Today we Gap Dn 2.5pts after Peaking at 1268 in the globex session with Block a the high, this wave of weakness pushed priced down into the pre-open and open with momentum. 13 Open Ice moved 5pts till the blocks slowed its progress. We reversed at the 7 zone and traded in a slow trend to the 9zone.
My Daily Trade Video here. Excuse the rough vocals @11:50 I was attacked by my 9 month old who loves to eat the mic foam!! Lol
Recap Notes:
Trade Selection - OK, I took a 15/5 on 2 sequences that never popped. scratching with a small loss and small win early. Then i entered 2 liquid trades same results max in favor 1pt. Good exits no regrets. 4 sequences
Today's 15m Close: Strength. High volume Wide Spread Dn Into Support.
Accumulation Range: Intraday Session: Blocks @ 1256-1253
Globex: Blocks 1251-1255
Distribution Range: Intraday: None Globex: Block @ 1263-1268
Today's $TICK Close: 279
The Daily's
Dow - Weakness. Closed Up on higher but still low volume but just off the highs approaching a cycle Resistance. Printed NoD
ES.D - Short Term Strength. 135 Bounce off old R new S @ 1250 on high volume, forming a flag continuation. Also approaching Cycle Resistance. Testing 1260 on High Volume a break above this level on the weekly and we could see a test of 1300? The recent rally in the Dow and ES had weakness written all over it BUT i think the specialist will continue to mark prices up to close year with gains in their long term aggregate accounts.
Internals - Weakness. GE closed up as an inside day after PT closing off the highs signaling possible weakness also at a cycle R point. BAC closed up into Resistance on low volume. Cisco appears to be fighting a cycle Resistance.
INTANGIBLE OBSERVATIONS:
Be aware of Time Interval that print Blocks and Probars in counter trends - This may appear without Cycle Syncs so don't hesitate.
Globex Momentum is Key - Blocks on wide spread bars at the peaks that precede a sell off could be specialist positioning themselves short, If the momentum remains into the pre-open, then the open has a short bias due to the most recent momentum.
Focus on Waves of Strength and Weakness as the primary directional clue -This should be qualified prior to entering ANY setup, the 15/5 sync can be wrong if they are against the most current wave of S/W.
Globex Momentum is Key - Blocks on wide spread bars at the peaks that precede a sell off could be specialist positioning themselves short, If the momentum remains into the pre-open, then the open has a short bias due to the most recent momentum.
Focus on Waves of Strength and Weakness as the primary directional clue -This should be qualified prior to entering ANY setup, the 15/5 sync can be wrong if they are against the most current wave of S/W.
45/5 Syncs must Have multiple confirming clues - The 45/5 sync must have clues to confirm, ie 1500 is broken into a trend or has exhaustion and High Volume before entering, The reason is that the 45 is too slow and the 500 is too fast so the sync may be misleading.
Be Very Patient on slow opens - On slow opens focus on action around time intervals and position accordingly, these may be the best RR:R and only opportunities on the day.
When Probars and Block Bars show up on the right side of a peak and don't destruct, then this is a buying clue.
Conversely when Pros and Blocks show up on the right side of a spike and doesn't rally then this is a selling clue.