ES Journal Archive (2006 - 2008)

This cat isn't so dead after all

 

take a look at volume on daily chart

 

Sold puts after weak pullback from breakout (ES was at 1503).

 

R2 is 1513.33.

 

Several fibs also in 1513-1514 area.

For some reason, my R2 is 1515.17. Must be alternative ways of calculating.

 

Strong trends always go much further than expected.
They even become stronger thanks to the fact that many traders have to close their losing positions by taking action in favor of the trend. They add power to the momentum of the trend.

And often the trend ends when everybody is shaken out of their losing positions.

 

Getting close.

 

That seems like something of an oxymoron. When they go much further than expected, we call them "strong trends." When they don't, we don't. How else would you measure the "strength" of a trend then by how far its momentum propels it ... and how many S/R zones it slices through on the way?

 

somebody flipped a switch, look at the VIX

 

$1460.00 looks like a good spot to be long from. Remember on the way down lots of resistance around this area, $1490.00-$1515.00.