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humbled

Humbled Trading Log

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DbPhoenix,

 

I was instructed to take all levels from the SPX Cash index. I post these each night or morning before the market. I attempted one trade in Globex and it was suggested that I did not have a clear picture of my level because the cash index was closed.

 

My guess was that Thales wanted to protect me from low volume overnight stuff. I did not question it as I am sooooo appreciative of the help and thankful for the direction after such struggle.

 

Humbled

 

Instructed by whom?.........................

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Very advanced? Now that made me smile. It's as basic as one can get. Unfortunately, traders have been so bedazzled by all the bells and whistles that have been shoved at them over the past eighty years than they literally cannot tell up from down. Silence all of that and ignore virtually everything that one has read or been told and give reality an opportunity to emerge. It's a choice between the blue pill and the red pill.

 

Perhaps advanced was the wrong word.

 

I just meant that it takes what is normally taught to retail traders and flips it on its head. It takes a while to really sink in and begin trusting as it is a huge departure. Once the green light has come on in his head and he's seen what you've written about, then it's safer to trade it.

 

I share many of the same principles as you, but I am nowhere close to your level that's for sure.

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DbPhoenix,

 

Thank you for showing up here. Your method is not advanced to me but I often have to read and re-read to get the information distilled down. That is a function of my own comprehension.

Humbled

 

That's what I was getting at.

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Yet another day and another reversion Humbled.

 

This morning's selling was absorbed. Support of the 1 month POC held. Order flow was to the upside and a reversion took place to yesterday's volume POC at 161.20 (also previous close).

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Check it out .... 60min shows the 1 month POC support. The first candle was also a stop volume.

 

KP1QpG4.png

 

The 10min shows that today's opening selling climaxes were absorbed. Three stop volume candles formed. If they can't drive price down, naturally price will go up. Target? The previous day's POC. Why? Because again, it was the largest previous intraday "auction".

 

auKdsVD.png

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You know, on a SPY 60min chart it pulled back on a negative divergence .... but on the dip it put in a higher low at 160.22 (previous was 159.86) and the MACD (5,13,1) put in a lower low. This is what is called "hidden divegence" and is considered a trend continuation pattern. Up we go.

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Check it out Humbled ....

 

1. Price makes a higher low at 160.22 (previous was 159.86)

2. MACD was making a lower low

3. That means "hidden divergence" aka trend continuation

4. Notice also when we tapped the 1 month POC, the sell volume had been declining. This was a textbook bear trap.

 

4soc8TV.png

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just saying, I kind of agreeing with seeker here...one of the most important rules in trading is to be consistent.........not flip flop as your analysis might just be good when tested long enough

 

Tradingwizzard,

 

 

You and Seeker both gave me some thinking to do today. I might be better doing this journal in private. I think limiting my input to Thales voice and keeping the blinders on might be necessary to keep me from running off the path. When I am getting stopped out so many times I start looking around and that can get me in trouble.

 

I am not sure yet.

 

Humbled

Edited by humbled

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I suggest you continue on that course, then, and re-evaluate your situation at some future date.

 

If I had had a chance to pick someone from whom I might learn how read price and my choice had been between me and Db, I'd have picked Db.

 

The man is head and shoulders above nearly everyone who has ever participated in the anonymous world of internet trading forums. He is, without a doubt, my superior.

 

Best Wishes,

 

Thales

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If I had had a chance to pick someone from whom I might learn how read price and my choice had been between me and Db, I'd have picked Db.

 

The man is head and shoulders above nearly everyone who has ever participated in the anonymous world of internet trading forums. He is, without a doubt, my superior.

 

Best Wishes,

 

Thales

 

Thales,

 

What a nice thing to say about DB but I am pretty sure I made a good choice.:)

 

Humbled

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Seeker ,

 

Some good points here. Let me address them

 

 

My plan as Thales directed so far was to look for a Trader Vice 123 or 2b pattern VERY close to a key level. I was allowed to use 5 minute charts until we got close. I then was told to zoom in and take my entry on a one minute time frame. I have applied this approach verbatim or at least as close as I could.

 

As I experienced these trades I was given examples of when Thales cut them short, when he allowed the trade to work and when he saw things that suggested that a loss should not be taken. I have done my best to attempt to react like that but its not learned yet.

 

Thales suggested that I read DB's work and start to work that in. I am learning that as well right now.

