i think the market has bottomed for the day, and so will be scalping longs. I have a feeling todays close will be higher than Fridays low.
Why do you believe there will be a gap down tomorrow and if there is, why are you confident it will close? Just curious, as I am not opposed to your view.
I didn't say that after it gaps it will close. I said, if it gaps up (opens higher than todays close), then the price will come back to todays close. Therefore, the gap will have closed. If it gaps down.... i don't know if it will close. I don't see a reason for it to close as the direction is biased down. Basically, I take a directional bet on the gap, if it goes my way, the gap play is finished and i exit. If it goes against me, I take profit from my hedge, and double down on the original bet that it will go in my direction because my theories/indicator say so. I use a customized E-wave theory, and the relationship of volume at pivots. Basically a black box theory that I'm in the process of programming and perhaps will sell to some big wig company. edit: I also analyze the relationship of a constantly changing pool of stocks based on criteria that i set forward. Using these stocks, i'm able to find information about what will happen that i wouldn't be able to find using just and NDX or QQQ chart. edit: deleted a paragraph cause i misunderstood u.
Lundy, Are you invovled in non US markets at all? eg. Eurex. How are your gap plays working with that?
I havent used my gap plays in any foreign markets but I think it would work as long as the market closed for a certain number of hours like the Nasdaq does. The gap play doesn't work on 24 hour traded instruments like the nq's. Most of the other plays I have will work on just about anything.
covered my NQ's at the open for +10 points. Selling my calls into this (brief?) rally. Will reevaluate whether to get short here or not.
out half @ 1098 + 8 i'll just scalp on the short side unless we take out highs, then i'll reevaluate, g'luck everyone.... edit: i'm overall bearish, but, I've basically just decreased my exposure after this am's profits
i'm sticking to my plan... if the NDX goes over 1124, i'll reevaluate. NDX double bottom on monthly charts? I very highly doubt it. I've got my orders in, i'm gonna go take a nap cause all this sleepless nights are making me tired.