Live Indices Trades

[firewalker 10]

exit at 1198 for half. Profit +14pts ES. Other half left running for a break above 1200.

 

why the exit at 1198? very nicely done... it seems like the highest point of the day actually!

[86834 10]

1200 is a psychological resistence area. Was planning on holding the whole lot through 1200 but decided to take half off to be safe. Just luck really with 1198, was just there when i decided to take it, but would of been more than happy with 1194 etc

[firewalker 10]

1200 is a psychological resistence area. Was planning on holding the whole lot through 1200 but decided to take half off to be safe. Just luck really with 1198, was just there when i decided to take it, but would of been more than happy with 1194 etc

 

you mean 'psychological' because of the round number?

I only use technical support and resistance levels :o

[86834 10]

you may laugh, but when approaching these levels you should keep an eye on them. 1100, 1200, 1300, 1400 etc

[brownsfan019 17]

you may laugh, but when approaching these levels you should keep an eye on them. 1100, 1200, 1300, 1400 etc

 

I agree. You don't see round #'s on the ES often, but it's worth watching.

 

Round #'s can be especially true on stocks as well... 50.00, 60.00, etc.

[firewalker 10]

you may laugh, but when approaching these levels you should keep an eye on them. 1100, 1200, 1300, 1400 etc

 

I keep my eye on S/R levels, but the only reason I've seen a round number really act like S/R is because it's purely coincidental. I've had a look at the ES from the last couple of months and only the bottom of July (1200'ish) seems to coincide with a round number.

 

I agree. You don't see round #'s on the ES often, but it's worth watching.

 

Well had 1150, 1200, 1250 and 1300 recently... But I see no evidence where that round number presents a 'turning point' or is more significant than any other random number

[Phil Mibbutz 10]

I keep my eye on S/R levels, but the only reason I've seen a round number really act like S/R is because it's purely coincidental. I've had a look at the ES from the last couple of months and only the bottom of July (1200'ish) seems to coincide with a round number.

 

 

 

Well had 1150, 1200, 1250 and 1300 recently... But I see no evidence where that round number presents a 'turning point' or is more significant than any other random number

 

As always, whether it matters much depends on the TF traded, but I think round numbers often act as S/R levels, partly because of the psychological effect, partly because orders are often set there. Once the round number barrier gives way, you get a bigger move.

[firewalker 10]

As always, whether it matters much depends on the TF traded, but I think round numbers often act as S/R levels, partly because of the psychological effect, partly because orders are often set there. Once the round number barrier gives way, you get a bigger move.

 

Show me a chart where a round number acts as S/R, and I'll show you a dozen where it doesn't

[86834 10]

Show me a chart where a round number acts as S/R, and I'll show you a dozen where it doesn't

 

 

very narrow minded comment that. Just going through some old charts isn't going to prove anything. A number of factors come into play;

 

1. Order flow in the market at the time

2. Areas where stops are clustered together

3. Cti2 positioning in the market/ overall liquidty flow

4. Are the Cti2's intiaiting or responding

5. The yield curve

 

All these factored in together can make whole numbers extremely strong areas of S/R.

 

The trade worked netting 14pts on half. Other half was held just incase we broke through which would of provided good conditions for a short squeeze.

[Phil Mibbutz 10]

Show me a chart where a round number acts as S/R, and I'll show you a dozen where it doesn't

 

Again, it depends on TF, but the same goes for 'technical' support and resistance levels, which are easy to draw on charts with hindsight, yet often fail when projected forward. All IMO, DYOR, WTFDIK, etc!

[firewalker 10]

very narrow minded comment that. Just going through some old charts isn't going to prove anything. A number of factors come into play;

 

1. Order flow in the market at the time

2. Areas where stops are clustered together

3. Cti2 positioning in the market/ overall liquidty flow

4. Are the Cti2's intiaiting or responding

5. The yield curve

 

All these factored in together can make whole numbers extremely strong areas of S/R.

