Time for some R and R
The premarket high hit our expected resistance zone as posted yesterday.
“When did you get short” I was asked by a fellow trader.
“Premarket”; students of symmetry and risk/reward know that the best edge comes from a calculated position prior to the rth market opening.
In the early days of my learning this business I remember being so naive and gullible. Now I am not so naive…so I am skeptical of the gap up and continue move.
Zeek chipped in his 2 cents: He felt the Boyz painted the tape overnight.
Our plan was to use the 28 resistance for the 24.75 half gap, 23 WM, and assumed that 22 was support for profit taking.
Additional targets lower included the 19.5 test and then any day low was possible, although with small ranges lately we did not expect the 15.5 gap fill to be hit.
We did not like the long side.
We felt the symmetry target of 1135 may be near enough for now, and the weekly T1 was 29, so 28.5 was close enough for us relative to risk/reward considerations for today’s trade.
As for the other r and r, heading out soon for a few months in a warmer climate. Bags need packing, golf clubs need to be dusted off, and sun tan lotion ready to go.
Posts will be less frequent, but I will check in from time to time.
Step by step lets see what we have next in the market,and catch a piece of it.
As the market gets thinner the next few days, we need to remember that renewing and refreshing ourselves is a vital part of this or any other worthwhile endeavor.
Work hard, play hard.
PS Keep an eye on the dollar spx relationshipas that appears to be a part of the current equation. Our resident dollar scholar JK has kept us informed as to this pairing. Thanks to @FX tradingmentor for this chart.