Wac a Mole
EOD 42 resistance holds Intraday umbrellas lined up for rain
[15:03] Bob A: bulls are like rabbits today, everytime stick their head out of rabbit hole, bears whack it
[15:04] E: wac a mole
Today was an adventure in finding a good risk reward trade for the short side, after the plunge late yesterday and overnight.
Stolen range, yet again.
We had several trade ideas that we felt had merit and were reasonable. The half gap/gap trade early morning from the 20.25 low seemed like a contra opportunity, and I felt was the best long side shot today premarket. Shorting using the 32/34 zone was suggested for aggressive traders, and we had the back up zone at 38/39.
Yesterday’s late day resistance at 42 worked well at 3 am, but I was snoring and sound asleep.
If you were up to play it, risk was minimal there, but hindsight always makes it seem that way.
The lunch breakdown was more of an intuition idea, I could just feel the will of the bears wearing down the longs in the umbrella pattern.
Range trading expected again after the plunge, as markets like to get to their targets in a hurry once they are on the highway.
The contra EOD trade is recommended only for aggressive traders who want to risk a small portion of their winnings, if any. No profits, no trade.
We had a number of topics we covered today during the slow consolidations. Timing ideas, patterns, psychology, position trading, you name it. All fair game as we help each other.
Thanks in advance to any and all who retweet my posts and are kind enough to #FF me.
I will be out of the office all day tomorrow.
One of my best friends needs me, and I said I’ll be there.