First half between 9:30 to 10:30 ET, second session after 10:30 ET. I didn't follow the news so didn't know when he made his speech. But second session was very volatile.
Two Questions For Practicing Day Traders
- Thread starter ironchef
- Start date
I probably don't have another 10,000 hrs to spend on screen time. I am an old trader. Fortunately not a bold trader.
This morning I made good use of what you taught in your thread: HL & LH.
Thank you for the coaching.
This is what I traded this morning. I traded with 1 minute chart. Made 6 trades, all positive and called it a day.
My sincere thanks.
Ironchef, The following is a 5 minute ES chart. It formed a bear flag off the open into the 20EMA. Note the slope and the clear down trend from yesterday. Sometimes a consolidation can be pretty like a standard 2-3 bar pull back and sometimes it isn't like this mornings expando but the concept is the same, it's consolidation in a trend. Aggressive bears sold the close of Bar 4 anticipating failure at the top of the flag near the MA. A more conservative entry would be under the Bar 3 doji. Amateurs were looking for support and a reversal and got trapped adding fuel to the short.
Thank you @speedo, I have to study this carefully.
I don't trade ES, only trade individual names, I have about half a dozen names I own and I select one to trade every day based on my opinion of the day.
I trade 1 minute charts, don't use indicator, execute trades based on its pattern, aided by tick by tick and 5 minute charts.
Let me see if I can add some technical indicators to help selection and timing.
I think technical indicators can help with confirmation of continuations as my tendency is to exit earlier than necessary.
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! minute chart is a tough way to go but price action is similar for any market. If I were yet to be profitable , I'd move the time frame out further, it will add some stability and be less stressful.
Thanks.
I realize that now. I started my current exercise with 1 minute chart (actually don't remember why), built a model and a process around it. I am profitable both with real time paper trades and small size live trades so decided to stick with it to complete my live testing trial.
After another month I will switch over to 5 minute and continue live testing.
If you must use an indicator, EMA20 (I prefer 21) as @speedo suggested is not a bad one to try because so many traders follow it. However, it's a lagging indicator so you must combine it with price action. It should not be used alone.
Yep, price is always king. I use the MA as it gives me a geographical reference point. I could certainly trade without it but it's like a favorite pillow