NQ Day Trading 2016-06-03

hey there this is brandon and this will be my chart review for friday june third firstly i just wanted to point out how similar the price action was today compared to yesterday yesterday we had this extreme angulation move down and then we pretty much rallied the rest of the day with the exception of this good correction here and today i believe the downtrend today was a bit healthier the angulation wasn't quite as Extreme I mean notnot as extremists that was right there um and for the most part the 34 and the 89 were kind of running parallel to each other and it was a nice healthy downtrend and then we pretty much rallied for the rest of the day with the exception again of this decent correction right here and some confusion I've got my pink squares to indicate locations where I was either sitting on my hands or wished I had sat on my hands instead of trading this is just the first 15 minutes after the cash open and we've got a number of good short setups in here back here I got a fairly late start so I wasn't even watching this but we've got a very nice 34 be right here on mobile t25 that would have worked for a scalp in this area you know of course you're approaching the pivot the s-1 pivot and notice the long-term stochastic starts to rise here but we don't in my opinion to bleed weed want to look for any lungs yet because we're still clearly in a downtrend the 200 and the 89 both clearly trending down 34 flattens out a little bit and that eight Peaks above the 34 for a few bars there but it's still a downtrend now and I would totally understand skipping this short here this is a nice t10 with the long term cruising down there and the little bump on the short-term stochastic nice t10 signal but I wouldn't I would be a little leery about that one because the there's the pivot and it looks like some pretty solid support right there so but it breaks through and you get what I would call a breakout pullback we had all these kind of matching lows in this general vicinity we broke lower and got a decisive clothes below that area pulled back and you got a bullish bar followed by a nice bearish bar perfect t25 and like I said a like a breakout pullback short so that one's good for a 12 tick scalp or so and then you have a nice 34 be here nice clothes right below the eight there now there's been some talk on some of rays videos or not necessarily on on any of this video's but there was that guy I believe his name is Ricardo talking about the 34b and essentially not taking any 34 B's where the the long term stochastic is going against you essentially i'm not convinced that that he he i believe he did that study and he uses that setup and that filter on CL and you know I believe each market has its own characteristics and I think that I'm not totally convinced that we necessarily need to pay attention to that all the time when we're trading NQ and certainly when you've got a healthy trend like this where that 89 is clearly cruising down I I think we need to take those set up so 34 be another 34 be just perfect this t25 depends on I mean you might have gotten in there that's a fairly bearish bar it did close on its low but maybe you wait for this bar and it ticks lower there so you get short there and you would have had to sweat it a little bit here but then you clearly get the scalp you've got one more t25 this is totally a legitimate t25 set up in my book there's there's no sign that this trend is coming to an end I mean this is a healthy trend and I believe that if we start set second-guessing every t25 setup you know we end up missing a lot of good traits you know oh I'm not going to take this t25 well it would have worked perfectly no I can't take this t25 it's a good trade you know what i mean so and there's another t25 perfectly good trade and even if you'd missed that one you could could have taken this t25 or this Steven t25 even and probably gotten a scalp out of it let's see 8484 50 and 80 175 so it's almost four points there but this one I've got it circled in black because obviously it would have stopped you out so I I think you know I believe in like I said before I believe in in what Mark Douglas teaches us about trading and and you know you don't know that prices are not just going to keep crank and lower so take every valid set up and you know you're just running into the probabilities here you've got other t25 s that worked but you've got a t25 here that didn't work now I circle this one because that that is a t20 long it's a nice bullish close here and the 8 has crossed through the 34 however look what we've got directly overhead we have the 89 so if i had been trading at this point in time i definitely would have been trying to skip that t20 lon and then you've got like kind of a t20 dash one right here with that nice bullish bar but again you're right into the 89 so what I see actually is happening here is you've got an 89 bounce we touched the 89 here and close below the eight right there or maybe they're either way you get a little double top there which double top in a downtrend is like Ray would always say that's money right there so nice 89 be good for a scalp and then some once again we get a t20 long here but we're essentially buying right at the 89 EMA and of course that didn't work out well and probably would have stopped you out right here also notice that the 34 2189 and the 8 are all within a few ticks here so this is some ambiguity this is a place to stay out of the market and just see what happens but then we get a nice break out here this to me looks like a nice bear trap like they traps a lot of traders here and look out how all those bears got trap right there and they all had to exit and that's why prices shot up so quickly there and so this time you know we've had a t20 right into the 89 we've had a t20 right into the 89 we get the 3rd t20 here and look how we close nice and high above that the 89 you get another close so there's definitely some follow through some nice momentum there so I like that for a long here and then we get our t21 AKA at t25 here depends on which you know how much of a bearish or how much of a pull back pull back bar you really need your there's a little pull back there and a bullish bar so you could go long right over right over that there's another pull back here and another bullish bar so if you go along right there as well either one of those would have worked fine we get another we get a t2 right in here and there's there's other signals in here but I think you probably would have been riding this for a little ways and then you know either you're 12 tick target uh somewhere in here and you know I think any other