 

The trade worked netting 14pts on half. Other half was held just incase we broke through which would of provided good conditions for a short squeeze.

 

Thanks for just proving me point. You just mentioned a whole lot of factors that might or might not contribute to making whole numbers strong areas of S/R. But the numbers in themselves mean nothing.

 

Your argument makes as much sense as me saying: "every square root number can be extremely strong resistance or support", but only if it coincides with (1) the previous day low (2) a congestion area (3) high volume...

 

I say again, until I see evidence to the contrary, S/R at round numbers if nothing but coincidental.

[86834 10]

Thanks for just proving me point. You just mentioned a whole lot of factors that might or might not contribute to making whole numbers strong areas of S/R. But the numbers in themselves mean nothing.

 

Your argument makes as much sense as me saying: "every square root number can be extremely strong resistance or support", but only if it coincides with (1) the previous day low (2) a congestion area (3) high volume...

 

I say again, until I see evidence to the contrary, S/R at round numbers if nothing but coincidental.

 

yeah but the oringinal point of these numbers being strong areas is because a lot of these factors come into play around these areas and it is consistent. If it wasn't consistent then i wouldn't put my own money or my client's money on the line.

 

I like you FW but you sound to me like you've had a handful of winning trades and it's gone to your head.

[smbtnt 10]

shoprt YM 920 -

[smbtnt 10]

shoprt YM 920 -

 

out for -8

[Phil Mibbutz 10]

Thanks for just proving me point. You just mentioned a whole lot of factors that might or might not contribute to making whole numbers strong areas of S/R. But the numbers in themselves mean nothing.

 

Your argument makes as much sense as me saying: "every square root number can be extremely strong resistance or support", but only if it coincides with (1) the previous day low (2) a congestion area (3) high volume...

 

I say again, until I see evidence to the contrary, S/R at round numbers if nothing but coincidental.

 

Let's see if the Dow meets any resistance at 11000, then!

[Phil Mibbutz 10]

Let's see if the Dow meets any resistance at 11000, then!

 

... High 998.2, now off that 35pt.

[firewalker 10]

yeah but the oringinal point of these numbers being strong areas is because a lot of these factors come into play around these areas and it is consistent. If it wasn't consistent then i wouldn't put my own money or my client's money on the line.

 

I like you FW but you sound to me like you've had a handful of winning trades and it's gone to your head.

 

:o rest assured, it hasn't! I am sorry if I came over arrogant or with a sense of superiority, that was not intended.

 

But I can only speak from experience, and although occasionally these points seem to 'halt' price, there's nothing consistent about them.

 

Let me put it this way: if round numbers acted as S/R enough to profit from them, then that would be a 'free' edge basically. And we all know the market doesn't give things away 'for free'...

[firewalker 10]

Let's see if the Dow meets any resistance at 11000, then!

 

looked to me like it was 11020 where volume spiked into

[Phil Mibbutz 10]

... High 998.2, now off that 35pt.

 

Notice it also bounced off exactly 11000 on the way down. Both would have been worth about 20 points in a few minutes.

[firewalker 10]

Notice it also bounced off exactly 11000 on the way down. Both would have been worth about 20 points in a few minutes.

 

that's about the size of my stop these days... I prefer the target to be at least 3 times as big! can be wishful thinking sometimes :\

[firewalker 10]

dow long 11020

[firewalker 10]

dow long 11020

 

half out 11070 = +50

[firewalker 10]

half out 11070 = +50

 

dow long 11020

 

out other half 11110 for +90

[smbtnt 10]

out other half 11110 for +90

 

Lovely trade- was right behind you there - in spirit ofcourse;)

[firewalker 10]

Lovely trade- was right behind you there - in spirit ofcourse;)

 

thanks smb! today is quite the opposite of yesterday... nice clean moves, my levels are working fine and... I actually thought of shorting at 11110 and it would've turned out okay!

 

Didn't want to push my luck though!