8/20/12
8/21/12
8/22/12
8/23/12
8/24/12
Friday, August 24, 2012
Saturday, August 11, 2012
A LOOK AT BoT S/R LEVELS 8/10/12
BOT TRADING SYSTEM
ALL BoT lines removed, all text, etc. Just a clean look at a play being developed: the BoT support/resistance entry.
BSR:
1. look for trend, bull , bear, sideways
2. look for double signals only. They will be current support/resistance
3. long above resistance
4. Short below support
5. look for entry to play a PB to a prior level.
6. In trending day, consider partial exit with runner to higher signal area(s).
ALL BoT lines removed, all text, etc. Just a clean look at a play being developed: the BoT support/resistance entry.
BSR:
1. look for trend, bull , bear, sideways
2. look for double signals only. They will be current support/resistance
3. long above resistance
4. Short below support
5. look for entry to play a PB to a prior level.
6. In trending day, consider partial exit with runner to higher signal area(s).
Friday, August 10, 2012
RANGE BOUND & WAITING FOR A BO 8/10/12
BOT TRADING SYSTEM
Price Action (PA) started at the Long BoT LB but failed to run the range to the Short. Hindsight, did not start at the open, B2-3 was a PB continuation short just above the LB. B2 had other information; it showed bull support above the short bias at the SB and was an aggressive entry for a long. The risk was a move to the SB.
Bars 5, 6, and 8 were rule entries for longs with an additional long rule at b10. Exits were seen just below and at the BO5 level ( LB+5 points).
An ascending triangle developed with a top at the BO5 level. More sideways PA with a slight bull bias (running about LB+3) and testing the BO5 with multiple hits to finally break in the late afternoon.
Once we have a break, the focus is on a run to the BO10. B45 buyers would want a +5 trade which gets us to 1401.5 area. the BO10 was at 1403.25. Two reasons to support the run.
An interesting PA developed around the bar 71-74 area. We have bear resistance around 1400.25 and, as it turned out, roughly the 50CB level of bar 75 bull. This creates two Limit Entry opportunities to watch:
1. The RF play. Did not have a name for the play but it was noticed by another, so give credit where earned. The first option enter a buy above B74 bear (short/sell) resistance signal. This allows an opportunity for a BO play. Your stop would be the most recent prior bull 50CB not tested. In this case, the EMA or B68 50CB (98.75) or the BO5 at 1398.25.
2. The second option would be to respect the resistance and enter a short below B74 with a stop above the resistance per your limits.
Price Action (PA) started at the Long BoT LB but failed to run the range to the Short. Hindsight, did not start at the open, B2-3 was a PB continuation short just above the LB. B2 had other information; it showed bull support above the short bias at the SB and was an aggressive entry for a long. The risk was a move to the SB.
Bars 5, 6, and 8 were rule entries for longs with an additional long rule at b10. Exits were seen just below and at the BO5 level ( LB+5 points).
An ascending triangle developed with a top at the BO5 level. More sideways PA with a slight bull bias (running about LB+3) and testing the BO5 with multiple hits to finally break in the late afternoon.
Once we have a break, the focus is on a run to the BO10. B45 buyers would want a +5 trade which gets us to 1401.5 area. the BO10 was at 1403.25. Two reasons to support the run.
An interesting PA developed around the bar 71-74 area. We have bear resistance around 1400.25 and, as it turned out, roughly the 50CB level of bar 75 bull. This creates two Limit Entry opportunities to watch:
1. The RF play. Did not have a name for the play but it was noticed by another, so give credit where earned. The first option enter a buy above B74 bear (short/sell) resistance signal. This allows an opportunity for a BO play. Your stop would be the most recent prior bull 50CB not tested. In this case, the EMA or B68 50CB (98.75) or the BO5 at 1398.25.
2. The second option would be to respect the resistance and enter a short below B74 with a stop above the resistance per your limits.
Thursday, August 2, 2012
TEST LEVELS VS. FBO LEVELS 8/2/12
BOT TRADING SYSTEM
WE have seen two selling back to the 1270 area with rebounds. The problem was the rebound, it simple could not hold about the Long BoT nor the aggressive short that developed Wednesday. (see prior post).
[07:42] with the continued stress on the lower level and a failure to exceed the upper BoT, it seems that the lower must be broken in another test to extract all sellers until a firm bull support can be detected. News continues, and it has not been positive. The FED inaction, while neutral in content, was not neutral for the market. Earnings will not pull this out until a firmer bottom support is found.
Get market news before the market with the Bot Newsletter.
If hope, EuroZone News. and US News pushed the market up, then no "new" news will act like negative news and push the market down, This is nothing new. Market will always seek a better price entry for bulls and bears. While 1370 was nice for two days, the bulls would need a lower support to garner interest. That support is around the seemingly magical 1350.
60 Minute Look:
B23-24 formed a MAXT, a PA exhaustion pattern that will often reverse, and in this case, the reversal continued to develop a bearish Control Bar. The best bulls could do? Test the 50CB level and sell again to a lower support that found bulls at 1352-54.
Similar, yet a better view for the MAXT that reversed two bars and broke Bot levels. Again, a 50CB test and FBO , with additional selling to support.
5 minute look:
Failure at the upper range and the Aggressive Short. By the US open the damage was done, and bulls could only test the 50CB level. All these point to the importance of a 24 hour look rather than Rth charting. Charts are 24 hour. Anything less simple does not tell the full story.
WE have seen two selling back to the 1270 area with rebounds. The problem was the rebound, it simple could not hold about the Long BoT nor the aggressive short that developed Wednesday. (see prior post).
[07:42] with the continued stress on the lower level and a failure to exceed the upper BoT, it seems that the lower must be broken in another test to extract all sellers until a firm bull support can be detected. News continues, and it has not been positive. The FED inaction, while neutral in content, was not neutral for the market. Earnings will not pull this out until a firmer bottom support is found.
Get market news before the market with the Bot Newsletter.
If hope, EuroZone News. and US News pushed the market up, then no "new" news will act like negative news and push the market down, This is nothing new. Market will always seek a better price entry for bulls and bears. While 1370 was nice for two days, the bulls would need a lower support to garner interest. That support is around the seemingly magical 1350.
60 Minute Look:
B23-24 formed a MAXT, a PA exhaustion pattern that will often reverse, and in this case, the reversal continued to develop a bearish Control Bar. The best bulls could do? Test the 50CB level and sell again to a lower support that found bulls at 1352-54.
30 minute chart:
Similar, yet a better view for the MAXT that reversed two bars and broke Bot levels. Again, a 50CB test and FBO , with additional selling to support.
5 minute look:
Failure at the upper range and the Aggressive Short. By the US open the damage was done, and bulls could only test the 50CB level. All these point to the importance of a 24 hour look rather than Rth charting. Charts are 24 hour. Anything less simple does not tell the full story.
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