Today we had a +.25pt Continuation Gap + Early test of Strength = Post 90 Gring Rally from 1624 < 1632. The same patterns are showing up as specialist mark prices lower early and in the globex session. Looking for accumulation signs on Extreme lows is a good premise. Also check for retest of Block bar strength from the higher time frames 5M +
Recap Notes:
Trade Selection - Ok Trading, Ok-good Entries, Very Poor Exits Early.
Sequence 1-3 Took some good entries but failed to take the profit when given, the ranges are tight early and 2pt should be booked at least on 1 lot. Alote of probing for rhythm early.
Great Trading, Good Entry, Great Exits. (Trade Of the Day)
Sequence 4 This was A(500 single cycle in trend that printed block bars on the lows, price moved back a bit and i was able to get more on. We printed an absorption profession bar on the 5 minute that confirmed the hold. the break above that bar moved us slowly to the 16290 area where i book most of the lots. Good trade exiting into the rallies and taking signals after entry very serious. Stayed Focused!!
ADJUSTMENTS & OBSERVATIONS:
No News Weeks - On weeks when the news is very light such as this week we need to trade the general trend as these are good opportunities for specialist to create demand by marking prices up on low volume regardless of signals strength.
Trust Signals that show up on higher time frame - Today we had pro bars closing on the highs of the 135000 with Stopping Volume. This was a clue that professionals was selling into the early rally which resulted in a 7pt decline on the 1st Ti.
Also we opened with a 3pt reversal Gap that shows a high probability of price moving in the opposite direction of the early open starting with the 1st Ti.
Check News prior to trading!!! - When we Blocks against the premise check the higher time frames and follow the $Tick trend. Today i got shaken out of good position because i reacted to block bars on the lower time frames (15 &5) but no where else while the $tick was still trending lower... With a strong premise these can be dismissed until the 5minute,15 minute, 45 or 13500 tick response also with block volume.
Trust Signals that show up on higher time frame - Today we had pro bars closing on the highs of the 135000 with Stopping Volume. This was a clue that professionals was selling into the early rally which resulted in a 7pt decline on the 1st Ti.
Also we opened with a 3pt reversal Gap that shows a high probability of price moving in the opposite direction of the early open starting with the 1st Ti.
Check News prior to trading!!! - When we Blocks against the premise check the higher time frames and follow the $Tick trend. Today i got shaken out of good position because i reacted to block bars on the lower time frames (15 &5) but no where else while the $tick was still trending lower... With a strong premise these can be dismissed until the 5minute,15 minute, 45 or 13500 tick response also with block volume.