S/R Emini Journal
- Thread starter 4re
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A point not directed at anybody in particular:
A strategy like this -- though perhaps not this particular strategy -- can't be played out using a list of instructions. In order to be successful with it, one must understand the nature of S/R. This has been said here more than once. 4re even uploaded an excerpt from Douglas's book. But there's been little or no discussion of S/R itself.
The trader has to pay attention. He has to watch. Whatever plans he may have made last night are only tentative, subject to modification. This morning, for example, the ES hit 1274 after the employment reports. It again peaked at 1274 shortly after the open. This places R at 1274, not at whatever level the trader chose the night before. Entry then becomes -- if he's using a half-point trigger -- 1274.5. If he can't wait through the consolidation, he can at least break even. But the trip to 1277 is not a difficult one.
A strategy like this -- though perhaps not this particular strategy -- can't be played out using a list of instructions. In order to be successful with it, one must understand the nature of S/R. This has been said here more than once. 4re even uploaded an excerpt from Douglas's book. But there's been little or no discussion of S/R itself.
The trader has to pay attention. He has to watch. Whatever plans he may have made last night are only tentative, subject to modification. This morning, for example, the ES hit 1274 after the employment reports. It again peaked at 1274 shortly after the open. This places R at 1274, not at whatever level the trader chose the night before. Entry then becomes -- if he's using a half-point trigger -- 1274.5. If he can't wait through the consolidation, he can at least break even. But the trip to 1277 is not a difficult one.
One thing, can I ask how you have traded this market? I am asking because one thing is different here than stocks is that the earlier you put your order in the higher on the stack it goes. This market is first come first serve. As soon as my buy order went in so did my sell order so I was up towards the top of the stack. I got filled the first time price pecked 1277. I do keep my finger on the flatten all button just in case it reverses and I did not get filled. I have it happen every once in a while to.
I'm not actually trading off of the S/R numbers themselves.
I'm trading off the setup that I mentioned in earlier posts.
I just use S/R as my primary reference for understanding market action in a historical context, and to help me ancticipate future price action.
For instance I had R at 1272 and S at 1265.5.
Obviously R broke this morning and then traded back to what is now S (R, when broken, becomes S / S when broken, becomes R).
Here's a "very basic" explanation from stockcharts.com that might help.
http://stockcharts.com/education/ChartAnalysis/supportResistance.html
I'm trading off the setup that I mentioned in earlier posts.
I just use S/R as my primary reference for understanding market action in a historical context, and to help me ancticipate future price action.
For instance I had R at 1272 and S at 1265.5.
Obviously R broke this morning and then traded back to what is now S (R, when broken, becomes S / S when broken, becomes R).
Here's a "very basic" explanation from stockcharts.com that might help.
http://stockcharts.com/education/ChartAnalysis/supportResistance.html
Sure, I didn't put in the sell limit @1277 until after it got close to there. The way I trade is that I have 3-4 sell prices sitting there ready to be sent with a stop already in place. I think I was too busy figuring out the other sell limit prices to transmit the sell @1277 one. Thanks for the info, I didn't realize that the ES market handled orders like that. Is that the way for all index futures or is that a CME thing?
Also, I was looking at your range for today of 1275-1278. I think it could go another fifty cents. I'm thinking of buying at 1277.25 (new high for the day) and selling at 1278.25 as a way to get my other point. What do you think? Would you take that scalp?
I wrote this and then got distracted with the market, would have been a profitable trade though I don't know if was a smart one.
What do you think?
Also, I was looking at your range for today of 1275-1278. I think it could go another fifty cents. I'm thinking of buying at 1277.25 (new high for the day) and selling at 1278.25 as a way to get my other point. What do you think? Would you take that scalp?
I wrote this and then got distracted with the market, would have been a profitable trade though I don't know if was a smart one.
What do you think?When I first started trading eminis, I joined a group headed by Teresa Lo. The name of the group was Done In 90 Minutes. Of course, that was several years ago when the ADRs were considerably greater than they are today.
However, the basic idea is the same, and being done in 90m or less has a lot going for it, even if one is making a living at this.
Most likely done for the day.
However, the basic idea is the same, and being done in 90m or less has a lot going for it, even if one is making a living at this.
Most likely done for the day.
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