing the floor. They finally expanded to 50. Then I believe in 2001 they went to 250 and on and on. I do not know exactly what it is now (1500???) But they tripled it from the last time (not long ago). Advantages of the CME being public. The floor no longer fools with the rules.

All this Bullshit kept the floor 'artificially' alive for longer than otherwise. So it created alot of nonsense between the screen and floor etc etc and I do not have time to go into all the nitty gritty. But it is alot better. Would even better if they took up to 3k or 5k protocol. I do not know if they will ever let take it to all you can eat ---like 10k on the offer for Goldman etc. Now they have to break it up. But knowing large traders can go deeper into the deck quicker ---allows fewer games. Before you could pull orders knowing that only xx many traders where going to be able to hit 400 , 400, 400 ---when you start being able to hit over 1k at a clip keeps people very honest. You put that stuff up there. Someone may grab it.

Most traders do not know anything about the spoo and it's protocols but it was a racket. I have seen too much since they introduced it. Many of us moved to the ER2 a few years back and left the ES for occasional trading or position trading. Since the last protocol lift. Me and several other traders I know came back to the ES when we "felt" difference.

 

[volente_00]

Quote from princessa:

lmao..oh gee, i don't know, maybe cuz he says F U to the ladies....

oh, yeah, i know, just the shallow ladies but still very disrespectful....

He is only speaking to the gold diggers.

Can I hit in the MORNING
without giving you half of my dough
And even worse if I was broke would you WANT ME?
If I couldn't get you finer things
like all of them diamond rings [niggaz] KILL FOR
would you STILL ROLL?
If we couldn't see the sun risin off the shore of Thailand
would you RIDE THEN, if it wasn't DROPPIN?
If wasn't ah, eight figure [nigga] by the name of Jigga
would you come around naked, would you clown me?
If I couldn't flow futuristic would ya
put your two lips on my kiss it - could ya
see yourself with a [nigga] workin harder than 9 to 5
contend with six, two jobs to survive, or
do you need a BALLA? So you can shop and tear the MALL UP?
Brag, tell your friends what I BOUGHT YA
If you couldn't see yourself with a [nigga] when his dough is low
Baby girl, if this is so, yo..

 

[Spooz Top]

excellent,thanks for the breakdown,bro..............good trading.

 

[volente_00]

Quote from princessa:

i am SOOO tempted to trade ES tomorrow (short, assuming it hits targets), but i guess i'll resist.

if i do give in to this temptation, it will be only 1 contract! am heeding gary's advice....

Care to explain your short bias for tomorrow ?

 

[4re]

Quote from princessa:

this question is for anyone:
how do you know where supports are?

does there exist an actual chart showing the supports or do you eyeball it. i usually eyeball it for equities, but i find other sources that disagree with me....

Princessa,
Read this excerpt I copied from The Disciplined Trader maybe it will help you figure out how to pick out S/R. After reading it look at the chart I post tonight and see if that sheds some light on things. Remember I am not using a mathmatical formula to figure I.E. Pivots or fibs, to figure these. Here is why I don't use those two named formulas for S/R. What would happen if I was trading pivots and the majority of traders that day were using fibs or vice versa, I would be hosed. But if I look at a chart and see where price moved down to a certain point and reversed hard to the upside then it did it again and again. That is what makes that point very important.

If you look back this morning Romik was going short at 1306.50 with a 2 point target of 1304.50. I told him to watch carefully because there was support at 1304.50 might be hard to get a full 2 points. Price hit 1304.25 getting him his 2 points and then reversed. That level had already been set and by doing it again made that level stronger as support. The next time it hit that it popped through very nice and could have been traded on a breakout for another easy 2 points. This is S/R in action. I hope this helps you understand the significance of S/R breakouts.

Gary