I am not a sophisticated trader like many of the gurus.
I don’t have my favorite indicator that I sell, and my brilliance isn’t in understanding every little wiggle.
Relying on instinct alone, however, I found was not enough. I had to develop a system that was reliable, flexible, duplicatable, simple, and most of all profitable.
Let’s examine the concept of simplicity. I have more than one system to give me clues as to the market’s movements. Usually not all will agree at any one moment in time.
The simplest one helps me with fast decisions. It is one I have found to be of immeasurable help.
Looking at the Globex range for the week, I have the 48 high and the 02.25 low, with 825.13 as a middle. Round numbers thinking, that equates to 800 and 850, also with 825 middle.
Seeing that relationship is helpful to me.
Yesterday’s low was 810.75, so today’s thought for RTH was 810 support, 822 resistance, with second resistance at the 825 826 area.
Not a fancy system at all. Just the left side of my brain at work. If it gets close to the 10 and 11 area, buy it. If it gets close to the 25 area, sell it. Will that work every time? Of course not. What does?
More complicated systems are available in my toolbox, but this view is the down and dirty one that allows my mind to see the basics. Throw in a moving average on the daily chart, and it makes it a little easier.
Any good team has lots of special plays, but they are superior at the fundamentals and conditioning.
Keep it simple.
Short workweek, so get it done early tomorrow.