Monday, November 23, 2009

Update

Here is a 30 minute bar chart of the last ten e-mini day sessions. The market started the pit session today with a high volume rally which carried to within a point of its recent high. There the buyers lost their enthusiasm. But sellers failed to turn out in force - the e-minis dropped only about as much as they have during recent reactions (purple rectangles).

As long as this reaction doesn't carry the market much below 1100 I will be operating on the hypothesis that it is headed for midpoint resistance at 1126 (red dashed line). This week is a holiday week in the U.S. so trading will be slow, especially during the afternoon and during Friday's short pit session.

7 comments:

TradingNuggets said...

(imho) Appears that you could play Long the last 15 mins of the day into the next days gap up for the first 20 mins. and cash out for the rest of day.

No volitility, no volume, just manipulation.

jack

Wags94596 said...

Prechter just announced going 200% short today in his interim Elliot Wave Theorist report. Meanwhile, the guy has been totally "underwater" for nearly the past 4 months after having recommended going 50% short back on August 5th. I don't believe that he uses any stops. He just "averages" into these losers as if everyone has a printing press in their basement. I know of NO TRADER that successfully trades like this!

me said...

We may have another big move up tomorrow.

janet said...

Have a very Happy Thanksgiving!!

me said...

Most people who follow Elliot Wave Theory are going short. However, most of the Dow Theory people are going long. I believe we are almost at the peak of the up final wave. things are getting tight (could go either way, up or down).

Win said...

Wags - Thanks. I think Prechter will finally be right, but I don't completely understand 50% when there's also a 200%. Could there also be a 400%, 600%, etc., if the rally continues? If so, what's the point of having a percentage? I understand that Prechter's basically doing loose-stops long-term trading, not the ST day-trading Carl's doing here, but to me the percents seem disinenuous.

Idris said...

Carl has talked about 1120 for a long time, I mean really long and I believe S&P will get there. So far 1,113.69 is the high . not far away.

Carl you are good !! the best !!