depending if you are still in this trade or you've already out and maybe try to re-enter again long here you're starting to approach that pivot so that that becomes a risky endeavor in my opinion then we get a nice 34 bounce nice close above the eight the price right there is 9650 so once again I prefer to use a minimum of 10 ticks for my stop loss and watch what would have happened here so you get 9650 so before so 94 even oh crap that remind that right 9650 yeah so that that would have been a stop out I should change that to black I would have been a painful stuff out but a stop out nonetheless Ernie let's see yeah it's two tix below that low so i guess it for being fair that 34b would not have worked out my my default stop is actually 11 tick so that one would have actually worked out for me but but anyway uh there's a 34b just barely gets you nailed right there maybe you have your stop two tix below that one in which case you would have been safe but anyway I i was a little bit late to the party here and i didn't really like going long way up here so i actually tried to buy the high of that bar right there so I had a limit order back here like I said late to the party and I i believe i had my stop pretty big here i think i had my 11 or maybe just a 10 ticks out let's see here 9870 or 9575 so 93 and a quarter yeah i'm pretty sure i have my stop at 93 and a quarter so it was a little hairy at that point but then we got another 34 be almost an 89 be right there right there and i was i was worried about the pivot I was worried about that high right there so you see I closed it for I believe 10 ticks right there so started the day with a win and didn't like the fact that we were up here around the pivot area and everything was kind of noticed the long term stochastic was coming down I wanted to get long because direction of the 200 all right so sorry about the interruption but what I was trying to say is the the 200 EMA was sloping up here that's that's pretty clear of course the 89 as well and it's a little I guess in my mind it's a little bit tricky to decide to you know for example in this area you could make the decision that you're only gonna going to look for lungs based on that slope at the same time it's entirely possible that we could get some trading range type of price action where prices are swinging above and then below and then above and then below the the 200 EMA so I'm you know I think that's gonna be that's fairly subjective and you could I guess just treat it as you know i'm going to take every legitimate set up you don't necessarily have to have some sort of a rule with the 200 but for me personally I was not looking for any shorts in this area because I felt like we were seeing an uptrend and I didn't want to trade counter to that 200 EMA at the same time I was using this information here the long terms to cast it rolling over and this pretty pretty severe angulation here not crazy but the combination of that angulation there and the pivot and the dropping LTS I basically sat on my hands I skip the long here there's a the is a very clear 34 bounce nice strong clothes and follow through there at least for one bar on the 34b but clearly a loser and then on the other hand if you're if you're willing to take some shorts with a rising two hundred EMA okay you've got a great t10 signal right here so again that long LTS is dropping the STS forms that little hill and away it goes right in here you get a 34 bounce it's also a t2 nah and then it it starts getting pretty choppy um you know so I just I just waited this out it's swinging below the 200 now it's back above its back below for just a couple of candles in its back above I I thought this was AI thought this was a fake out you know that's it pulled quite far away from the ATM a there and you know it again it was looking like the 200 was flattening out and I believe we might have some more trading range tight action especially after the big sell-off in the morning so and this was this was kind of a mistake to in the sense that I was really late to the party right here the it really wasn't a legitimate signaling and this is not a t10 I just thought here's a chance to go this was a t1 okay so we've got the the price is moving up and then we have a bearish bar and there's the second candle and notice it to lower their and I actually had a hunch that I should just try to sell that high right there right after that t1 you know we're right up here at the highs and the 200 is kind of flattening out so I was anticipating a trading range and I just didn't have the the confidence to just go ahead and and short that right there but obviously that would have worked really well at least down for a quick scalp but then when we had this move down I figured we were on our way and noticed that close here right below the eight that's where I sold so again I was late to the party I wished I had shorted that price level right there in fact right there as well and if I had shorted that it would have gone what it's five is 501 and it goes down to 98 50 so that would have been 10 ticks my way and really you know it would have come back here and stopped me out for break even plus one if I had gone short when I was supposed to go short according to this price action here but instead I was late to the party I grabbed a short here and very quickly got stopped out 14 for a minus 10 so plus 10 and then minus 10 and I was down a couple of commissions at that point in hindsight of course you've had some some ambiguity here some debate you've had a breakout and you've got there's a t20 and there's your classic t21 nice 89 be slack 89 be / 34 be right there just go along and that turns into good trade I took this t2 went long right here about a quick scalp and again weird we're in an uptrend here so if prices are rangy the T tends at the highs and at the Lowe's tend to work out really well in this case we had a clearly dropping LTS the STS hooked over here very clearly nice bearish clothes right below the eight that's a perfect looking t10 set up but we can't forget the bigger context is uptrend everything is sloping up here so we don't want to take that counter trend trade at least I don't want so I circled that in black and of course I didn't even take that trade there and then you know this was kind of a classic loser here there was too much angulation here this uptrend was too old and I i took this t25 long right here it went a couple of ticks my way and then dropped down here and stop me out so then this was kind of a let's just say creative entry I it was it was a pure counter trend trade there's definitely an uptrend in place at this point however I was motivated