your insight is amazing...thanks!...how does one know that stops were placed "just under 1115.00"...what tells you that?
Stops are placed at price zones where "obvious" trades become invalidated. Often, in a strong trend especially, you'll see little headfakes that appear to set up a reversal, only to use the trapped counter-trend traders' stops as fuel to continue the move. Honor your stops when this happens, and consider reversing sides quickly to take advantage of the trapped counter-trend traders, the trend-followers joining the trend on a pullback, as well as the previous holders who exited thinking the trend was reversing and now chase the market up to get back in. I do use volume in 2 ways: 1) If the buying volume of a series of bars in my time frame is greater than the selling volume and the trend is up, I look to enter on pullbacks the minute buyers come in; vice versa for selling volume. 2) When a narrow price range is established on low volume (narrow range consolidation), I look to buy or sell in the direction of the breakout as long as the breakout occurs on increased volume. IncNow, in these last few pages you have enough information to put on some decent live trades. They don't have to end up profitable; you NEVER know what's going to happen next. BUT you should be able to make sensible trading decisions. Now go for it!
update 2/28/2010 at 12:36pm New York time EST Focusing on: **All CME Globex Futures... ES Euro Cad Aud JYen SFranc CL GC (not focusing on GBP cme globex future because tick value of $6.25 is pretty lame/weak...anyone trade this?.why different than the others?) *using 5 minute chart solely *using 20 ema (thanks spd) *using volume (thanks spd and no doji) *will use insight gathered from Friday until now from nodoji and spd...thanks!
Of course! But this is your journal, your journey. Stay on topic please. Big day tomorrow, live trades galore. Get some good rest tonight please