Daily chart's histogram bullish pattern now complete, as daily is a weighted chart, as far as big players are concerned, there ought to be quite a bit more upside next week. I will remain long as long as 240 stays bullish. Still 9 disagree vs 2 agree, I expect to see poll at least at evens as price nears $95, as F. Sinatra has sung "That's life..." Best to all!
Usman, have a look at Gold 2-3-4 hour current chart, same bullish pattern. And here is the beauty of this which ImO/ImE is very important to a highly leveraged trader wishing to participate in larger oscillations without having to reduce size or extend stop levels. If you see a bounce/reversal pattern in the making on time frame which is longer term than your usual intraday frame/s then it is very reasonable to expect larger range expansion providing that pattern is kosher and bait is taken. The easiest way to catch bigger oscillations is to wait until shorter term charts start providing signals confirming that longer term chart's pattern. (That's common knowledge). Then all one has to do to keep stops as small as possible whilst not having to reduce size is enter ONLY when 1 min chart provides a trigger point. When that happens if you are wrong on timing or in your analyses stop remains small as 1 min chart support and resistance zones are tighter, but if and when you are right momentum can be so extreme that range expands without you having to have to worry about price getting back to your entry level, then you may consider to scale out or keep 100% position on, that's a personal matter. So far this has been a typical example, signal taken off a longer time frame, confirmations were taken off shorter term charts and trades entered off 1 min chart as trigger, a few small losses ranging from .20-.30c but look at what the unrealised gain is at this moment. As long as risk reward has been properly set with realistic expectations one can afford to have quite a few small losses and that's it pretty much. I am sure you know most of it, I just wanted to clarify tight stops Q.
I think price will put in a right shoulder before it (IF!) goes down. <img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1785358>
Excellent call JSS. I'm curious what are your thoughts on a 1-min vs a 2-min? I normally use a 2-min, but sometimes the bars have too much range for me. Any thoughts?
TY! I use 1 min as a trigger AND as a pattern chart also. Whereas I only use 2 min as a pattern chart. 1 & 2 are pretty close, what do you trade?
CL, NG, QM, QG I was trying the 2-min out on the ES on friday, but the bars were just wipping up and down. Do you ever try a Tick - I use it but get alot of false signals.