Tightest morning range EVER!

Rearden Metal · Nov 11, 2005

Quote from Rickshaw Man:

It would seem as though these spikes during the lunch hour are clearly driven buy stops being hit in the index futures, as all good traders are taught to always place your stops.

Perhaps 'all the good traders' were taught to always place stop orders, but they became good traders by discarding such destructive advice:

http://www.elitetrader.com/vb/showthread.php?s=&threadid=54604&highlight=stop+orders

plugger · Nov 11, 2005

Is the crowd leaning (positioned) for a year end rally? Seems so. I'm looking for a short as maybe all the money has been spent.

Longhorns · Nov 11, 2005

Quote from Rearden Metal:

Perhaps 'all the good traders' were taught to place stop orders, but they became good traders by discarding such destructive advice:

http://www.elitetrader.com/vb/showthread.php?s=&threadid=54604&highlight=stop+orders

Agreed.

Rickshaw Man · Nov 11, 2005

Quote from Rearden Metal:

Perhaps 'all the good traders' were taught to place stop orders, but they became good traders by discarding such destructive advice:

http://www.elitetrader.com/vb/showthread.php?s=&threadid=54604&highlight=stop+orders

So it seems, I never saw that poll.

LMeyers · Nov 11, 2005

When the market is in a tight range, try this:

http://www.hurtwood.demon.co.uk/Fun/copter.swf

Sanjuro · Nov 11, 2005

Maybe 67 traders is not a large enough sample to make that conclusion.

I think the use of stops depends on the type of trading. Scalpers would not use stops while eod swing traders would.

Quote from Rearden Metal:

Perhaps 'all the good traders' were taught to always place stop orders, but they became good traders by discarding such destructive advice:

http://www.elitetrader.com/vb/showthread.php?s=&threadid=54604&highlight=stop+orders

lilduckling · Nov 11, 2005

Theres no way i would consider taking a long swing position at this point. Remember how in the cartoons someone runs off a cliff but doesn't fall right away...cause they aren't aware they're standing on air?? ....... thats what this market reminds me of. And look how the transports are extended on the daily charts. Also oil looks like its finding support from July today after a tiny gap down. Im still looking at YELL for a possible short swing when transports pullback. YELL has been weak in comparison to the sector.

reno4nook · Nov 11, 2005

I think it's time to take an early weekend...

Today's market is not worth the trouble

Rickshaw Man · Nov 11, 2005

Quote from lilduckling:

Theres no way i would consider taking a long swing position at this point. Remember how in the cartoons someone runs off a cliff but doesn't fall right away...cause they aren't aware they're standing on air?? ....... thats what this market reminds me of. And look how the transports are extended on the daily charts. Also oil looks like its finding support from July today after a tiny gap down. Im still looking at YELL for a possible short swing when transports pullback. YELL has been weak in comparison to the sector.

Thats how money is made doing what most wont do. The average trader is saying the same thing your saying, Im not buying up here, as the big investment banks jam the futures higher during the lunch hour. Again thats when most are taught to stay out of the market during lunch. All this time the markets keep moving higher as the amateurs cringe over the fact they missed another big up day. finally the cant take it any more and buy out of pure emotion driven greed, then the market ticks up a few more points and down she goes.

Hey that is from my own experience. Live and learn.

coolweb · Nov 11, 2005

Quote from Rickshaw Man:

Thats how money is made doing what most wont do. The average trader is saying the same thing your saying, Im not buying up here, as the big investment banks jam the futures higher during the lunch hour. Again thats when most are taught to stay out of the market during lunch. All this time the markets keep moving higher as the amateurs cringe over the fact they missed another big up day. finally the cant take it any more and buy out of pure emotion driven greed, then the market ticks up a few more points and down she goes.

Hey that is from my own experience. Live and learn.

Good post, espically about the hungry part.

The market isn't high just because, it'll be high when it breaks, until then, its not high.

Few understands