cantana

I got one from some one named "taskyneem".

I'm so glad Obama didn't go into the kitchen after his acceptance speech.

Mine was from 'prahkjapati"

Yes, much more. What I had in mind that might be a help to you in translating the subjective fear/greed combo into an objective display of P/V was the section on Ws.

You might take the extra step and inquire about db's e-book, since you're collecting books anyway. I'm sure you'll find your own answers to your questions there. Just a thought.

Seeing as how Al was only 4 nm off the coast of his departure point where the “rescue” took place, and he was only 2 and a half days out from the start of his journey, a competent sailor would conclude that Al violated one of the most basic rules of the sea. Chose your weather window wisely. Old, bold sailors don't exist – for long.

Gassah, If you don't mind, could I get you to clarify a few points on EOD trading? Or at least your take on it. Are you using daily price bars for your set-up? And Entry? And Exit? Or perhaps you are using the dailies for set-up and something like hourly for entry and exit? Are you placing orders for the EOD stuff after hours, and then checking the end of the following day to see if there was an execution? Are your entries based on braking the range of the end of a previous price bar? If so, do you have tactics to deal with an opening gap in the direction of your entry, which puts you into the market at an unfavorable price? For instance, the stock set-up price range is 45 to 50, you place an after hours order to buy at 50.10, the stock opens at 54 and triggers your order at or around that price (54), but then closes for the day at say 51. Thanks

I now see it.

Thanks for looking into the “open” thingy for me db. My original thought on it was similar to Erie's – maybe geared towards investors. But as I learned more about W, I realized that he was pretty consistent with his day trading reference, which seemed to contradict the investors assumption. The reason that the range and close only thing caught my eye to begin with, is that under my current restraints of only having the EOD information on US based markets to go on to come up with some sort of entry and exit tactics, I thought there might have been some sort of message in there I was missing. Again, thanks to all who responded to my question.

Concerning the charts at the end of the PDF “Determining the trend of the Market”. These price bars has the “close” only, no “open” hash mark. For some reason W felt the open was not an important piece of information, or at least not important enough to record it. So I'm thinking to myself, Why wasn't the “open” price important? It might be that, at the time there was not the gamesmanship of gaping the opening price outside the previous days range, resulting in triggering the EOD orders at an unfavorable price. Or, Maybe, a open price, had no importance to the overall story the market is telling? Anyway, I know the “opening” price is significant to a modern day traders plan of action, Maybe the “open” is not so important to EOD traders?

This one might help you. http://moneycentral.msn.com/investor/finder/deluxestockscreen.aspx?query=Gapping+Up+Today&btnQryFrm=Go

A little late on this, but.. I've always found that a glance to the left on a chart, will alert me to important price points. A horizontal line from the low of the opening bar, carried across to the right shows that, that price area was important 3 previous times before a break of your supply line. That price point turned out to be important one more time on your chart.

Perfect! Thank you.

Hello guys, Dose anyone know it there is a tutorial for the Blog section other than the FAQ? If there is, can you show me where its at? Specifically, I want to know how to categorize blog entries. That is, if I'm allowed to even do it. I figured out how to create a category, But I don't know how to link an entry to it. Any help would be appreciated. Thanks

I wonder if, considering an entry during a climax, he would hold on into a retest? Or maybe he was planing to staying in only as long as it turned out to be a V bottom? I don't see how entering at the climax would be advantages otherwise. I'm just thinking about the “poke” effect on a W

Doh! All this time I've been reading the first line as "discussed with Justin Mamis" :doh:

