[WHY?]

It would be interesting to see how one sees the price action that took place today in the ES within the context of Taylor concepts. I have my view on it as expressed in previous posts I made but now that the day has ended we can reflect upon what happened. Anybody familiar with Taylor want to give it a shot? So far just dogpile and myself are doing most of the posting on the thread. Maybe not many have studied Taylor? Granted, he is a hard to understand writer and ones give up many times before finally understanding his concepts.

[OAC]

Originally Posted by WHY? »

It would be interesting to see how one sees the price action that took place today in the ES within the context of Taylor concepts. I have my view on it as expressed in previous posts I made but now that the day has ended we can reflect upon what happened. Anybody familiar with Taylor want to give it a shot?

According to Dogpile:
if you play Pinball, you can come join our daily ES analysis section at: http://www.traderslaboratory.com/for...html#post22005
If you don't play Pinball, then you have to stay here.

[WHY?]

Originally Posted by OAC »

According to Dogpile:
if you play Pinball, you can come join our daily ES analysis section at: http://www.traderslaboratory.com/for...html#post22005
If you don't play Pinball, then you have to stay here.

LOL funny indeed. Not knocking pinball but I would have no idea where to start.

[WHY?]

10-16 was short-sell action all the way except it was short-sell with a failure to penetrate. It never made its target or rather the point I would have looked at shorting at. However, if one is so inclined they could have shorted the failure to penetrate and would have come out ok...this time at least. The weak close on 10-16 indicates further weakness. It remains to be seen if enough support came in to day to stop the decline. According to Taylor tomm 10-17 is a buy day. One has an opportunity to short and to also go long. My first strategy would be to short tomm if shortly after the open the market indicates weakness. However, I would be ready to cover once the decline stops. If the decline is slow and in bits and pieces well.... I wouldn't hold on for much profit but would cover sooner. I wouldn't wait too long because anytime now some strenght could come back in. We have 3 or 4 days down now and the market might start reversing. So, if market looks weak early in the session then I would short on a failure to penetrate. That is, if weak then the shorting target probably wouldn't be thru the high of 10-16. One would have to short before 1562. Cover on any decent decline and look to go long at the same time, or near the same time, especially, if you are able to take a long position below the low of 10-16. Once long if market still looks weak then sell any longs at or near the low of 10-16 i.e. 1545.20 on any rally that you can ride up. However, once long if some strenght starts coming in hold off to sell on 10-18-07

[Dogpile]

yah, today is clean buy day. the move is coming overnight however. a vague guess makes me think we could test the high-volume 1570 area today. but resistance around 59.00 also.

http://bp3.blogger.com/_5h-SWVGx6Ms/...thru+10-18.png

[WHY?]

The opportunity was there to short today early in the session just under 1562. In the 1558 to 1560 area. Then cover around 1553 area and then reverse and go long around 1551 or 1552, already, all, before noon. Since the move up off 1551 is a bit weak I wouldnt hold this long very much unless market conditions change. This is probably a case where I would grab me a few points on the long and get out today instead of waiting to get out on 10-18. On the other hand, if it picks up I would keep my long and look to get on 10-18 especially if it looks like it will close high today. At this moment, the market appears a little weak even though some strenght has come back in. But since the decline has been in bits and pieces best to cover any shorts. Typical Taylor BUY day. High made first that gives a shorting opportunity and then a lower move early in the session that allows one to cover, reverse and a long postion. If not already long I wouldn't go long in the afternnoon as that could carry the risk of a low close. Or it could close up which would be good. However, a low close today indicates more weakness for tomm and a possible BV on 10-18 (Buying day Violation). A BV would be the better play for a long position tomm since the trend is still down. From the market action at this moment I would get out of my long on any little rally that gives me a profit. Unless I see some definite strenght come back in. Should that happen I would keep my long position but as the day progresses, so does the risk. It is a discretionary call.

[WHY?]

Getting out was the best call. The slide down continues. Any other longs will probably get stopped out. Best to now stand aside a wait. Already made a violation of yesterdays low. Could make a BV on 10-18 also best to wait and see before taking any more positions.

[Dogpile]

Yesterday was Buy Day that played out in overnight session, as noted.

Today, I have a -3 Selling count which sets up another buy day. play is to look for a test of the low to go long. we are getting a gap down to test the low. If higher low, have loose 'head & shoulder' bottom -- which is very bullish if that happens.

There is a very high-volume zone at 1548.00 -- which makes this tricky. This could be a wall given sooo many contracts traded there.