 

What you are seeing is the frustration of me trying to execute a pattern that occurs all around these key levels. It occurs several times in both direction at one of these levels. Without the filter to define which ones to omit and which ones to take, I feel like a pin cushion. I am sure as I understand more of what Thales has wanted me to learn I will find many of these attempts filtered.

 

I am watching 2 min and other time frames trying to read volume and observe. On Thales own suggestion he said I could observe volume but he also mentioned he does not use it. As he shares more I can understand how to control the abundance of signals and decides on direction. In the absence, while Thales is away I am doing the observing he mentioned

 

As for the 1 minute comment. I admit it is very fast and I find many false signals but I have followed the plan. The poor exit is a mixture of my attempts to read what Thales meant from previous posts. Thales has given me many pieces of the puzzle but I am struggling to put them together.

 

I must admit I studied Thales history and the trading of his daughter who started at 9 years old and has done very well. I noticed many comments that she managed trades with a stop or a target and did not get in the way of the trade but I have not arrived at that point yet. I have attempted to adjust based on Thales responses. He must have a reason for teaching me this way.

 

Maybe the addition of Supply and Demand lines from DB's work will add to the setup. Maybe I will be more confused. I can't say yet.

 

Seeker if I had my druthers, of course I would ask for exact directions. Why. How. A totally transparent view but clearly Thales has shared in a process that he feels will help me.

 

I can tell you at this point something is missing as I fumble around each key level switching back and forth in a rush to read what the market is saying. Maybe after some clarity is added my frustration level will drop.

 

Humbled

 

PS. I actually think I have done a pretty good interpreting what has been said if you read all of the directions I have been given but I have simply shared the whole experience including the pressure of low accuracy and lower reward trading.

 

 

 

 

IMO this post sums up the progress and issues I have run into so far. After review of the Supply and Demand Lines, I believe these can add an additional layer of directional help.

 

Humbled

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Trying to trade the wrong direction.

 

Humbled

 

The double top 2B was the trade. Nothing wrong with your long, and you did well by getting out when you did. Unfortunately, you exited not because of what price was telling you, but because you felt uncertain and unsure and the losses are starting to sting too much.

 

When that happens, I find it best to stop trading, take the money pressure off, and paper trade, at least for a few days. Re-set yourself and get back to watching price without the added pressure of a diminishing equity.

 

Best Wishes,

 

Thales

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The double top 2B was the trade. Nothing wrong with your long, and you did well by getting out when you did. Unfortunately, you exited not because of what price was telling you, but because you felt uncertain and unsure and the losses are starting to sting too much.

 

When that happens, I find it best to stop trading, take the money pressure off, and paper trade, at least for a few days. Re-set yourself and get back to watching price without the added pressure of a diminishing equity.

 

Best Wishes,

 

Thales

 

Wait .............. 2B?

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The double top 2B was the trade. Nothing wrong with your long, and you did well by getting out when you did. Unfortunately, you exited not because of what price was telling you, but because you felt uncertain and unsure and the losses are starting to sting too much.

 

When that happens, I find it best to stop trading, take the money pressure off, and paper trade, at least for a few days. Re-set yourself and get back to watching price without the added pressure of a diminishing equity.

 

Best Wishes,

 

Thales

 

Thales,

 

oops, I just read that post after I had already finished that last trade.

 

You are right, it is actually less about the money. The sting is the high count of losses in a row and the very small micro scalp gains when they work. But the outcome is the same. I will take the advice. I must admit even one trade like the last one takes some pressure off.

 

 

Humbled

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Thales,

 

oops, I just read that post after I had already finished that last trade.

 

You are right, it is actually less about the money. The sting is the high count of losses in a row and the very small micro scalp gains when they work. But the outcome is the same. I will take the advice. I must admit even one trade like the last one takes some pressure off.

 

 

Humbled

 

Again, I think you need to concentrate on "doing business" in the areas of better risk/reward. Stay away from the small stuff. Use what Thales is teaching you to identify those places.

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The double top 2B was the trade. Nothing wrong with your long, and you did well by getting out when you did. Unfortunately, you exited not because of what price was telling you, but because you felt uncertain and unsure and the losses are starting to sting too much.

 

When that happens, I find it best to stop trading, take the money pressure off, and paper trade, at least for a few days. Re-set yourself and get back to watching price without the added pressure of a diminishing equity.

 

Best Wishes,

 

Thales

 

Thales,

 

After reading that comment again, does your comment assume that a break of a demand line alone is not enough reason for an exit or is it just the parabolic angle of this one?

 

 

Humbled

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