The whole enchilada from T Lo. The following is an exerpt from my book, The Ultimate Trading Course. I discuss Justin Mamis’ writing in his classic, The Nature of Risk. What we have (in Chart 14 of The Nature of Risk) is essentially a graphical representation of the manic depressive moods typically experienced by market participants as a function of time and price in one complete sentiment loop. There are two areas in a typical loop where the market does something that traders describe as ‘churn’ or ‘chop’, and two areas where directional trends are found. RETURNING CONFIDENCE On the upside, the area where churning takes place is in between the Returning Confidence phase and the Subtle Warning phase, after a significant advance has already taken place. This often appears in the form of a head and shoulders top on weekly or monthly charts. By the time confidence returns, the market has already been going up for ages while the retracement patterns become ever larger, each one scarier than the last. To technical traders, this type of price action tells us that the market is getting tired. Perceived bull market volatility excites investors. They waited forever on the sidelines for fundamentals to confirm that the move up was ‘real’. The coast is finally clear and they jump in with both feet. This phase typically ends with a failure on test of top, and the big, super scary ‘buy the dip’ pullback begins. BUY THE BIG DIP The public continues to pour money in, lured by glowing good news and economic data. After the long move up, finding attractive stocks becomes difficult for technical traders and market veterans. Traders chase momentum where they find it. Investors believe that the game is back on, and they are willing to take big risk and buy big dips. This Big Dip usually comes after a failed test of top in the Returning Confidence phase. The Big Dip typically takes price below the 50-day simple moving average and quite often, to the 200-day moving average. This is where ABC Corrections are typically found. ENTHUSIASM Once it is widely accepted that economic and corporate fundamentals are supporting higher prices, a bell goes off. The bull survived The Big Dip. Those who had previously been afraid now have plenty of reasons – and proof – that it is safe to go back into the market and buy again. At this point, we detect a subtle change in psychology, a shift from the fear of loss to the fear of missing out, and the appetite for risk becomes evident. Investors buy on faith, bolstered by analyst and media reports projecting the trend to continue. As price rises to new highs, they all scream, “It’s a breakout!” They are supremely confident that the best is yet to come. The high made in the Returning Confidence phase typically marks the ‘point of breakout’ and becomes an important psychological number. We know this high is where sellers showed up before, and if price should sink below this area, traders and investors might come to the conclusion that the breakout failed, and therefore, begin selling in case the uptrend is approaching the point where it starts to bend. At some point, all the buyers who want to be in the market have bought, and they stop buying. Smart money begins to take some off the table. The net result is rotation of buying and selling from sector to sector, causing the major stock indexes to stop going up in any meaningful way and price charts to churn and chop. In the old days, they called this ‘distribution’, marking the transfer of stock from smart to dumb money, from strong to weak hands. This area is where a buildup of participants in position to write sell tickets takes place. If price fails to move up or it comes back under the point of breakout, selling begins. DISBELIEF The market fails to go higher, and indeed many of the early leaders have broken down under the 50-day moving average, giving technicians the Subtle Warning. This marks the beginning of the ‘something is not right’ gut feeling, but in the absence of bad news, investors hold on to hope. Not only are they heavily invested in the market, they are psychologically invested in being right and they ignore anything that does not go with their worldview. Indeed, they even wonder aloud why their beloved stocks cannot go up amidst good news, higher earnings guidance and analyst upgrades. OVERT WARNING TO PANIC The area of sustained directional trending price action to the downside takes place is between the Overt Warning and Panic phases. There will be some sort of catalyst. Perhaps it is an earnings warning or some point of economic data that leads the crowd to finally clue in that the nagging negative price action they have been watching is the beginning of something big and bad. The 200-day moving average is broken, and CNBC alerts investors. Everyone knows that the ship is sinking. Those who bought in the churning top realize they are holding the bag and stop buying the dips. Smart money shorts each failing bounce. Stop losses are hit, and margin calls force liquidation. Supply simply overwhelms demand and price action becomes a one-way street. DISCOURAGEMENT AND AVERSION After a long price slide, the area where churning takes place is between the Discouragement and the Aversion phase, after a significant decline has already taken place. Often, this appears as a head and shoulders bottom, a cup and handle or a saucer dish pattern. As the public continues to dump stocks, short sellers become bold and bearish. Their views are supported by bad news and poor economic data. Prognostication of lower prices to come is undoubted. This is when everyone knows that the market cannot ever go up again, and that anything, even cash, is preferable to owning stocks. WALL OF WORRY While the broad indices are still going down, certain sectors will have bottomed. At some point, everyone who wants to sell has done so, and the selling stops. Low prices and relative value returns, and early buyers with deep pockets begin to nibble at the market. The net effect is that the major stock indexes stop plunging and begins to dribble or moves sideways. This area is where we find a buildup of participants in position to write buy tickets, producing potential buy pressure. With sellers gone, the market even goes up on bad news. Rallies are labeled as ‘technical bounces’ or are written off as ‘short covering’. Short positions add more on every bounce, confident that lower prices are around the corner. When good news trickles in, it is summarily dismissed as aberrations, subject to revision next month. AVERSION TO DENIAL Sustained directional trending action to the upside begins between the Aversion phase and the Denial phase. As the market slowly creeps up, the shorts start to sweat while those who don’t own a piece of the action vow to themselves that they will get in on the next dip that they believe is sure to come. The market continues higher and does not let them in. More and more bids materialize as buyers show up again while shorts begin to cover. Since there are not many sellers overhead, the move up can be big and fast, and on low volume. If it keeps going, eventually those left behind in the dust have to get in again, and the loop continues. CONCLUSION Take note of the way churning precedes trending as an entire group of market participants are trapped in the wrong direction. Indeed, we could argue that trends can only take place after a large group of market participants have been lulled into believing the status quo will last infinitely. When the reversal finally takes place, the ensuing mad scramble becomes a directional trend. The sentiment loop neatly summarizes the market and all its associated psychosis in a nutshell. I use the word psychosis on purpose, as it is medically defined as “a loss of contact with reality, typically including delusions (false ideas about what is taking place or who one is) and hallucinations (seeing or hearing things which aren’t there).” It is the only way to describe the things that people do at the tops and bottoms. It is similar to how some people break with reality when playing games such as Dungeons and Dragons, and their existence enters another realm. What we must do is to know where we are on the map at all times and maintain a separate sense of self by standing on the outside as impartial observers. That is the only way to preserve sanity and to make money.

