S/R Emini Journal

[Lamont_C]

Here's another that presents a somewhat different scenario, but with the same theme.

Note that everything is fine until price begins to leave 18. After that point, the TICKQ doesn't even attempt to keep up. This makes the probability of success of each new thrust upward that much lower. In this case, the limit at 19 is not tested at all. Price simply reverses. However, a follow-stop after the first divergence is justified and would provide at least some profit (in this case, price fell all the way to 14.25).

 

[4re]

This second one is very plain to see. I like that. Do you know how to get this on e-signal. I would like to look at it a little more.

 

[Lamont_C]

TICK is pretty standard. I'm sure e-signal has it. TICK, TICKQ, and TIKI.

I should point out again, though, that you will want to switch over to tick charts once you're in the trade to see how price reacts to certain levels in real time. Even a 1m chart may not give you what you need in order to get the most out of whatever intuitive sense you have. If all of this seems like noise to you, it'll take some getting use to.

This is not to say that you can't set the original S/R levels using whatever bar interval you like. But S/R levels are independent of however we choose to display them. For example, if you've set an R level at the previous day's high, you want to be there when price barrels through. Whether you're using a 1m chart or an hourly chart is irrelevant.

 

[4re]

Quote from Lamont_C:

TICK is pretty standard. I'm sure e-signal has it. TICK, TICKQ, and TIKI.

I should point out again, though, that you will want to switch over to tick charts once you're in the trade to see how price reacts to certain levels in real time. Even a 1m chart may not give you what you need in order to get the most out of whatever intuitive sense you have. If all of this seems like noise to you, it'll take some getting use to.

This is not to say that you can't set the original S/R levels using whatever bar interval you like. But S/R levels are independent of however we choose to display them. For example, if you've set an R level at the previous day's high, you want to be there when price barrels through. Whether you're using a 1m chart or an hourly chart is irrelevant.

Thanks, I have been looking at the Tick charts, I'll do some studying on it. Do you use mainly Tick or do you also use candles?

 

[Lamont_C]

Quote from 4re:

Thanks, I have been looking at the Tick charts, I'll do some studying on it. Do you use mainly Tick or do you also use candles?

I use volume bars, a tick chart (i.e., the movement of this particular price in ticks) and a TICKQ chart (which is the movement of all stocks in the index). One of the volume bar charts is OHLC and the other is candles. However, the candle chart serves only to "filter" out the tails, which sometimes enables me to see S/R that I might otherwise not see.

However, I stopped using candles as a matter of course once I realized that the candle was entirely a function of the interval chosen to display it, i.e., whatever candles one is using in a given interval will likely not even exist in a longer interval, so what's the point? What matters more to me is to focus on the movement of price, not on what kind of candle or bar or whatever it creates while moving.

But if you use them and they help you, then keep on doing whatever works until it doesn't work anymore.

 

[4re]

Quote from Lamont_C:

I use volume bars, a tick chart (i.e., the movement of this particular price in ticks) and a TICKQ chart (which is the movement of all stocks in the index). One of the volume bar charts is OHLC and the other is candles. However, the candle chart serves only to "filter" out the tails, which sometimes enables me to see S/R that I might otherwise not see.

However, I stopped using candles as a matter of course once I realized that the candle was entirely a function of the interval chosen to display it, i.e., whatever candles one is using in a given interval will likely not even exist in a longer interval, so what's the point? What matters more to me is to focus on the movement of price, not on what kind of candle or bar or whatever it creates while moving.

But if you use them and they help you, then keep on doing whatever works until it doesn't work anymore.

I will probably keep doing what I am doing right now because I am familiar with it. But I will start looking into the Tick.

Thanks,
4re

 

[Lamont_C]

Quote from 4re:

I will probably keep doing what I am doing right now because I am familiar with it. But I will start looking into the Tick.

Thanks,
4re

People often underestimate the importance of being familiar with whatever strategy it is they're trying to employ. Honing becomes tweaking becomes fiddling and before you know it, you're in the weeds.

 

[4re]

Quote from Lamont_C:

People often underestimate the importance of being familiar with whatever strategy it is they're trying to employ. Honing becomes tweaking becomes fiddling and before you know it, you're in the weeds.

I could not have said it better. That is why on this thread I try real hard to tell everyone what and how I am doing things but I don't and won't try to change the way they are trading. The truth is that there are a lot of ways to trade and make money. If you are successful in how you are doing it stay with it. But we all need to exchange ideas because the markets are constantly changing.

BTW, I may need to revise my long call for tomorrow since the entry was hit at the open this afternoon. I'll see how things are in the morning before the open. I think I will have to move up a level which I have already been looking at.

Good Luck Tomorrow,
4re

 

[4re]

Good morning All,
It looks like both calls were taken out already. Here are the new calls. The problem with them is two fold. If we go to a point where we get in early. We are not going to get much wiggle room. I would say 1.5 points and get out. Otherwise we can go farther out and maybe not get a trade today.

Here are the new calls.

Long 1273.75-1275.75
Short 1263.75-1261-75

Here are safer calls that I like better but they might not get hit.

Long 1278.50-1282.00
Short 1257.75-????

GL,
4e

 

[sandygray66]

4re -

Nice job on the 1263.75 short!

If I may ask, why did you pick that level, instead of a lower level? Based on the lows in the couple hours before the open, I would have put the short level more in the 1262 region (which would have triggered and then stopped out ).

Thanks.

Sandy