We got a bull by the horns…
“We need Action to get Reaction”.
We liked the Psychology high near 1300 this morning, and thought fading it was best. Our primary targets were test the 91/92 then the gap, then target 86 Angel and below was gravy. The 82/84 below the overnight 85 was the juice.
[10:02] E: testing 84/82 will surprise agg longs
[10:28] E: say thank u boyz for giving us best hour of the year #EMWS
[10:29] Zeek411: nice calls E
[10:29] Zeek411: remember the close is what counts
[10:30] Zeek411: odds favor longs here
[10:42] E: it is not safe to short 82
[10:42] E: trailer is ok
[10:42] E: new shorts here not safe
[10:42] E: as we always say better to miss than lose money
Whole Lotta Shakin’ Going On…
The marginal break of the IB low trapped a few Turtles who wanted more.
Kudos to Zeek for slapping me off the head and reminding all of us not to be greedy.
Bob made the right call: [08:17] bob a: looks like today could be a replay of the last 7 trading days, stolen range o/n, am pull back, crawl up rest of day
My best defense is be happy with catching the primary trade, then go take a walk as the balloon reflates and rises. I didn’t like the long just then; I thought lunch time would be better for the bounce.
All we need is one good trade a day; be careful to become conservative and keep most of it rather than squander it is our suggestion. If you don’t like the setup, pass.
Risk and Reward suggests we can risk 2 to make 8 or 10 or whatever; or we can risk 2 to make two.
Always our choice.
The overshoot low knocks out the aggressive longs, then the overzealous shorts get squeezed, especially if they miss the rotation idea and don’t take partial profits.
Hindsight: First hour was best shorts have had in a long time, and the inability to contain the bounce neutralizes that event.
[10:38] E: trap early longs
[10:38] E: then maybe by afternoon catch late shorts
It seemed like the Boyz were gunning for the IB high stops. Position shorts are still not being accommodated, it is as simple as that. The 123 lower low was the perfect shakeout of the weak hands.
Thanks to the general who ran a great webinar as usual. He continues to set the standard for Twitter Traders looking to continually improve our understanding of market structure.