Our task is to find simplicity within complexity.
Easier said than done.
Best summary of that idea:
@FlowtraderES @eminiwizard @CGinthehouse Nasty = Hold for fortune. #EMWS
Knowing what we are looking for helps. I suggested this book today from my trading library for our traders… it focuses on the 80/20 rule. Patterns that we can continually seek out, and exploit for our personal gain.
It is, and no, I am not interested in running for President against socialistic politicians.
I said to our troops: “Many traders will be frustrated today. They will look back at a 40 to 50 pont range day, and say ‘why couldn’t I do better than this?’.”
Happy for you that you rocked ’em today.
Today’s premise was simple but not easy. We were too high at the open to buy it, so SOH (sit on hands and do nothing) or short it as scalping idea.
Whenever a scalp is underway, we can run until we find support.
Detailed plan was provided before, during, and after the trade set ups for our traders in the Emini wizard Member room as usual.
We want to play the short side until we find logical support, then realign with the long side for the bounce.
The high odds trade played out, and the half gap target was met once that stikky 46 /48 area got beat. The swift move to the gap area was welcome relief for shorts prior to the ISM news, and the follow through for the 32 test left many inexperienced traders with whiplash.
When I saw this chart… “28 support” was immediately called, and the realignment with the long side opportunity emerged.
Bungee-type bounces cannot be counted on, that’s for sure, but they do happen.
I had a hunch that the bounce was worthy of our attention… and then we needed time to see how the rest of the day would play out.
One good trade a day players had several opportunities by lunch time.
Once underway, the snap back can continue to squeeze higher into the close, as trapped shorts are running out of time and options, especially if they margined too much.
The Angel had wings and she was flying…
“The purpose of that egregious early morning high is to get us to be reasonable and happy with our booty from the high, then it gets goosed long side for the Boyz agenda.”
Step back, and look at the bigger picture. See ideas as separate and distinct, then combine them into tradeable ideas. Scan multiple charts, let our brain absorb the info, then “just trade”.
Seasons of Life…
The long way home trade today…