Spydertrader's Jack Hershey Futures Trading Journal

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Quote from Spydertrader:

Again, what differences exist in this example compared to other examples where one would never think of fanning?

When first learning to use the YM, I recommend only heading over to use it as a tool when ES sits on or near the extremes (RTL or LTL). As one obtains more experience, one can add additional points of change (such as formation BO's).

- Spydertrader
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Spyder
Thank you for your responses. Having mistaken this RTL BO as a change of dominant (see attached clip) and entered short on the conclusion that this was an FT3, I wish to confirm what my correct thought process should have been after the close of the 13:35 bar, bearing in mind that I am trying to remain at the "tree level".

I see the 13:40 bar form a sym pennant. I anticipate bo on increasing vol. The 13:45 bar gives the bo but on decreasing vol. I conclude that we now have a lateral and begin my wait for a bo on increasing vol. This occurs at 14:03, at which point I should reverse to long. Is this correct?

Although I fully understand your second comment regarding looking at ym only when ES is at or near its LTL/RTL, many ftt's occur when ES is in mid channel (by definition). I have assumed that it is also appropriate to refer to ym when one suspects an ftt. Have I misunderstood?

Thanks
 

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Hi Spyder,

I was analyzing what usually happens inside a Lateral, and I have one question.

Usually inside a Lateral we have decreasing volume, and when this happens we wait for the BO of lateral with Incr volume. No problem here.

But what if we have Increasing volume inside a Lateral and we get for instance a R2R ?

Is one supposed to enter inside a lateral if trading tree level?

Should we disregard volume at all when inside a Lateral and wait patiently for the Lateral BO ?

Here is one example of what I am talking about:

<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1658045>
 

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Quote from Pepe:

Hi Spyder,

I was analyzing what usually happens inside a Lateral, and I have one question.

Usually inside a Lateral we have decreasing volume, and when this happens we wait for the BO of lateral with Incr volume. No problem here.

But what if we have Increasing volume inside a Lateral and we get for instance a R2R ?

Is one supposed to enter inside a lateral if trading tree level?

Should we disregard volume at all when inside a Lateral and wait patiently for the Lateral BO ?

Here is one example of what I am talking about:

<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1658045>
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Good luck with this one Pepe. I've been trying to understand this for months. When I asked I was more or less called a fool for my inability to follow directions. I hope you have more success with what seems like a pretty basic, yet unanswered question.

Over and over we are told that this or that only happens once in a blue moon. However, when you total up all the this or thats (things like inside bars with higher volume, bars that create two different types of laterals simultaneously, etc) they comprise a significant portion of the day's bars. Combine this with the myriad of contradictions which have cropped up over the months (don't tell me there are none, I have proven one with overwhelming evidence and was attacked and pointed out a couple others) and it's no wonder some of us are struggling and have to keep asking the same questions over and over.

Just look at what Dkm is posting recently. How is what he asking different in principal than much of what I've been blamed for in this thread?
 
The rising volume didnt break out of the lateral did it (4125 being the top of the lat)? Personally, if we dont BO of the lateral on rising volume, then I see that nothing really significant happened to change anything. Sure this rising volume could lead to a BO and we should pay attention for that.

In this case, we actually BO on the bottom part (3700) level on increased RED volume, and this break leads to lower prices.

This is just how I see it.

Quote from Pepe:

Hi Spyder,

I was analyzing what usually happens inside a Lateral, and I have one question.

Usually inside a Lateral we have decreasing volume, and when this happens we wait for the BO of lateral with Incr volume. No problem here.

But what if we have Increasing volume inside a Lateral and we get for instance a R2R ?

Is one supposed to enter inside a lateral if trading tree level?

Should we disregard volume at all when inside a Lateral and wait patiently for the Lateral BO ?

Here is one example of what I am talking about:

<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1658045>
More...
 
Quote from The Swordsman:

The rising volume didnt break out of the lateral did it (4125 being the top of the lat)? Personally, if we dont BO of the lateral on rising volume, then nothing really significant happened to change anything.
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Precisely, so what difference does the volume even make? Decreasing... no change. Increasing... no change.
 
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