S/R

Discussion in 'Journals' started by sulong, Jan 26, 2004.

  1. I'm looking around to learn how to attach charts.
     
    #11     Jan 27, 2004
  2. dbphoenix

    dbphoenix

    Do you mean save them, or attach them to your post? If the latter, see "Attach file" at the bottom of the post dialog box.
     
    #12     Jan 27, 2004
  3. I was using paint to write on my chart, but it wasn't looking good so I stopped.
    The solid lines on this 5 minute chart represent the previous days hi, low, and closing range.
    the dotted lines are the pivot and R1.
    The pivot and hi of closing range, make a double line = reversal more likely.
    The full bodied long bar at 7:00 represents the gage of continuation or not.
    A retracement of more than 50% of that bar, diminishes the likelihood of continued down ward movement. My line in the sand for that was 1530, which was violated 3 bars latter.

    The oval shows an area of consolidation.
    The price first pokes through by 2 - 3 ticks and then retreats, but not by much.
    After a few minutes, with no further movement down ( showing strength ) it becomes more likely that if the price moves, it will do so on a continuation away the low.
     
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    #13     Jan 27, 2004
  4. dbphoenix

    dbphoenix

    Don't you mean a ret of more than 50% diminishes the likelihood of continued UPward movement, since a ret of more than 50% implies weakness?
     
    #14     Jan 27, 2004
  5. dbphoenix

    dbphoenix

    Incidentally, if you like annotating your charts on your computer and saving them, you ought to look into getting a copy of Paint Shop Pro. V. 7 is available on eBay for as little as $10 (which is what I have; don't know about v. 8). The drawing tools are excellent. They may be more than you need, but they sure beat the hell out of Paint, or anything available online.
     
    #15     Jan 27, 2004
  6. I'll tell you what I did, and may be make it more clear.

    I entered a short at 33.5, 6:53am ( oh ya, my charts has west coast time on them )
    On the 5 min bar at 7:00 was a LRB, so once it was finished, I moved my stop to 1530, and then about three bars later was stopped out. No more down bias at that point.
     
    #16     Jan 27, 2004
  7. dbphoenix

    dbphoenix

    Yes, I see your point now.

    Could you elaborate on "To me confirmed means More than 60% retracement of the immediate prior move."?
     
    #17     Jan 27, 2004
  8. A prior move can be either a series a normal range bars, ( up to 4 .5 points long) or a long range bar 5.5 points+.

    So if there is a move of say 8 points, I'll give a retracement of that 8 points up to 4 pts = 50%, and I'm still right. But not 4.5, = more than 50%.
    So when I said 60% it was just an estimate, to mean greater than 50%
     
    #18     Jan 27, 2004
  9. Today I didn't have a double line any where to take a reversal on. So I lacked confidence on entry.

    I did enter a long on a test of the bottom of yesterdays closing range.at 6:40 and exited at 6:47 on a test of yesterdays close.

    The next opportunity for entry was at the test and eventual failure of the pivot. ( Which I did not catch, I took my eye off the ball )

    I'm still working on wrapping some rules and parameters around continuation type entries. ( See oval on chart.

    The NQ retraced all its gains from yesterday, and as of the close, sitting on a support zone of about 5 points, from 1520 -1515.
    This support zone and the current Resistance zone at 54 - 60 may turn into a nice little trading range.
     
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    #19     Jan 27, 2004
  10. dbphoenix

    dbphoenix

    A suggestion: put up charts of the YM, ES and NQ all at the same time (your charts really don't need to be so big). They can often be used to cue off each other.

    For example, today the YM came within a point of the PDH. When it made its lower high after Consumer Confidence, the ES and NQ were failing to make their own new highs. The weakness in the YM might have given you the confidence to take the short in either the ES or NQ.
     
    #20     Jan 27, 2004