Stop and think.
If we want trading to be a business, rather than “gambling at a casino”, we need an edge.
Go ahead, name your edge, right now:
My edge is:_____________________________
No edge, no trade.
A few other no-no’s for no trade:
- No discipline
- No capital
- No experience
- No system that helps see reliable ideas
- No emotional control
- No discernible pattern
- No confidence
- No ability to take a stop out
- No MADD (maximum allowable draw-down)
- NO… (you name it)
I have a simple mindset, one that will focus on important relationships.
Yesterday those relationships became more clearly into focus, with no resolution.
Out of the gate today, the market leaped off the blue line, like a swimmer who is being propelled off the diving board.
Traders wanting a reversal or an icy plunge never got it.
The late day pullback is not a plunge, until proven so with more pullback and seen in hindsight.
Thank you for all the posts on #EMWS; those relationships are also important to me.
There are times, as a day trader, a dilemma exists: Sidelined, with or without profits, or even a loss. Typically, lunch comes to mind.
What to do?
- Analyze new info as it becomes available
- If MADD hit, do nothing.
- If still in the game, decide if momentum/ rabid dog day rules are in effect, (Trap and squeeze). If so chase trade and join the winning team.
- Do nothing
- Wait until EOD and look for a late contra
Joining the winning team is easier if we forget deep support (or resistance) and locate nearby “nearest aggressive support or resistance”.
I had the feeling today would be up, but had no clue how high was “up”. I never do in trend days, all we can do is keep an eye on support in an uptrend, and resistance in a down trend.
15:27 “we don’t fade these type days” just move stops up let profits run #EMWS
15:28 all longs advised out by 18/20 #EMWS
15:30 time and price align for small profit taking… no profits, no shorts #EMWS we wont plunge
Contradictory; yes. Common sense says the later in the day we go without a profit taking swing, the higher the possibility we get one.
Vader’s 23 was possible, but less likely.
Verniman made an outstanding call for 19.25 ; I thought he was nuts, but it was hit.
Spidertrades: @eminiwizard Those with GPS charts were shorting, forgot about eom > “knock em down and buy ’em cheap a favorite game near eom #EMWS”
My edge is:
- I stop and think about important relationships. Time is one of them, not just price.
- I respect the market, and am conservative.
- Recognizing when traders are trapped offers me a different dynamic and risk reward idea. (Umbrella or Alligator.)
- I wont average in to losers. One unit going the right way is better than five going the wrong way.
- Sequence trading offers me a game every day without worrying about overnight positions.
Videos with a few ideas…
Trend Day plays out.