I'll be the first to admit that i did not expect this mkt to rally today but hey today is take back friday so i guess we will see profit taking on shorts up to the close. the mkt is poised to turn all out bullish and ES could trade well above 952 today. with all sectors turning green i expect a trending day with strong upward momentum without any selling into the close. instead i see buying into close. again i must say i don't believe it but im just going with the flow and i will stay long as long as possible.
PRETTY AS A PICTURE Let's see if we fall some to retest the neckline before a continuation. 10:30 looms 27 to 17 would be ideal
I see. 2nd target of 50% hit In general I do not use daily chart for my daytrading ... my money management takes care of the ride.
stops are to keep you from blowing out, at some point you learn to neutralize your emotions. People say Seykota is nutty for talking about HOW YOU FEEL when you experience drawdown. I say this is genius, ever see a trader lose a million dollars? If you ever spent time in the pits, you would see fistfights, arguing, puking, etc. Remember buy1 is a position trader so you need wider stops, you need to adjust your trading so that you can hold thru the swings. Whatever works, some find it helpful to walk away from the screen. Good trading.
I due recall some of that correlation, but I'm more inclined to think that it had a greater relationship with what the market did the following weak.
Critical time today is after Europe close. If ES travel back down below pivot ... sell off will continue. ES was lifted mainly due to USD/JPY bounce off a minor support level.
The market just did the opposite of what Apex was talking about. He noticed a tendency to rally into the number then sell off after. I pointed out at the time that a simple back test showed little correlation but he was talking about relatively short time frames.
Sorry, I wasn't attributing that to anyone but myself. For example, it's probably a wise policy to buy into Obama speech and sell right after.