following BuyYourFreedom's advice, I will start posting my NQ day trades. I hope someone can learn from my mistakes, as I am learning by going through other's charts. Overall it was a small losing day, but the point is I totally missed the second congestion area in the morning. I did not trade the afternoon.
mdl , you probably are familiar with most of these..... LOTM - low of the morning HOTM - high of the monring ORH - opening range high ORL - opening range low PDH - previous day high PDL - previous day low EOD - end of the day can anyone else think of any that I am missing.
Hey BYF, Quick question, how would you define, HOTM. I define ORH as the highest high from 9:30am to 10am EST. HOTM would be highest high from 9:30 to noon? Also, do you take into account the prices in the premarket trading, ie. midnight to open into account in calculating the ORH and HOTM? Thanks JW
JW- Someone correct me if I am wrong, but I think the HOTM and ORH are synonymous. I also use the first half hour to indentify the range. I do not take the premarket highs/lows into account when identifying the OR... Anyone have any rules/strategy for trading the âgapâ from the overnight session. BYF
I am not sure about trading the gap... People talk about statistics, and there isnt much to back a strategy on trading it (as far as the ES is concerned.) It seems like a crap shoot. Unless the gap occurs along a major S/R level, and bounces accordinlgy, it seems dodgy.
Thanks BYF, I didn't know what to do about the overnight high/lows... I guess if the ORH is breached, than I can use the overnight high as the next possible resistance... gotta just play with it and figure it out. JW
MDL, I read somewhere that gaps to to revert back to the previous day's range, but in reality not sure how well that holds up. By itself, probably not good enough to trade. To clarify about your S/R theory.. Do you mean if the price opens gaped up at a resistance point, it has a higher prob or either breaking up or down right? JW
Flaborderie, Posting here has definitely helped me become more engaged and I think you'll find the same. I got one more week of work before going full time so I'll be posting a bit more next week. I had trouble spotting your entries, it looked like you came up for the day no? JW
I am curious about other ppls thoughts on this topic too. I find it really hard to work this decision also. I have been sitting out a lot lately due to the choppiness in the ES. But I wonder if there are better options for a trend follower.....it is clearly possible to identify when there is no trend. Is it possible to remain profitable by fading the s/r on these days. Or does that simply make difficult decisions harder? My approach has been to sit out and wait for a valid trend based trade to come by.