Well, finally a couple of days of volatility and some textbook trades to boot! A lone LRE Entry getting us long right away after the Chicago open with no heat right into the meat of the move with a superfecta of exit signals telling us to take profits! Doesn't get any better! If you were a glutton, multiple "second chance" entries popped up offering us longs into the afternoon rally. Not for me but would have worked out nicely. Structure was really spot on today giving a lot of confidence right off the bat. Price had to stretch to the 2182 strong area before retracing to the end of the day. Hope this volatility sticks around, I was getting nervous about eating mac-n-cheese if this stayed around much longer... LOL.
Hope you all got a piece of it!
In this video I ponder the possibility of a black swan variation. Trying to think outside the box a bit to take advantage of this sideways slide that is apparently never-ending. Ended up with a decent trade that I inevitably chopped off early, but after a couple of hours I'm spent and the risk/reward starts to take a turn for the worse anyway. Seems like I ramble a bit in the video as I was more "free-form" talking, sorry about that... Attached a real time trade and what I'm thinking as it was happening. Recording my stream of consciousness is tough for me apparent when I misspoke a couple of times, 2 points instead of 4 and have my time off a bit but don't hold it against me, my head is in to the charts and trading and I'm not carefully parsing my words. It happens when I'm trading, gotta stay focused but hope it it useful to you anyway. If so, always appreciate a "like" or a +1 somewhere...
Okay, Okay, no one is sicker of the sleepy Emini market action than I. That being said, I figure I can either complain profusely about it or try to make some moolah. I prefer the latter. This video includes how I interpret the EEdge Indicators to sneak out a "counter trend" or reversal move on different time frames. Gotta be quick on the trigger and confident on the setups.
Well, another dismal market week is behind us. Can't remember the last time we've had such a slow market for this long. Something's gotta break, or at least I'm praying it does. The video just showing how I was interpreting the movement with the EEdge Indicators but still getting chewed up and spit out. Hope it is useful to you. Next week is another new week and a chance for some real action...
Also, note that I've added an additional discount on the EEdge Indicators for those that are following EminiEdge updates via email. This is a one-time discount when you sign up and good for a short time so don't wait too long. It's FREE to sign up and we don't SPAM so sign up by clicking the "Sign Up" on the bottom of the site, what are you waiting for? This is one way I can say Thank You and show that I appreciate your continued support by putting up with my rambling videos and posts, well, hopefully not too rambling, hmm, what was I saying again?
First, a mighty boring day on Monday, not completely unexpected give our quick run-up on Friday. EEdge-Trend and EEdge-LRE at least kept us on the right side of the market (above), too bad it wore me out early and I walked away to do other chores. Not worth the risk to keep involved after this floating market.
One thing this boring market allowed was a brief look at the longer term picture which is interesting.
The chart here is a daily chart, or a 1440 minute (Tradestation thing, 1440 minutes in a day) and a few things stand out. First, we've been in a big uptrend (no kidding, right) but our timing suggests that we may have a sideways or down swing correction in the works here. This topping is a usually a process not an event. Note the Price Exhaustion (cyan dots top of price action) and the Volume Exhaustion (yellow dots) showing up on our EEdge-Volume indicator (all EE by the way). The buying has dried up and at least for now there's a big divergence of volume. We also have an incredibly soft VIX which closing levels haven't been seen like this in a couple of years, but in general are at some of the lowest in the last 10 years. Really scary, eye opening stuff. I'm starting to hedge a bit on my longer term investments awaiting the black swan to come swimming up behind me and bite me in the ass. 95 million Americans not working, worst recovery of any recession since the 1940s, wages down $17,867 per household per year since 2007, (Source: Economic Policy Institute, you can't make this stuff up [NeverHillary]) entitlement mentality on the rise with no signs of waning. Something's gonna blow. Don't get me wrong, I always like to be in the direction the market is going, at least short term and without question that is up. BUT what goes up must come down and the FED has no place to go. I think we're so inflated and when the correction does come I think it will be because of a lack of buying up here, not really active shorting, at least at first. We are a herd after all and like moths to a flame we'll blindly chase this thing time after time and any down moves at the moment are still a pullback in a bigger term uptrend. It amazes me looking through the Tweets from traders that many are obsessed with calling a bearish or bullish move that is coming any minute now. As followers know, I don't care what way it moves, I don't care if the markets proves me right. I simply want to see what direction the market tendency is and go with it. Yes, reversals are possible at any time and we can even stab at some of those, but I'd rather be profitable rather than have my ego stroked. My charts and the EEdge Indicators are screaming at me at the moment to "Trade What You See, Not What You Think". So I'm gonna try to do just that...
Hidey Ho Neighbors...
A callout to anyone who knows where that reference greeting comes from! Anyway, finally a day that moved! What a dismal couple of weeks. Scratching around to come up with a point or two in this crud, reversing and whipsawing as it went. Yuck. If you struggled a bit in this chop don't dismay, pull back and look at the charts and see where you could have done better or worse. It's important to keep perspective and not change your plan every time you run into a rough patch. Trust your plan. If you have done your research it will work out.
Today was finally one of those breakout days from the open just buy and walk away. Had a few nice setups for entries and exits that I call out in the video. The EEdge Indicators did their work and gave us some notice what was happening as usual. Hope it is useful to you. If so, feel free to share a link to our blog on your favorite site or drop a like somewhere. Always appreciate the shares and others who don't know we exist might appreciate your generosity so you have my blessing, share as you like...
Since the EEdge Indicators were finally released in the wee hours this morning I thought I'd do a quick video showing how I read these indicators together during today's trade. Everything was lining up even though it was a "range bound" day, but the "EEdge" was obvious. We don't care which way it goes, we just care that it goes somewhere, and today it did just that. From a few minutes before the open the we got a great set of EEdge-LRE entries with no heat for a beauty of a short with the EEdge-Trend, right off the EEdge-Level and confirmed with the presence of a "Red Hot" professional bars from EEdge-Heat map. The exit was marked like a neon light with EEdge-Volume and got us out with profits in plenty of time with no heat, just the way I like it, and done 15 minutes after the open! The red "Heat" professional bars marked the range the rest of the day like a road map on the higher time frames and was a great confirmation what was going on. OK, maybe "on fire" is a bit strong... Maybe "Smokin!" is more appropriate... Yeah, better.
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