Week 51

[Anna-Maria]

Subdued start to the trading week after the whippy post-payrolls activity on Friday. These are the occasions where our S&R % barriers usually play ball.

And price has bounced nicely off the R1 zone this morning with accompanying rejection of the 4hr mov avg line.

No interest shown in the UK PPI data, & price has sniffed our support zones where it's now resting before deciding whether to re-engage the downside towards the next Fib (38%) line from the recent move up off 8830.

One or two snippets of Data to hurdle this week on both sides of the pond, before the volumes begin to noticeably dry up due to book balancing/year end lethargy

[torero]

I'm seeing a double-bottom forming here and to be confirmed with a pullback. Going to watch for this long entry.

[torero]

Seeing my cue for long entry here.

[Anna-Maria]

Yeah, decent trades taking an 'either or' stance today huh?

Is it a progressive lower high set-up off this 9850 top or a higher low shunt off the 38% Fib of the larger swing though?!

Decisions, decisions!!

[cowpip]

This has been a fun post-NFP for me to play this time around. I took +30 from the bounce off the resistance zone that Texxas pointed out a few posts earlier (not shown below), but had taken a small loss trying to get in on this a bit prematurely. Then a few hours later, took an entry near the rising trend-line, close to the S2 level, anticipating a double-bottom. Scaled out 2/3rds of my position at 9582. By then, I had moved my stop up to 9555 to lock in profits and have left the remainder running. All in all, not a bad day.

This is my first attempt at getting an image to post here. Let me know if it doesn't come through.

[Anna-Maria]

Your graph reads ok from my end Cary, & that's a very good entry indeed!

I drew the short straw y'day, engaging the short off the R1 instead, so only small change for me

You beat Buk to the plate though on that long of yours

He executed it thru the 1.95 (9517) on confirmation of the 2nd doji from the Fib/S1 bounce.

If it can hold on any re-test of c9540 (today's S1 zone) it should gather sufficient steam to have a crack at last weeks highs around 9817.

I guess we'll soon see how much stomach the Sterling Bulls have for a fight at todays important R1-2 zone (9610-25).

Good luck to you & torero with your trades

[cowpip]

	Quote:	texxas
	You beat Buk to the plate though on that long of yours He executed it thru the 1.95 (9517) on confirmation of the 2nd doji from the Fib/S1 bounce.

That was definitely the safer entry, waiting for that 2nd doji to confirm.

	Quote:	texxas
	If it can hold on any re-test of c9540 (today's S1 zone) it should gather sufficient steam to have a crack at last weeks highs around 9817.

Good point. I've decided to reduce my stop back below the S2 level for today, so that this puppy has enough room to continue swinging higher - if that's their intent. I suspect tomorrow's post-FOMC will be key to the near-term direction of cable on the longer frames, although CPI tonight should be interesting to watch as well.

[Anna-Maria]

	Quote:	cowpip
	Good point. I've decided to reduce my stop back below the S2 level for today, so that this puppy has enough room to continue swinging higher - if that's their intent.

That's certainly how we prefer to use those levels when instigating or managing the swing trades Cary.

We've found they offer sufficient risk-reward to allow price to test the genuine flows.

If we're attempting to take a price within a rangebound environment, then those % levels merely afford us an entry/exit guide to work from in harmony with the price bar prints.

[cowpip]

So this morning's pull-back to near the Asian low provided me with an entry opportunity, which I took at 9590. It was looking a bit iffy for a while, but was kicked into profit thanks to the CPI news, which hit a record high of 2.7%. I banked partial profits at +40 and moved my stop to b/e on this entry in order to protect the entry against a possible whip back later this U.S. session. No point in giving back any profits. I may also raise the stop on my first entry to the indicated level, which I think should serve as support now... still mulling that over. Maybe it's a bit premature? I'd like to see price break and stick above 9650/60 first, which it hasn't yet done.

But at any rate, it's been (thus far) a reasonable add-in for me.

[cowpip]

	Quote:	texxas
	That's certainly how we prefer to use those levels when instigating or managing the swing trades Cary. We've found they offer sufficient risk-reward to allow price to test the genuine flows. If we're attempting to take a price within a rangebound environment, then those % levels merely afford us an entry/exit guide to work from in harmony with the price bar prints.

That is very cool!

I'm falling in love with the methodology.