I think the way Yahoo is set up, to join a voice conference, you have to be invited. If possible I would like to continue to follow along at that level. If not possible, I hope Jack will continue to progressively post in his journal. The journal is a great reference and I was able to answer the questions I had about the stop log and many more. This has been a terrific thread from day one and it would be great to continue the learning process. Steve Yahoo ID: Stevecs314
I am getting a late start this am (illness), so I want to cover the bases in a "as if" manner. i will poste the preflight "as if" I did it the evening before which was what I recommended. Then I will do a post on this am's happenings.
thursday Pre flight. Pre open flight check Before open look at the picture. NC means no change a. do 5 min chart viewing. Mine is two screens wide and I see all of tues, weds,thurs and Fri. four plateau connected by trends. we look to be in evne harmonic land. I see that the top of the graph os almost 1000 and the bottom is 975. dropping Tues is NC. yesterdaywas a step all day at the R of S/R. Still have 975. Extend channel lines into am. Drop Weds. Four days form pennant, We have lost 5 pts each on the S and R. We are easing out of the even harmonic. Showing Fri to weds. we have a completed pennant. The bracket we used are the current values for the open coming up. There is always a BO out of the end of a pennant. b. Volume is scalloped and not very regular for each day. This means the days are not uniform and they look light and anemic. IT DOeS NOT TAKE MUCH VOLUME TO GET BOS. LOW volume is EXTREMELY LOW. I see volume yester day as more flat and 10,000 for 5 min was the rule. On 15 there is no scallop to speak of. Look for 20,000 as indication of a day that could have a trend weds: above still holds. Ignore the 40,000 volume on the spike. we have a low volume situation here. the media even covered low volume as their "filler" chat. We look for volume and the related consequential price to give us the clues. c. last four opens are all different. BUT ONLY ONE GAP. Yesterday ended with a four day centering. Look to bracket in . See my reply to Oddi. with the end of a pennant on Weds, we must conclude that there can be no more continuity. I know this post is late, but that is the most conservative position for us. Less conservative and on the mark would be to anticipate a gap. thus we may be in a place tomorrow at open where we have to "begin again" This means we have to monitor and use sequences we know to handle stuff. d. The rockets, if any are short ones and I need to go to 15 for stretching them out a little. This is the big issue. Patience is my focus. If I cannot get abord a rocket I will wash if beginner. This is a test day for intermediates to hang in there. after hanging in for 10 days you will be good at it. Do stop log and see no new stops as a signal for end of points 1,2,3. As long as entwine holds you stay in rocket on this lower volume situation. Entwine prevails over other stuff; let it dipinto 20/80 band. Watch to see that rockets can follow opposite rockets in this narrow H/L market. [color=redthurs preflight: end of pennant will cause relatavistic indicators to pin if there is no continuity. There is no chance of continuity. we will sit focussed on the sync, MACD and a STOC that is outside the 20/80 tape.[/color] e. Icebergs stink. There is no hustle anywhere to allow me to stay in icebrgs. for this market we start summer ice bergs. when you exit an iceberg do it as a reversal. that way you can continually iceberg from now on. rocket comments will set up an iceberg as well. f. 11:00 for last few days means midday shut down. NC This is always going to be the same. g. 13:00. I can make a buck everyday on a BO around 13:00 plus. Bracket time for sure every day. NC weds proved the rule (thee was no BO). No BO and there were two news items President press conf (8) and Beige at 14:00). we are really flowing into a multiday pennant no matter what. This is market theory operating at a peak levle of consistency. the thing we learn is that "continuation is the modus (from physics) until a disturbance happens (A flaw arrives). By classifying flaw copiously and thoroughly we have to optimum way to make money. H Slaloms. Experts only:[/colo] Count on slaloming. Slalom out of sync on brackets. Be prepared to slalom on the pm BO's (See g.) NC i EOD let broker take me out as usual. NC NC means no change. Keep stop logs rolling. you will be seeing more periods of NC on the values. deep summer is in effect.
Gap open. means watch volume. STOCS did not make extreme values that are great enough for beginners and intermediates. MACD is above .4 so we cqn look for STOCS to give action signal. Sync occurs on a slight retrace of gap Experts can set center at 9:45 using bar close (992.1) Use yesterday's bracket offsets. This makes your trailing stops that you have 4 back same offset (2.3) as yesterday. The bracket offset was 3.2. On the open bracket: The stop long is: 995.3 And the stop short is: 988.3. If entry, the trailing stop for long entry is: 993.0 minus a tick to get off round number. And if short entry, the trailing stop for short is:991.2. You have to do this and because you have a trading log, you fill in stuff as it is available. The sync value is a thing that holds you up. You get it and fill in stuff. Some people do fractions for ticks. I just use a base 4 approach. we are prepared at somewhat after 9:45 with a bracket netry for experts. All others are watching because that is where we are (see top of post).
You sit and wait with orders in. 9:55 bar looks kewl for 3 minutes. Prorata volume is low. You "see" price on bar not going further the stop short. If you are curious and having sat two bars plus on five, there is a chance you may do what??? My view is that you now have four reasons to look harder. everything is inside 20/80 and the MACD is FINISHING it's gap influence and has maxed on fast line and xover is there. The tension here is enough to check in on the 1 min for a glance. A sequence check on the 1 min= the price is bottoming (all items there consistently say this). If nothing else use the VDU. I am breaking up posts into good blocks for thinking.
Price moves and VDU is history. Read that as a vice versa. Here you say I may go in soon. and you see thatyou are in afast paced market and you are reading 1 min VDU as "change" modus. Go to two back on your stops. Cut 2.3 in half to 1.2. Be ready with new stops if you go in. Be in a reversal strategy as well. double the contracts on the potential stops. write this in your trading log and get the stop log up to date. All of this is precise and reasoned for no matter what. We are going to be making 1,000 bucks an hour when we are using 5 contracts. rad the above five times and just get used to doing the job. No matter what happens you now are at least three 5 min bars ahead on thinking and you have established that the C&R if it comes up is a fast paced market frequency.
Here is where you are: placed: stop long 995.3 if taken in the stop is 994.1 (2 back for fast pace.) also stop short 988.3 if taken stop is 990.2 We watch. And price rises on the 1 min for fast pace monitoring.
We get in and nailed. 995.3 then price falls. You will not be able to place stop before the price falls below reversal value you have 994.1. No problem, use a market reversal. Here is what is going on: Fast pace after VDU-- this is the ACTION. Enter on bracket; the whole run up is bracket after bracket being hit. many many poeple going in on market moving to their stops. All of this is smart money. We get taken in this way. as price is not sustained by volume it falls. We have a fast pace plan. Our stop is 2 back because we are following a complete and comprehensive trading approach. Our reversal happens and we are short with a 1.2 trailing stop offset from our entry which is as close to 994.1 as we could get. The stall on 1 min shows you that we are in short and our stop is outside the stall.
Jack, The process you have been using for entry the past 2 days (ie. wait for sync, figure out the centering value, calculate offset based on log, place bracketing orders), is the process for sideways days only, or is this actually the way experts will be entering for the earliest possible entry on all days. Also then, that eearly in the day, you'll be using stop log values at least partially from the prior day, is that correct. Thx