Wow... The Value-ranges worked as a resistance today. Although I usually buy if the price opens above the value-range, I had decided not to do it because of the overhead resistance at 1289.5-1290.5. It turned out to be a good decision. Plan for March 07, 2006. 1287-1288 has been identified as the value-range for tomorrow. ES is currently at 1278.75. Since the market is about 8 pts. from the value-range, I will be looking for the next value-range to go short (because I do not think the market will trade at 1287 and if it does it could be a reversal). The value-range on 3/01 was 1282-1283 which is about the price where I want to go short. I will have a sell-limit order at 1282-1283. Any questions/comments?
I have been going through the price action for the past 6 months and I noticed that when you enter a limit-order, if you're not filled in by 12.30 EST, cancel it. The current price is already away from your limit price and if it comes back to your price it could be a reversal.
Here is what I'm going to do today. I'll take the (9.30 Open for ES + 1287 )/2 as my sell-limit order with a four pt. stop.
I just noticed that there was significant volume that changed hands around 1279-1280. If the market opens below 1279 at 9.30, I'll have my sell limit at 1279 with a stop at 1283. If it is above 1279, I'll see if I can get 1281-1282. Won't be able to post for the most of the day.
Hi Emini..I hope this trade works out for you but I would like to know why you moved your order down to 1278...did you generate a new level........I don't like going against the fact that the market returns to the previous days close over 70% of the time...it seems the market is building a POC for today at lower levels so I would like to be long above those levels.....but I don't know...I just hope you get your target...It also seems that we don't see back to back days where the dow breaks it's hour highs ( like yesterday) and then breaks it's lows on the same day...I'm watching the dow today...anyway...I hope you win and the trade works out for you...
This morning I realized that there was significant volume at 1279-1280. I had wanted to go short at 1279 but in the first hour after the market opened, it did not come to 1279. The high was 1278.5 and the low was 1274.5. 70% of the time the 1st hour high ends up becoming the high of the day. Since there was overhead resistance at 1279-1280, I decided to go short at 1278. The market did go up to 1278.5 after I was filled but it went back down soon after that. Let's see how the day unfolds. http://biz.yahoo.com/tm/060227/13984.html?.v=2