to try to get short near these highs because that t25 had failed because of the angulation here and because of this this strong bearish move right here kind of everything was sort of in my mind everything was sort of adding up into a some downward price action and there's no really legitimate signal here I mean the LCS is dropping and by the time you get over here okay there's a clear t10 and you know I can't really explain why I would skip this t10 and take this t10 other than this this looks like kind of an exhaustion type of push here it's really steep and that's the kind of move that less skilled traders by they've SAT and watched all of this uptrend go by and I'm not that's the psychology of it you have less skilled traders who missed all of this and then they they see a strong move up right here and they say you know what I'm fine I'm gonna go long next time I get it next time there's a bullish sign I'm going to take a long and uh looks like I fell into the same trap as well but but when that failed that's when like I said I started thinking this is probably a nice place to to grab a short so i just sold blindly here this was a nice bullish bar I just put my cell order right at the high and I got a miracle fill their but I definitely would have been filled here because it ticked through my order and then it dropped down and I front ran the 89 EMA really wishing i had just held on to it until the pivot but i didn't have that foresight then we were recruiting down here it's kind of in no man's land but there's there's a clear sort of a Down trend here so i was still after i took that short ironically i was thinking of going long and there was an 89 be here really strong bullish candle another candle and when it take tire I used to live in order i went long right there and obviously that did not work out and so instead what i like is this little breakout pullback it's almost a repeat of the another trade where was that right here i'm with some matching lows in here and it breaks lower pulls back nice bearish candle just go short right there and same thing right here you've got some matching lows all through here it breaks lower pulls back nice bearish candle it is also a t25 there's a pretty clear down trend here and so that's a good t25 short and i don't know i was a little not confused but I believed that we would that prices would head higher from here it was looking similar to yesterday this looked like a decent direction to me I don't know I was I was thinking it was time to go along here and i took this t1 long here I believed that you know prices would swing back above the 200 dma etc etc so that obviously didn't work out my platform does this weird thing sometimes where even if there's no trades at that stop level it still stops me out and I was actually hoping that it would continue higher right in here but sure enough it came back and that that would have actually filled my stop right here and then we started getting what looked to me like a t10 and a pivot bounce notice the LTS is rising and you get that little hook up right there right on the close of that nice bullish candle and it almost closed it basically closed like half a tick below the eight EMA so I felt pretty confident that we would get a move up from here I went ahead and just bought somewhat blindly right here I had a pretty pretty large stop but I didn't need it obviously it did get a nice hit bounce there and I once again in front Randy the 200 and the 89 EMA now I wanted to mention in this area even though i took a trick some trades i took what i thought was a t25 short and took a loser there and then I took a tee basically like a t20 short here added on sweated and took a profit here on one contract and and some profit right there on the second contract but I ended up putting that rectangle here because look look at how all the EMAs and I mean all of them are right here within a few ticks of each other you've got the 834 the 89 the 221 all right there I mean that even the sequences doesn't even make sense at that point so this is another point in the day when I really should have just sat on my hands right when I when all the EMAs are within let's say six tix of each other that's probably a good sign to sit it out until a clear trend unfolds so I I ended up taking that loser there I got a little couple little winners right there and then we had a breakout and notice the t20 right here and it keeps going up I didn't feel good about taking that long there although that is a nice t25 /t 21 and then when we got this t25 I grabbed the long it went my way it came back nice bullish candle right here and noticed that the fractals right there so what I did here is we've got that's a t25 is also a t2 got another t2 right here but I wasn't convinced that it was going to head okay so sorry about the interruption and almost finished here so what I was talking about is you've got this those matching highs right there the little fractal points and and I was looking for a breakout above those I thought if it broke higher above those two fractals we'd probably have a little shoot upwards so I actually had a buy stop waiting there and I added a second contract there and I didn't want to get too greedy so I basically just took like eight tix with that second contract and whatever it was on the first contract and also of course I was worried about the primary pivot there so I just had my my target order right there and that was it that was the last trade for me for the day you know it was almost noon on a Friday just a hour or so left to the trading and had to log in for work and all the rest of it so so I didn't take any further trades and pretty pretty happy with the results didn't obviously didn't hit my profit target I try I'm trying to get two hundred dollars a day on the simulator here but I was up for the week almost 150 and considering i had this max last day on tuesday and it was a four-day week as well i'm pretty happy with the results so but anyway i did draw that rectangle here again we got really choppy and again look how close all the EMAs are to each other everything's all tangled up so you don't want to try to trade that I don't want to try to trade that anyway decent little downtrend here into the clothes but but nothing in my mind nothing really worth trading courses like two minutes to the close but anyway that's it for me today I hope you enjoyed the video sorry about the blow drying in the background if you can hear that and yes I hope you enjoyed the video thanks for watching hope everybody has a great weekend and I'll be back again next week

2021-04-16 03:06

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