The ACD Method

01-26-2012 pre open.

Overnight Inventory is LONG and i will be watching to see if Open and 1st 30 minutes into open are as BULLISH as Globex price action.

 

Could you elaborte on overnight inventory ? Thanks!

 

This is a concept i learned from Jim Dalton. Yesterday ( 01-25-2012) close is 99.40. As of 8.15 am ( eastern time) CL is at 101. This means lot of traders are holding long positions from Euro session.

At the open couple of things can happen

1) market opens up and continue one time framing ( meaning keep it's upward movement without significant movement). I do not want to short into this set up.

2) market opens up but gets marked down significantly into 1st 30 minutes after open. I want to short into this on bounces.

So basically based off Globex price action, expectation is for price to go up, if not, there may be trouble ahead.

 

Thanks, will be interesting t osee,

 

Ummm, far be it for me to post at 6:30 am (Pacific) but umm, FCX is up 5%... today!

 

Yeah very strong. The monthly A up was at 41.84.

 

your charts are not coming through.

 

Perfect failed A up in the ES. Straight to the A down which is 1321.75.

 

1st trade off failed A up set up.

 

We actually have some serious weakness in many sectors today. Just an fyi...