Thursday, September 13, 2012

Contract Rollover with 8pt Gap Down with Strength at the lows =midday Rally & Reversal.

Contract Rollover with 8pt Gap Down with Strength Appearing at the lows on the 135, 13,500 and lower Ticks. We the whole morning accumulating around the 1429-1431 area before breaking to the upside on the 3rd Time interval (8:00). Old support @ 1433 became new resistance and we bounced from that level.

Recap Notes:
Trade Selection -  Good Entries and Good Exits. Today took alote of patients as the volume was light with little movement early. However i was able to TRUST premise and allow it to play out. I let 1 lot run and got juiced from 3.75pt profit to only a .5pt gain. NEVER LET 1 lot run after a strong move in your favor (unless its a TRD day)

INTANGIBLE OBSERVATIONS:
Block Ops indicator on FOMC release Video

**NEVER FIGHT TRD clues, If these signs are present EXIT and Reverse position prior to 3rd Time Interval or Risk being sucked into a squeeze.**
Clues are:
  1. $TICK NEVER stayed below the 0 Line
  2. $Tick Trend Line NEVER broke the 0 Line
  3. $Tick kept bouncing off the 0 Line
  4. Price NEVER pulled back more than 1pt or so
  5. Price kept breaking into new highs, slowly
  6. Price Ignored ALL signals
  7. Price NEVER Responded to Time Intervals ie. (pullback)
  8. Blocks Not appearing at peaks, but instead on shallow PB in trend
High Time FrameStrength appearing on Block Volume into lows, notice 40500 Block with absorption on the next bar
 Tick showing Block bars on the shallow dips into trend.



Trust the Premise!! and Be patient on the open - Trade behind the premise BUT REMEMBER TO enter at wholesale levels.