I stole the Mamis chart from T Lo's site. She still has a lot that is accessible to non paying scum like me.

Over all, no. I did this DIA overlay with a Mamis sentiment chart. On it you can see where my best guess is.

Well, since you brought up the “look inside” theme. There's 3 sectors out preforming the S&P since the Jan low. And some sub–sectors within these sectors have been going great guns. Just looking for rotation I guess. It do seem like an awful lot of money is congregating in a relatively small area of the market.

That one does it. Nice catch

Erie, I only see the URL also. Perhaps the opening and closing tags have to be on the same line as the url addy? Thats the only difference I can see between your non working tag system and others that are working. /shrug/

Thanks for the link Soultrader. I see that I took the long way around to placing the image inside the text. Oh well, I'll just keep messing with the bells and whistles here, and maybe get some other things figured out. BTW, you've got a really nice place here. It “feels” comfortable. Hopefully, I'll be able to make good use of your fine blog feature.

Hmm, Anybody know how to turn off that funky drop down box on the SDS ticker? Well, the rows and columns are improving from the last time I tried, but not yet the way I wanted them.

Hi all, I'm new here. I wasn't planning on any introduction, but, I tried to post in one of the threads and found that I needed a little practice with formatting a few things. Hopefully, it's okay to use this thread for experimentation. I've got a little experience with day trading index futures, But my main focus here, for the foreseeable future, will be on trading ETFs on a multi day bases, which of course, I have no experience doing. Experiment one is to post a small list with 4 rows and 5 columns. Long - Leveraged long - Short - Leveraged short DOW DIA - DDM - DOG - DXD [*]NAS QQQQ - QLD - PSQ - QID [*]S&P SPY - SSO - SH - SDS The next is to insert a jpeg in the body of the text. Here goes