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What's the 1205 based on? I reckon past the current high we'd be likely to at least test 1206.50 then I have a feeling it'll go to 1213.50 past there.

 

I usually set my profit target a little before where I think it will actually go (06.50) to ensure a fill. Aggressive sellers might be shorting 1205 so I wouldn't want to hold out for 1206.50 and get stuck with something less than 1205. Also, I would watch the action and if it decides to break 06.50 strongly, I would move my stop up and see where it goes.

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I usually set my profit target a little before where I think it will actually go (06.50) to ensure a fill. Aggressive sellers might be shorting 1205 so I wouldn't want to hold out for 1206.50 and get stuck with something less than 1205. Also, I would watch the action and if it decides to break 06.50 strongly, I would move my stop up and see where it goes.

 

Lol on the stop! Good plan. You still in for the 99s though?

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Lol on the stop! Good plan. You still in for the 99s though?

 

haha, with moving the stop I meant after it's clearly in profit and safe to move.. :)

 

99s holding here but I think 1202 might be a little tough to get past this time, will see... if that fails, 97 and 94-95 may be candidates for the next logical buy points.

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ah yes, forgot about those guys. Do you actually watch it, or just realize it's on?

 

If there are lots of people all talking crap about how they'll fail to fix the problems I am aware and do try to judge if the price action is reacting at all. I don't trade off it generally.

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Another triangle just like yesterday... 98 really should hold if we are going up soon

 

That's probably true. I do think there's a decent chance of it testing higher. However, it's moved back into the 18-21 Nov gap and started developing. I think that says we've found some sellers at least for now anyway. I kinda thought we could push on a little more than we have already. But then again it had tested 1206.50(ON high was 06.00) in the European session. So as always we'll have to see!

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When you say it's balancing, is your first reason behind that simply looking at price ranging since 10:30 or so, or you see a cluster of volume from 98 to 02 in the profile, or both? Obviously one can draw the same conclusion looking at both, just looking to pick your brain a little.

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When you say it's balancing, is your first reason behind that simply looking at price ranging since 10:30 or so, or you see a cluster of volume from 98 to 02 in the profile, or both? Obviously one can draw the same conclusion looking at both, just looking to pick your brain a little.

 

Both. Generally if price is ranging though, profile is also developing(at least to some extent). Highest volume is in the middle. Another tell is that you have your triangle - prices are contracting on both high and low swings, so more is being traded closer to the middle. It can be a very useful thing too as it kind of builds up energy with this sort of action and a break is decent when it does happen.

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Well, just took the one trade... thanks for your vote of confidence earlier this morning N, it helped :) A couple other trade possibilities were there, but not strong enough for me to take.

 

Well done buddy. Pleased for you. I know it was just one trade but it went your way and you took money from it. I didn't think it was a wonderful day but then not all of them can be right?

 

Tomorrow is a new day and we start again...

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Well not really. But this is some proper action they are taking to provide liquidity(Joint multi central bank liquidity plan announced at 8am EST zerohedge article). At least on first glance. We'll see what it really is once the market has fully digested the news.

 

The question a day trader has to ask is "Has value changed". If it has, fading a market is madness pure and simple. Yes prices have moved far away from recent prices, but if there is a good reason then there's also a good chance that they'll go further. We will have to see what markets do over the course of the rest of the day and week. I wouldn't want to see the ES below 1229.75 and at most 22/23. When a market moves like this and doesn't follow through, there'll be an aweful lot of people with positions they need out of. If it does follow through, who knows where it might go(note I am NOT saying ths is where I believe it will go just that it could). 1248.50, 1270.50 could be some nice up side targets.

 

The key as always is to monitor what does happen and adapt to it. If you have a small a/c balance and/or you are unsure of the action, it may be sensible to step back and watch.

 

ADP also came in quite a bit stronger than expected(+206k vs. +130k plus previous rev higher by 20k) and China cut reserve requirement for banks which encouraged markets too.

 

attachment.php?attachmentid=26790&stc=1&d=1322661780

 

Good luck.

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