Looks like the bounce will be short lived per our analysis--- remaining short--- there is lots of downside potential remaining. remember the market's goal is to trick as many folks as possible by exhibiting "bounces", "trends" and other moves that serve as bait attracting the max capital load prior to absorbing it. surf
<b>A blast from the past I mentioned my interview with elitetrader back in 2003. It's amazing how far I have evolved as an analyst and trader since those halcyon days of wine and roses. Thought some might enjoy the historical reference and how my trading/analysis has progressed:</b> Andre (Apr 2, 2003 12:10:11 PM) In this chat, we will focus on his combination of esoteric and technical indicators that makes his index trading model unique. As well as your questions. Surf, they're here to see your words, not mine. So, welcome, thanks for joining us today. It's all yours. marketsurfer (Apr 2, 2003 12:10:22 PM) good afternoon, I would like to thank everyone for attending this little chat session today. Particular thanks to Baron and Andreâ for providing the forum and promotion needed for the success of this venture. marketsurfer (Apr 2, 2003 12:10:46 PM) Due to multiple requests, I will be giving a basic discussion of the index system that I developed to trade the DJIA and NASDAQ. I will provide a brief history of the system, how I arrive at the channel figures, and most importantly how to successfully trade it. marketsurfer (Apr 2, 2003 12:11:16 PM) First, I donât want there to be any misunderstanding, this is not the holy grail. If you are searching for a system that never has a loss, there is no such thing regardless of any marketing hype. However, used properly, my system will give you a high probability of success in trading the DJIA and NASDAQ indexes. It provides a framework as how to view the market and gives specific levels to buy the index, short the index or to simply stay out. The systems purpose is to catch big waves in the indexes, but the exits ( after initial profit) are discretionary depending on the individuals objective at the time of the trade. marketsurfer (Apr 2, 2003 12:12:05 PM) Ok, letâs get started. I developed the system to trade the QQQâs by monitoring the NASDAQ composite index in 1999 after studying and trading the markets since 1990 and have since expanded it to include the DJIA and am currently working on applying the concepts to the SP500. The system is based loosely on wd gannâs concept of the squaring of price and time via a âgannâ wheel, a slightly different approach to traditional technical analysis, and not having any preconceived notions on how long any particular trade will last. I call the system NeoGann since it is a new twist on an old methodology. marketsurfer (Apr 2, 2003 12:13:02 PM) Neogann determines channels in the indexes, meaning an upper figure, and a lower figure. These figures are the levels by which long or short trades are executed. I draw a horizontal line across the chart at the upper and lower figure hence creating a channel. One stays flat in the channel then enters a trade when the upper or lower line is violated by the systems parameters. The parameters for entry is a FULL 3 minute price bar / candle above the upper line or below the lower line. When the upper line is violated, longs are instituted, lower line shorts. The trade is immediately aborted if the next price bar / candle closes back thru the line. I will attempt entry 5 times upon breaking of the line, if the move fails to continue after the 5 th attempt, I recalculate the channel as it is obviously not valid. marketsurfer (Apr 2, 2003 12:14:16 PM) The figures are arrived by squaring price and time in conjunction with technical factors. They have nothing to do with fibonacci, but they often, uncannily, concur with the fibonacci traders figures. I will be elaborating further on the WHY in further chats. The system is super simple easy to trade but difficult to explain the WHY it works. continued on elite: http://www.elitetrader.com/ch/transcripts/marketsurfer_chat.cfm
Who would have thought that one trade would turn you into the Donald of trading. I just can't wait for the biopic. You're really milking this one aren't you?
from someone whom used to make a mockery of technicals appears to have opened his mind .....50% fib served you well,cherub!
Man.....I hope the mkt continues to get hit.......but Surf is really messing with the trading gods here. The more he gloats...posts about how good a "trader" he has turned into...the more he is tempting them to run the mkt back up. If Surf continues this we could see 1400 in the SPX today by the close....Surf....wait until you cover to gloat.