The ACD Method

[Maverick74]

Don Bright posted this on another thread.

http://www.tabbforum.com/opinions/taking-advantage-of-the-retail-investor

I'm sure most of you know to use limit orders when you trade these ETF's.

 

[stevegee58]

One could also avoid trading illiquid vehicles altogether.

 

[Maverick74]

Quote from stevegee58:

One could also avoid trading illiquid vehicles altogether.

This thing will be very liquid but you still don't want to use market orders.

 

[DerSlutharsch]

Closed SLV @ 31.97, better safe than sorry, that sell off scared the shit out of me.

 

[Maverick74]

Just for reference, the monthly A down in Copper was 3.27. We had two wicks down to 3.22 with closes above 3.27. Current price 3.57. Nice bounce!

 

[kinggyppo]

you gotta like bonds here for a long hedge if nothing else.

 

[Maverick74]

Quote from kinggyppo:

you gotta like bonds here for a long hedge if nothing else.

With tomorrow being the first of a new month you might as well wait for the new levels.

 

[Maverick74]

Just wanted to post the AUD/USD chart from the London session. As you can see, the market traded inside a tight pivot from the London open with the pivot acting as support. At 5am central time we broke through the A up at par "before" the news came out of Europe. This means you were positioned ahead of the spike which occurred 2 hours later. This trade was good for 300 pips after the A up. Textbook ACD trade. I have to say, there have been so many good follow through trades on FX on the London session.

 

[Maverick74]

Quote from Maverick74:

Just wanted to post the AUD/USD chart from the London session. As you can see, the market traded inside a tight pivot from the London open with the pivot acting as support. At 5am central time we broke through the A up at par "before" the news came out of Europe. This means you were positioned ahead of the spike which occurred 2 hours later. This trade was good for 300 pips after the A up. Textbook ACD trade. I have to say, there have been so many good follow through trades on FX on the London session.

Btw, for you home gamers, those volume bars are relative volume bars. They measure the volume of the current bar vs that exact same time bar over a historical period. Makes it easier to spot the breakouts.

 

[Maverick74]

Crickets chirping...