Trading the Pivots

R1 - 1341
PP - 1335
S1 - 1331
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Interestingly enough, price action most definitely is respecting the previous days' Open and Close as these charts (and please feel free to pull-up your own) clearly show.

Yesterday's price action leaped up to R1, found resistance, traded back down to the previous day's Open, and held strongly into the close.

Price action is currently trading in the value area created by yesterday's action. If it opens and/or trades to up side, look for opportunities to be Long (while keeping an eye on R levels), if it breaks through the bottom, look to Short (the same can be said of S levels here), if it stays in-between don't trade it.

Keep this in mind, and see how it affects your trading ... I'll be doing my own.

Best Regards,

Jimmy Jam

P.S. As you can see, the short delivered the goods yesterday, and that's how I played it ... good trading tomorrow.
 

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Quote from caddyshack2006:

yea good idea, slip that bs in while everyone is sleeping. howaaa

:D :D :D :D
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Caddy you are mad hysterical. Do you not want to actually learn anything????!!!, oh sigh, what's the point? :confused:

JJ

Tell me, quick, what's your game plan for tomorrow? ... Open your email and read what your signal provider says about the markets ...
 
Quote from JimmyJam:

Caddy you are mad hysterical. Do you not want to actually learn anything????!!!, oh sigh, what's the point? :confused:

JJ

Tell me, quick, what's your game plan for tomorrow? ... Open your email and read what your signal provider says about the markets ...
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i dont worry about that until 9:40 am, but your yelling long now so im calling my banker at the friggen crack of dawn. i'm going short with everything i got at the open. :D :D :D :D
 
Quote from JimmyJam:

Tell me, quick, what's your game plan for tomorrow? ... Open your email and read what your signal provider says about the markets ...
More...

I give alternatives caddy, I don't have a crystal ball like your black box provider.

But what are you going to do when their algorithms stop working? ... you think they'll give you your job back at the A&P?
 
Funny how closing a position is now called puking, you must be one sick dude by now in that case JJ. That was a small position due to probability as I have pointed out before, therefore stop level was flexible, I could have averaged @ next support level on daily (as B1S2 mentioned reaction low) but I decided not to and that was my mistake, not because I was sitting on some huge loss. It was a mistake to close it, you were right there, but it's my money, so decisions good or bad have to be mine.
 
It's a puke man (the market gave you more risk than you could emotionally tolerate, you closed the postion at Maximum Adverse Excursion, and the market moved back another 15 or 20 pts in the favor of your trade), get over it and move on the next trade.

The purpose of the comment was to show the validity of making technical analysis when trading.

I don't think it has much ... and even if you DO use it, it's a well known tool and can be gamed by the market makers who are looking to bust traders out of their position(s). You can't use intellectual analysis when trading because the emotions get in the place of a rational decision making process (the ID takes over and starts running the show ... Fear & Greed).

I'd rather take the route of If/Then/Else Logic flow looking at multiple criteria in my trading any day. I can set the parameters of the trade(s) I'll be taking the next day, work in multiple non-correlated or semi-correlated markets (hence diversification, spreading the risk adroitly).

This isn't the first time I've seen it, and until I stopped playing the Technical Analysis game I've done it myself as well, but thanks for the example.

Best Regards,

Jimmy Jam
 
Quote from JimmyJam:

It's a puke man (the market gave you more risk than you could emotionally tolerate, you closed the postion at the bottom, and the market moved back another 15 or 20 pts in the favor of your trade), get over it and move on the next trade.

The purpose of the comment was to show the validity of making technical analysis when trading.

I don't think it has much ... and even if you DO use it, it's a well known tool and can be gamed by the market makers who are looking to bust traders out of their position(s). You can't use intellectual analysis when trading because the emotions get in the place of a rational decision making process (the ID takes over and starts running the show ... Fear & Greed).

I'd rather take the route of If/Then/Else Logic flow in my trading any day. I can set the parameters of the trade(s) I'll be taking the next day, work in multiple non-correlated or semi-correlated markets (hence diversification, spreading the risk adroitly).

This isn't the first time I've seen it, and until I stopped playing the Technical Analysis game I've done it myself as well, but thanks for the example.

Best Regards,

Jimmy Jam
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A "puked" trade is when one is down a substantial amount, surpassing all stop levels based on %age loss of TC. There was a bearish divergence on 240, which I was hoping would not come into effect until more upside, then the Thailand news came in, you know the rest.

And if you do not rate TA (that's how I understood your post), then why in Gods name are you doing this TA based journal. My TA based journal is doing mighty fine BTW.
 
