Spydertrader's Jack Hershey Equities Trading Journal III

Discussion in 'Journals' started by Spydertrader, Dec 30, 2006.

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  1. In with OMRI $36.05. Have a good day guys (and gals).
     
    #731     Feb 26, 2007
  2. Yahoo altered the format in which they provide data. Wealth-Lab hasn't yet created a 'fix' for this 'new' method of data delivery yet.

    - Spydertrader
     
    #732     Feb 26, 2007
  3. tr222

    tr222

    For those trading the Bruno R setup could you help me out with the volume levels that you are using for entry.

    Here is an example : Say the indicators are setup for a bruno r and everything is looking good in terms of the channel location. Price increased the previous day on 100000 shares which is relatively low (close to DU but not quite)but slightly higher than the previous day. For entry what level of volume would you look for to enter the next day. Would it be enough volume to just make it past the previous 100000, or would it be breakout volume levels of something like 3 times the previous day (300000). The reason I ask about using breakout volume is b/c the volume has been low (close to DU) over the last few days, however it seems that some people are entering a bruno r play when the volume levels are still low. Im confused on which meathod to use. Any help on this would be great. TIA
     
    #733     Feb 26, 2007
  4. bdolnik

    bdolnik

    Since OMRI is doing so well and was not on the DU list would you mind commenting on exactly why you were watching it today? Is it JUST because it's at the bottom of that long term trendline, or is there more to it.

    Hope this isn't too stupid of a question, I know some on here have already stated they got the reason, but I wan't sure :)

    Here is my daily chart... THANKS!

    [​IMG]
     
    #734     Feb 26, 2007
  5. OMRI was a bruno play for me on friday... entered at 35.25 :D

    anyone still long this NVEC? it's still going up like a space shuttle hehe


    what other stocks are people in today?
     
    #735     Feb 26, 2007
  6. thething

    thething

    in ftek at 28.70
     
    #736     Feb 26, 2007
  7. OMRI formed an FTT on Friday. FTT's mark a change in sentiment. Where once traders felt OMRI had too high a Price, Traders now feel OMRI had a fair (or even cheap) Price. Every time we see an FTT, we have a change in how the market views the particular entity under review. The same process works in Equities, Futures, Forex - you name it.

    Welcome to the advanced methods :D

    - Spydertrader

    <img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1373899>
     
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    #737     Feb 26, 2007
  8. First, you need to understand your context. Already you have Price sitting at or near the right trendline (of the up trend). What other trends have dominated Price up to this point? Were we in a downtrend? Did Price move along laterally? Is Price close to breaking the right side trend line of that downtrend? Once you know the context, the Jokari Window provides easy answers as to how one uses volume to understand direction.

    Remember, increasing black volume in an uptrend or increasing red volume in a downtrend both signal continuation. As a result, if you held a long position and your charts showed increasing black volume, continuation (in this context) means hold.

    As I have said many times, The Hershey Methodology differentiates between continuation and change. Focus on which of these two signals the market is telling you, and you won't have to worry about anything else.

    - Spydertrader
     
    #738     Feb 26, 2007
  9. bdolnik

    bdolnik



    Ok, I've been reading quite a bit about FTT's so I get that, and it's pretty clear to see now that I'm looking for it. Does the fact that it hit your blue uptrend also add any weight to this? It seems to me as though it would.

    Thanks again for all your unselfish contributions over the last couple of YEARS!!
     
    #739     Feb 26, 2007
  10. While nice that Price Hit the Blue trendline and bounced, had I drawn in my up trend lines using a different day (slightly longer term channel), Price would have just missed the line. In other words, because (prior to today) we had increasing red volume, the dominant trend was down. As such, we pay more attention how Price behaves in the down channel. In this case it formed the FTT. Having said all that, with time, practice and experience, you'll see Price respect these trend lines well into the future. Almost as if you owned a copy of Tomorrow's Newspaper, Today. :D

    Glad you have found these Journals helpful.

    - Spydertrader
     
    #740     Feb 26, 2007
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