thalestrader

I didn't, but my daughter got short the EURJPY at 128.206 with a 127.00 profit target just before she went to bed ... she'll be very happy in the morning. Best Wishes, Thales

Lots of things moving like its 2008 all over again, but the EURGBP is biding its time, treating this short like a stroll through the park ... Best Wishes, Thales

Current look at the Dollar Index ... still resting Best Wishes, Thales

The most important take away from today's trading looking at your chart is that you managed to avoid getting chopped to pieces on what could have been a very difficult day. The first trade looked fine. Your entry may have been early (I take it that is what you mean by "wrong degree," but it was a long sequence at the bottom of the range, so a good trade to take. Best Wishes, Thales

Nearly six hours to make 40 ticks! What a day this has been. I did not get in on the long 6B,a nd the 6E and 6J have gone nowhere. If it weren't for Lorillard (an old Darvas favorite, by the way) I'd have not had anythin from my stock trades. As it is, thanks to Brownie, I've been sim trading crude on Ninjatrader like it were video game. Anyway, the one bright spot in currencies for me today was this hourly sell on the EURGBP. Best Wishes, Thales

Current look at the GBPUSD ... though it is getting late in the day for to start a new position. Best Wishes, Thales

Sounds good ... I look forward to seeing your trade examples and watching you develop your own take on the two approaches and the manner in which you combine them. Not all of us here are as familiar with the P/V material that you use, so when you post a chart, if you could include some "P/V" for the non "P/V'er" it would be very much appreciated. Best Wishes, Thales

No more mechanical tha I described here in the past: I match various fib levels up S/R levels. The 1.27 is typically a BE point for me, though depending upon the size of the swing that got me into the trae and the depth of the pullback prior to the trade triggering, I will sometimes use the 1.38 or 1.618 as my BE level. As far as "common," I guess I would say that it is common for me to exit quickly if price just stops me in a by a tick or two and then pops up 5 or 6 ticks. I would also say that if price moves immediately in my favor, then more often than not it hits the 1.27 before coming back to break even (if it comes back at all). I would caution that while this approach works in all liquid markets, each has its own character. For example, the ES is better traed after a breakout level has tested and hels at least twice and over several minutes (the more the better it seems at times). Whereas the currencies often break a level and move directly to the next anticipated S/R level. I don't know if i answered your questions or not, Forrest, because I am not quite sure I understood them. I hopt that helps. Best Wishes, Thales

All in all a fairly choppy and sloppy day; however, the EURGBP has made steady progress towards its firt profit target. Best Wishes, Thales

No problem, though in order to include all of us, a few words explaining the "other ideas" would be appropriate, right? Best Wishes, Thales

Current look at the ES ... Best Wishes, Thales

Current look at the 6E (showing the spot EURUSD) ... Best Wishes, Thales

My inclination would be to hold short with a break even stop. What you say about the swing is important. The short sequence at the highs that gave the sell indication was very "small," but taken as the first sell indication at the end of the larger rally from Friday's lows occuring at what I think all would agre was a recognizable resistance zone, then it was very "large." The swing you refer to is larger than the short sequence, but small compared to the overall trend. Big picture says the down trend is still governing price action, so I'd hold the short and ignore any long indications, at least until price fills the gap, and preferable tests last week's lows. Best Wishes, Thales

... now that is trading at the hard right edge! I didn't know you had a spot account - I thought you were emini's only. I would never have had you pegged as a closet bucket shop trader, jands. Best Wishes, Thales

Current look at the EURGBP. I have never traded this pair, and it just does not seem to move enough to warrant watching it on a a 15 minute chart to warrant trying to day trade it. However, on a long term basis, I would like to try long position type trade on it (I posted daily/weekly charts last week). This is how it looks on the 60 minute to me - a potential short opportunity retracing some if not all of its recent rally. Best Wishes, Thales

What do you do here? You are short off the above scenario at 1199.75, and you have taken a 3.25 point profit on 1/2 of your position off a 2.25 point risk. Best Wishes, Thales

I have done the same thing more often than I care to remember. And I agree that having rules, or at least strict guidelines is a must for the discretionary trader to keep his or her emotions in check. From a risk standpoint, risking open trade equity is different from risking closed equity (I'd much rather give up a 2% open profit on a trade than 2% of the equity with which I started the day. But, equity is equity as well). My view has evolved to this point: While I am often correct in picking the right tick at which to place my profit target, there will be times that I am off several ticks. So, when price to within 10 ticks or less of my profit target, I will start to get more aggressive in managing the stop so as to keep as to maintain a decent risk reward profile. If I was willing to wisk 20 ticks initially to win a potential 40 ticks, and rice moves favorably by 38 ticks, am I willing to risk all of those 38 ticks to win just two more? I'm not, but that is me. I do not have a mechanical way of managing my stops at that point, but if I am within 2 ticks of a PT (t-2), and I am actively monitoring the trade, I might move my stop to t-10, maybe t-5, maybe t-15. It depends on how price has been moving during the course of the trade. I'm not disagreeing with you, as I truly do not believe there to be a right or wrong on this issue. I'm just trying to be a bit more clear on why I think and act as I do on this matter. Best Wishes, Thales.

For example, this little short on the ES triggered at 7 AM EST. Now, I did not have myself ready and set to go at 7 AM this morning, but had I been logged on to my trading platform, I'd have happily shorted the ES given the level it had reached and how it acted once it got there, (I see a 1-2-3 H-L-LH - do you?) on the chart, the red rectangle = resistance zone, blue line defines entry, red line defines stop loss, and dotted green lines are profit targets. Except for the American afternoons after 2:30 PM EST or so and up to about an hour before the Tokyo open, if I'm paying attention and opportunity presents itself, I trade it. Best Wishes, Thales

This si the 6J futures contract, which trades inversely to the USDJPY pair. I am not trading this one, but I thought I'd post it as for some reason, this little long attempt feels right to me. However, I do try as much as possible to stay out when price is chopping and flailing about, so I will no place an order. Had price broken below the ow of the consolidation off the high and then presented this activity, I'df have traded it. Best Wishes, Thales

While I find volume useful for swing trading stocks based on daily chart information, I have not found it useful for day trading. As for spot currencies, I am not sure you can even get accurate data on volume, as you are only going to get the volume traded at your market maker (at least I assume so, unless someone has put together an aggregate feed that taps into the multitude of bucket shops). I myself do not use volume at all for day trading any instrument. However, I'd be interested in seeing how others apply volume to making trading decisions in real time (entering, managing, exiting a trade). Best Wishes, Thales

Price trading to the magenta line would be my cue move my stop to break even. Tough call, but rules are rules, so break even on the stop it is. Best Wishes, Thales

Ok, back to charts ... here is the current look at the EURUSD. Sorry for the late post. Best Wishes, Thales

Stopped for -13 ticks. For me, football season is over, and the rest if mere formality. For those who still have a dog in the fihgt, good luck! Best Wishes, Thales

I ain't scared of Real Time either! Go Jets! Best Wishes, Thales

I do not particularly like trading stocks in the afternoon. I usually do not initiate new futures trades after 2:30-3:00PM EST and will not trade until close to Tokyo. Other than that, if I'm awake and my computer is on, I've come to trade. Best Wishes, Thales