BOT, BO, TREND.... AGAIN

Each day is the same;  set the ranges with the break out targets (BOTs), then look at the PA in those ranges to tell us what the market is likely to do.  A failed BO at one target is expected to trend to the opposite target.  A BO of a BOT is expected to trend, and in the current market, that trend has been hitting +5 and +10 from the BO.

The next part we look for is cross confirmation in another market.  Movement in most (all is better) in the direction of our intended trade is a trade with the professionals.  We look to be with, not against them.



Markets moving together

TF FBO of LB was a clue for the market, and the expected trending to the opposite BOT occurred.  The BO followed, for a substantial short trade trend.  The Control Bar contained PA, even the bull channel in the PM.

ES had the traditional MAXT FBO at the EMA and MB, providing an opportunity to join the falling knife. 

The Webinar today was scheduled for the mid day, to provide commentary about trade setups outside the pre market/open market that we are trading.  Highlights of that discussion included:  B20 was a technical long at the support seen at the bottom of the control bar body, and allowed 1, 2, and 3 point targets to exit.  B25 reversal below the EMA provided an opportunity to short at 1276 for a +4 leg below the control bar.

The long entry for the day was discussed.  The criteria would be a break above the EMA, a PB, and enter in leg 2 to the 50CB level.  That opportunity developed in the second bull channel, and began with the B61 BO.  The 50CB held.