DB from Phoenix, What is it about this board that generates such animosity and arrogance? Is it that most traders and wannabe traders are frustrated angry misfits? Surely not. In your posted documents you write rationally and have some very worthwhile comments. Yet on the board you behave like Nitro and other elite nutters with comments like "What a great example of a fried mind". Which is the true you? I know from my own profitability that even if I can't follow half of Grob's postings I make excellent decisions based on a combination of long term channels for direction and short term channels for the swings. And my mind is quite clear.
Just couldn't let it lie, could you, Jack. The fact remains that all of this is drawn in hindsight, even though you drew them "ASAP", and the fact remains that you haven't demonstrated that you -- or anyone else -- can actually trade this. I said before that never had I encountered anyone who could make something so simple so complicated. Nothing you've added has changed that. I'm sorry that people aren't paying more attention to you, Jack, but that really isn't my fault. Or my problem. If criticizing me makes you feel better, that is also your problem.
Here I want to emphasize market pace. DU is 2500 or less slow is 4,500 to 6,k Medium is 6K to 10K and fast is 10K to 12.5K extreme volume is 20K or better For those in NQ, I'll fill in later. use 750 for DU and 6,500k for extreme. You can interpolate if you want. The drift is to be cognizant of volume ranges so you know the channel behavior as the time unfolds. You have the IT trend out there and you have the "carryover until it is "extinguished". We are by 10:30 (bar 13) in the groove. First profits are in the can with a trading log that is based on fast pace and a corresponding trend. Today there was HVS on the L/R's
I am not programming dbphoenix formally at this time. In the past I have "handled" some people. What this means is I was getting them to say their thoughts so that I had a substantive basis for replying with my viewpoint. Dbphoenix is on "automatic" and combing all the technical comments that I am making. In lieu of responding technically he is only keying off the word "mess". From this point on I will get a little more specific to enable him to respond on topic technically. He is angry from the same viewpoint of nitro. He has taken on the guardian job just as nitro has. Most guardians are not too specific about anything except the "messages" they are thinking they are getting. So I am what is called "the messenger". What messengers generally do is bring "bad" news. It is true that there is a lot of "bad" news out there vis a vis the "mess". On ET I do not address the failings of stuff that others promulgate, especially theory, etc. While I am known for theory in the field I do not espouse it here since this is a trading forum for sharing practices for making money. Chart 6 is "riding the carryover after the fast pace ends". It addresses how the trend of the past day sets the interday pace of the market and as a consequence, the upper limit of ES for the time being. This is called the R or resistance level of the market. the market opened by moving up to it on bar 2 and then the short opening trend formed from that. Now at 11:am we again begin to address making money along the position trading channel carryover upper limit at R. One caveat is the overnite H/L range. It is a lime horizontal line that was put in before the open. All the limits for a day can usually be put in ahead of time it turns out. This keeps you out of messes and also precludes many surprses. It does not get dull at all but on the other hand, it gets to be a "thorough" money making effort. For doing the market, you always complete stuff ASAP and then, price fills in the space that is bounded for it. Channels are begun right as they are needed for making money. Channels are not like news reports and commentators where they explain what has just happened, etc. The trading business of making money is such that we stay in the ball park at all times and play baseball. The rules are defined by the market's pragmatic ways. Channels are not used to describe what happened. They are not drawn in "after the fact". That kind of stuff is not what is done to make money. Channels are out front. That is why, in chart 6, we come up to the interday upper limit of the carryover and we expect price and volume to behave while we are there."
we hit the high for the day here before first half of day is over. I feel comfortable with a "W" day at this point. All "inside the carry over channel. do I get "out" of the channel after hitting the high on "extreme PRV volume?
Perhaps you are just being hetorical -- I'll answer anyway... if we are out we are out to the left which is just deeper. To the right is when we are really out... the right is where change happens.
We hit midday at bar 40, the 12:45 bar. At this time on today (Friday) the carryover which has been running since it was formed (roughly speaking) at point 1 where a "bounce occurred off the IT. This was about 12:30 on 20 MAY (Thursday). This is a position context (overnite). We have another corrolation that has occurred as well. It is the overnite range H/L. this is an 18hour period where the substantive data of all the markets around the world come to pass and are "folded" into the context. The Lime lines are scribed to show this 18 hour period and I leave the carryover "position" trend in tact as the third level channel going from smallest to largest. Largest showing (fourth): IT trend in double blue Third: the "position" channel I name as carryover functionally speaking. Second: the usual four intraday channels. either an "M" or "W". Friday (21May) is a "W". First: The smallest channels are travrses of the intraday channels. There are several traders who make use of these channel levels in different ways. One who mentions using them in segmented accounts is from the London areas and another who holds, different levels in a single account by maintaining long holds and trading within the long holds (all the way up to interday trading) is a second shift aircraft mechanic. These are examples of the way sets of channels act as containers for briefer channels. The fact is that by at least these two posted strategies, you can see that concurrent strategies allow for profits to be build on different channel durations. In the posts coming up I will point out how the usual day gives you an assortment of trends to trade.. You are seeing how channels are filled in after they are scribed using a trendline and it's clone to form two parallel lines. Volume leads the price and the combination always communicates to you the markets opporating point and MOST OF ALL THE PACE OF THE MARKET. By now you have seen that during a trend, the market pace can shift. What happens is the width of the channel can change. At R and S, when channels bash into these (left line hitting first), you get to see channel endings and how an ending leads into another basic channel phenomena. I have commented before on how and why others screw this up. Read about these mistakes they are making as preventive maintenance for yourself. Usually the am and pm are separated by a lull. This midday lull is caused by the relatively low volume that fails to overcome the normal "noise" level of the market. Trading on noise is a "random walk' type trading. It is very high risk compared to the lack of price movement possible. What this is is the dilemma of "macro" trading at work. Dilemmas do not have solutions. My pragmatic view is that by taking three times H/L range out of the market daily, it is best to not trade using random walk in noise. Sideline instead. Now to focus on the second half of Friday(21MAY). We come into midday. The carryover is rising into the R. SCT traders at bar 31 (12:00) are short (on first traverse of a new trend) and there is a no spike FTT. FTT means Failure the Traverse going R to L. FTT is the specific signal that a trend (or traverse) has ended. Lets roll.
There is a volume burst on bar 44 that starts out with an "extreme" PRV volume. I annotated the channel context through the midday.