Quote from romik:

A "puked" trade is when one is down a substantial amount, surpassing all stop levels based on %age loss of TC. There was a bearish divergence on 240, which I was hoping would not come into effect until more upside, then the Thailand news came in, you know the rest.

And if you do not rate TA (that's how I understood your post), then why in Gods name are you doing this TA based journal. My TA based journal is doing mighty fine BTW.
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OK, news from Thailand, now you're moving from using TA to making your trading decisions based on the news ... alrighty then (note to self: never trade off of the news).

For the zillionth time, this journal is an excercise in learning differnt concepts about the market (at least that's what I'm using it for). Like I've been saying for months, I don't trade off of the floor pivots, sometimes they work, other times they don't and I want a system with a higher expectancy than what they can deliver.

Your trade was a great study in why you shouldn't average down without an adequate game plan, because most guys end up puking (one can puke from being sloppy drunk, or one can puke from sticking your finger down your throat, but a puke is a puke, you gave back something which should have given you value, right before it did, THAT IS A PUKE) ... and yes romik your journal remains a pleasure to read.
 
Practise what you preach comes to mind here. You don't believe in TA, though you are working on this, for what exactly? For whose benefit?

At least my J has PnL of ALL live calls it has generated and the only reason it's not filled with multi-views is because the vast majority of ETers want to see short term results using high leverage, everything else they simply haven't got enough dough for. The majority of journals with high volume click-through rate are dedicated to short-term (intraday) and I would love to see ongoing PnL in them.

Quote from JimmyJam:

OK, news from Thailand, now you're moving from using TA to make your trading decisions to using the news ... alrighty then.

For the zillionth time, this journal is an excercise in learning differnt concepts about the market (at least that's what I'm using it for). Like I've been saying for months, I don't trade off of the floor pivots, sometimes they work, other times they don't and I want a system with a higher expectancy than what they can deliver.

Your trade was a great study in why you shouldn't average down without an adequate game plan, because most guys end up puking (one can puke from being sloppy drunk, or one can puke from sticking your finger down your throat, but a puke is a puke, you gave back something which should have given you value, right before it did, THAT IS A PUKE) ... and yes romik your journal remains a pleasure to read.
More...
 
Quote from romik:

practice what you preach comes to mind here. You don't believe in TA, though you are working on this, for what exactly? For whose benefit?

At least my J has PnL of ALL live calls it has generated and the only reason it's not filled with multi-views is because the vast majority of ETers want to see short term results using high leverage, everything else they simply haven't got enough dough for. The majority of journals with high volume click-through rate are dedicated to short-term (intraday) and I would love to see ongoing PnL in them.
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Dude, the market looks like it's going to hold right here, so I'm going to make this short and sweet for you while I get ready to catch this reversal.

Nope I don't believe in any set paradigm, I believe in doing what makes money ... period.

If I can catch a good trade off of the Floor Pivots three days a week (I'll keep them on my spreadsheet) and use them as a reference for potential market action - but I'm not going to rely on them as my primary decision making tool when entering trades.

I am soooo not doing this for the vast majority of ET'ers, click through rates, somebody else's marginability, etc. I'm doing it to experiment with Floor Pivots, and anything else that I (or the reader) can LEARN along the way that helps our trading is A VERY GOOD THING. Your arguments are specious at best, and actually are bordering on being pretty silly at this point. My mini trading had an amazing click rate, and most of the viewers were simply downloading his PnL statements :confused: . You even made comment on this fact ...

I'm tired of explaining the process of experimentation to "traders" who constantly question it, (experimentation, nah, that couldn't be a good idea ...), here, keeping in this vein, let me give you an example of why using an experimental process would be good a thing.
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Entering a trade that is moving against your position, legging in as it were, while experiencing drawdown, despite what your technical analysis shows as being good Support/Resistance areas, the trade continues to move against your position. Now either due to the pain of sustaining the loss OR due to some piece of new item which flashes across your screen/bloomberg/trading news channel that you are watching while trading, you decide to exit the position at a loss - [THIS IS FEAR IN ACTION], only to see the market REBOUND! [THIS IS GREED IN ACTION - THESE ARE ONLY TWO FACTORS IN THEMARKET THAT REALLY MATTER ... FEAR AND GREED] in a dramatic fashion shortly after you closed your position.

That would be a VERY GOOD experiment teaching me to never ever do that again!

Oh, man, support didn't hold and my SHORTS are coming in.

See ya!

JJ
 
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