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Our charts are dissimilar, but this is what I look at.

 

A pop up, then a sideways movement. Buystop placed above. Price drifts back instead.

 

Then another pop. Entry could be here or above the next sideways movement at the last dot.

 

attachment.php?attachmentid=9091&stc=1&d=1231865093

Image2.gif.02b1041fc74a22cbd71ea12f7c4de1f0.gif

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Yep, okay so we were looking at the same thing (just had a slight time difference). I agree with fw in that the entry was on the second dot (breakout of prev high). While a stop loss would have been easier to place on the drift down to 04 (a test), you had R up above, and that would be trading hope. I would have entered (hindsight BS... I missed it) at 6.75-7.00, with an initial stop at 5.25 (below the swing is too wide, so it has to be at any sign of demand).

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you had R up above, and that would be trading hope.

 

If you're referring to the last dot, not really, but that's the difference in watching it real time rather than review static charts. A pop up, sideways for 20s, a buystop just above. Given the prep for the move, there's no reason to think it won't work toward the top of the range.

 

The entry at the second dot is of course better since the longer you wait, the more likely price will return to your entry before the continuation.

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My favorite entry is at the second. I was talking about an unlabeled area, in between the 1st and 2nd (but I wouldn't take the 1st either).

 

Third isn't bad, just late, so not as good.

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This is an update of the chart I posted a week ago. I had to go back that far to find something that caught my eye.

 

Today we penetrated that big congestion zone in December by about 15 points. If 90 turns out to be impassable, that gives us a nice 50pt range from 40 to 90. But even 40 to 80 would be okay by me.

 

attachment.php?attachmentid=9099&stc=1&d=1232062087

Image2b.gif.acfae2df145b2e52291f13bb322576e6.gif

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Today we penetrated that big congestion zone in December by about 15 points. If 90 turns out to be impassable, that gives us a nice 50pt range from 40 to 90.

 

Surprising how much difference one overnight makes... we've already climbed above 90, tested it and rallied up to 1200. I don't know how much importance people give to premarket or overnight trading, but this is one V-reversal that is difficult to overlook.

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Surprising how much difference one overnight makes... we've already climbed above 90, tested it and rallied up to 1200. I don't know how much importance people give to premarket or overnight trading, but this is one V-reversal that is difficult to overlook.

 

Yes, and the importance of 1200 is confirmed yet again. Given that it's here, that changes the framework to the old 1170ish level back to 1250. I'm sure much of this has to do with BofA, but there's no way to tell ahead of time where buyers will dig in their heels. 1180 will be worth keeping an eye on today.

 

A more micro view, for anyone who's interested:

 

 

attachment.php?attachmentid=9105&stc=1&d=1232108820

Image1.gif.923f508090ec898c136d94b9b0ddfc33.gif

Edited by DbPhoenix

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Incredibly interesting. Looks like all sectors except for financials found S where it might be expected (and financials moving opposite may be largely news based).

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Incredibly interesting. Looks like all sectors except for financials found S where it might be expected (and financials moving opposite may be largely news based).

 

This is one of the steps in W's routine -- what's the market doing, what're the groups doing, what's the stock doing -- but most people breeze right by it. It provides a nice context, even for daytrading.

 

I thought you'd left for the weekend. Miss us already?

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I thought this oil chart looks interesting.

 

USO.png.6bf32165acdb195125b179da60446e5b.png

 

As you can see, there is heavy volume at 30 and price is not moving very much at all. Lots of effort, very little result. Activity from both buyers and sellers is high but buyers are providing support because they are keeping price from falling (at least, for now).

 

If on the other hand sellers end up overwhelming the buyers, then price could slide rather quickly because all those buyers who held up the price at 30 would have to cover. IMO. Any thoughts?

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I have Head. atto also posted an oil chart in this thread as well, but it was a couple weeks ago and since then there has been some activity in the chart so I just wanted to see if my interpretation of it is correct and whether anyone else has any thoughts.

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Hi Gringo,

 

I think that looks perfect. You can see we are right at support from that box from 2000 to end of 2003, hence probably why there is so much trading activity in this area now.

 

Just my 2 cents.

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If the chat link is still down at market open, I plan on still using the new chat platform using the direct link (given that it's up and working).

 

http://www.traderslaboratory.com/flashcoms/videochat/server/php/videochat.php?roomId=RoomID&uid=UID&langId=LanguageID

 

If this is down, the link to the old platform is here. See you guys tomorrow.

 

First link is loading but freezes at 91%, the second link says "Page not found"...

 

Edit: I've managed to log in to the new one now... but anyway don't wait up for me, I have the flu and might not be trading today :-(

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A subject of endless fascination has been the difference between demand/supply lines and trendlines. Perhaps this will help:

 

attachment.php?attachmentid=9175&stc=1&d=1232496460

 

Up to a certain point, the supply line and trendline are the same. But a trendline changes only when a new low is made. The supply line, however, is a much more flexible tool, following price as closely as a jealous husband.

 

Ditto for demand lines.

Image2.gif.21c1065270f5378b26675921cbf19134.gif

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