Day trading the DOW 07/04/03

bansir

Well-known member
494 42
hi chartman,
I really don't like those alternating long white/black candlesticks coupled with that broadening structure fron 1700 to 1800.
The potential for getting whipsawed was too great.
How did you call the first short? It was too early to plot a trend, guess you used a continuation of the previous day?

Best Regards,,
Neil
 

ChartMan

Legendary member
5,580 46
Yes Bansir, when the futures don't move much overnight, then one can assume ( rightly or wrongly) that the prior trend will stay in force for a while. The sensible thing is to wait for a second lower high and then decide. Don't go shorting if RSI <20 odd ad CCI > -200 ( ie -250). RSI was at 40-60 and CCI was at -100 to -150 ish so relatively safe.
 

ChartMan

Legendary member
5,580 46
Just a quick report tonight. The initial drop fellshort of it's target, signaling a long opportunity..... That was about the sumtotal excitement for the day. The rest of the day was just a mess of nothing, going nowhere fast. Today was one of those days where any decision was likely to have been the wrong one. :( Myself included.
 

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davelong

Member
62 0
Good Morning Chartman
Your post of 03:01 yesterday "When the futures don't move much overnight", could you tell me where to view these. I have Sierra Charts with a Mytrack basic and Sierra subscription so I get live indices but delayed everything else. D I need to upgrade my sub. to Mytrack.
Great posts, they really help to put all the theory into practice.

Kind regards

David
 

ChartMan

Legendary member
5,580 46
Yes, you need to sybscribe to cmeLimtd in MyTrack/functions/chat/entilements- $15 a month I think.
take nasdaq at1$ as well.
 

tradesmart

Experienced member
1,286 22
Hi ChartMan/All,
Just a quick alternative reference to Friday’s Dow chart; the main feature that I noticed early on was the tight ‘double-top’ at around 10am ET at just above 8330, so I jumped on board for a short at 8320 when the down move appeared confirmed, and rode it all the way down to 8210.

I find that it’s generally worth taking a chance with these early moves between 9.45 and 10.30 ET as they can be the best of the day, but you have to be very decisive as they happen very quickly and are easy to miss (always trade them with a tight stop-loss!!)

I tried to trade the lunchtime bull flag, but as you note, it failed and I got stopped out for a –20 as the down move happened very quickly and took me by surprise.

I was expecting a move to test previous support at 8180 at some point, so when it did at around 14.00 ET, I jumped on board for a +25.

As you note, after the first big move, a difficult day to trade.

Regards, TradeSmart
 

ChartMan

Legendary member
5,580 46
Nice one. I'm gonna change sides now and see how a bear cap fits.:) It's obvious that getting on the right side of a short can pay handsome dividends in a very short time. The downside has less risk as generally longs creep up slowly in comparison. So if a short goes against you, there's less chance of being panicked out and more time to manage your exit.
Maybe all beginners should only be allowed to short! I'm sure it would help get them into profit quicker and help minimise their losses too.
 

china white

Established member
979 12
Bansir, Chartman,

just a quickie mates: how do you get Globex spooz futures (i.e. when the cash mrkt is shut) in myTrack and, even more importantly, in Sierra? Is it a separate subscription?

Cheers
 

ChartMan

Legendary member
5,580 46
No, set your market times to start 00:00 and end 23:59.
I presume you mean ES`M ?
 

china white

Established member
979 12
yes, mini s&ps. Chartman, I need a subscription to Sierra to get spooz, right? my free version takes only Dow.

also, will I have to tweak my subscription to myTrack to start receiving mini-spooz (ES)? I gather at the mo all it takes is proper big spooz (SPX).

Many thanks!
 
 
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