Posted 7:10 a.m. The Emini opened at the bottom of yesterday’s trading range, and then had a bear breakout. This is a trend from the open bear trend. The bears prefer a strong bear breakout and a trend from the open bear. They do not mind if the Emini rallies as long as it fails […]
Intraday market update, December 10, 2014:
Intraday market update, December 9, 2014:
island top
Posted 6:50 a.m. Today opened with a big gap down, creating a big island top with the November 21 gap up. Most gaps up and down have failed over recent weeks. However, the Emini is so overbought on the higher time frames that traders are aware that a correction down can happen at any time. […]
Intraday market update, December 8, 2014:
possible higher high major trend reversal
Posted 7:15 a.m. Although the Emini opened with an expanding triangle buy setup on the first bar, the signal bar was a doji and it is in the middle of a 4 day trading range. The Emini then entered a tight trading range. Although there have been many swings up and down over the past […]
Emini weekend update: December 6, 2014:
strong bull trend
Monthly S&P500 Emini candle chart: Strong bull trend, but overbought The monthly S&P500 Emini chart is in a strong bull trend and there is no sign of a top. Although the monthly S&P500 Emini candle chart is extremely overbought, the first reversal down probably be bought, as is the case with small pullback bull trends. […]
Intraday market update, December 5, 2014:
weekly support and resistance
Posted 7:29 a.m. As I write, the Emini is always in long and in a bull channel, but it is still below yesterday’s high. The bulls need a breakout soon, or the market will reverse and test yesterday’s low. Also, they need follow-through after that breakout if today will become a bull trend day. Otherwise, […]
Forex scalps, December 4, 2014
The weekly EURUSD chart is forming a wedge bottom and traders are buying low. Day traders are more willing to look to buy, especially strong reversals up. There were several scalps up and down on the 5 minute chart today. I have had many requests to post Forex scalps, and am doing so today. On […]
Intraday market update, December 4, 2014:
bear breakout below the bull trend channel
Posted 6:55 a.m. The Emini gapped below the bull channel, but it opened just above the 60 minute moving average and within yesterday’s 5 hour trading range. This gap down triggered the 60 minute higher high major trend reversal, and the 5 minute chart is likely to go sideways to down for at least a […]
Why Band Trading Works: Part 2 — Bands
In part 1, we laid down the foundation for band trading by reviewing the concept of trend and trend analysis. In this article, we will study some popular bands and channels. We’ll also analyze how bands can improve the reliability of signals without altering the overall trend profile and how they could be used to […]
Intraday market update, December 3, 2014:
Broad bull trend channel
Posted 7:15 a.m. Yesterday was a broad bull trend channel, and today had a new high on the open. The bulls want a rally above last week’s all-time high. The bears want a 60 minute major trend reversal after yesterday’s gap bars. Channels evolve into trading ranges 75% of the time. In 25% of bull […]
Intraday market update, December 2, 2014:
test of the island top
Posted 7:15 a.m. The Emini had an early bull breakout, but the rally stalled at the 60 minute moving average and yesterday’s high, creating a test of the island top. It is a strong enough breakout so that the reversal down will more likely lead to a trading range than a bear trend. The bulls […]
