Jump to content

Welcome to the new Traders Laboratory! Please bear with us as we finish the migration over the next few days. If you find any issues, want to leave feedback, get in touch with us, or offer suggestions please post to the Support forum here.

  • Welcome Guests

    Welcome. You are currently viewing the forum as a guest which does not give you access to all the great features at Traders Laboratory such as interacting with members, access to all forums, downloading attachments, and eligibility to win free giveaways. Registration is fast, simple and absolutely free. Create a FREE Traders Laboratory account here.

AbeSmith

AbeSmith 7-27-07 YM

Recommended Posts

Today was a very uncertain day IMO. The dow is down 1.54% at the close. I couldn't find any good setups because the volitility was very high, and so I didn't make any trades today but did pay close attention to the chart most of the day looking for something, but never felt comfortable enough to enter a trade. Yesterday the chart looked very clean. Lower lows, higher highs. Green candles were followed by mostly green candles, and red candles followed by mostly red candles. But today we had a very colorful and unpredictable chart IMO, compared to yestarday at least. On CNBC they were also saying that today had very high volitility and uncertainty. So I was not able to clearly determine the sentiment of the day, but now I see that it was a bearish day.

 

It seems that to trade in a high volitility day you have to have a higher risk tolerance. One thing that other traders have been advising me is that I make too many trades and short duration trades, and one reason that is is because I have low risk tolerance. So today especially I was reluctant to enter setups. I wonder if it was mostly me or if other traders also stayed away today.

 

7272007ymeo3.jpg

Share this post


Link to post
Share on other sites
On CNBC they were also saying that today had very high volitility and uncertainty. So I was not able to clearly determine the sentiment of the day, but now I see that it was a bearish day.

 

It seems that to trade in a high volitility day you have to have a higher risk tolerance. One thing that other traders have been advising me is that I make too many trades and short duration trades, and one reason that is is because I have low risk tolerance.

 

Abe

 

Just a couple of things for you to mull over,

 

Firstly you're still watching CNBC - and despite what you might think, it WILL put a bias into your head.

 

Secondly, there's nothing wrong with taking short duration trades, so don't let anybody talk you out of it, because yes, scalping does allow a lower risk tolerance. But this is the hard part, you have to have a prestine set-up where you're only going to take the higher probability trades, and this will ( should ) eliminate overtrading as well.

 

 

Hope this helps

 

Blu-Ray

Share this post


Link to post
Share on other sites

Today's action was choppy, but the movement of the day was a

normal consolidation after yesterday's drop. In the morning,

the market rallied to test yesterday's POC, then at noon it went down to test yesterday's low, then the rally failed in the late afternoon, then it sold off hard.

There were numerous setups today.

What really gets me is that I normally look at intraday charts all day, don't

normally look at the daily chart until the market closes. I noticed that the

last 2 days had really huge volumes in the cash indices:(SPY, DIA, IWM...etc)

I wonder if anyone else has noticed this and what this might mean ?

I think in VSA terms, this market has a very negative bias. Wide range bars closed near the lower extremes, heavy volume, and one key support failing after another ? Any comments ?

Share this post


Link to post
Share on other sites
Today's action was choppy, but the movement of the day was a

normal consolidation after yesterday's drop. In the morning,

the market rallied to test yesterday's POC, then at noon it went down to test yesterday's low, then the rally failed in the late afternoon, then it sold off hard.

There were numerous setups today.

What really gets me is that I normally look at intraday charts all day, don't

normally look at the daily chart until the market closes. I noticed that the

last 2 days had really huge volumes in the cash indices:(SPY, DIA, IWM...etc)

I wonder if anyone else has noticed this and what this might mean ?

I think in VSA terms, this market has a very negative bias. Wide range bars closed near the lower extremes, heavy volume, and one key support failing after another ? Any comments ?

 

Support is in danger of getting wiped out one after another, especially for daily S/R. I usually go to weekly but best of all monthly S/R to find strength, stronger than daily or weekly S/R to find real areas of support, especially in this very bearish market.

Share this post


Link to post
Share on other sites
Abe

 

Just a couple of things for you to mull over,

 

Firstly you're still watching CNBC - and despite what you might think, it WILL put a bias into your head.

 

Secondly, there's nothing wrong with taking short duration trades, so don't let anybody talk you out of it, because yes, scalping does allow a lower risk tolerance. But this is the hard part, you have to have a prestine set-up where you're only going to take the higher probability trades, and this will ( should ) eliminate overtrading as well.

 

 

Hope this helps

 

Blu-Ray

 

Thanks Blu-Ray. It's nice to know that short duration trades can be made to work. As for CNBC, I guess it can make one biased or distracted. But I do find it useful.

Share this post


Link to post
Share on other sites
Today's action was choppy, but the movement of the day was a

normal consolidation after yesterday's drop. In the morning,

the market rallied to test yesterday's POC, then at noon it went down to test yesterday's low, then the rally failed in the late afternoon, then it sold off hard.

There were numerous setups today.

What really gets me is that I normally look at intraday charts all day, don't

normally look at the daily chart until the market closes. I noticed that the

last 2 days had really huge volumes in the cash indices:(SPY, DIA, IWM...etc)

I wonder if anyone else has noticed this and what this might mean ?

I think in VSA terms, this market has a very negative bias. Wide range bars closed near the lower extremes, heavy volume, and one key support failing after another ? Any comments ?

 

Looking at the 6 month chart I can see that the market is testing the major lows of the chart. It will be interesting to see what happens next week.

Share this post


Link to post
Share on other sites
Support is in danger of getting wiped out one after another, especially for daily S/R. I usually go to weekly but best of all monthly S/R to find strength, stronger than daily or weekly S/R to find real areas of support, especially in this very bearish market.

 

Thanks for the info Torero.

Share this post


Link to post
Share on other sites

We closed at the .382 for the YM, the ES is within .50 and .618 for a retracement. I was just waiting for the YM to hit .382 and look for a possible bounce Monday.

 

Abe, I would strongly suggest to turn off the TV. I can't tell you how much that helped me, I got to see the market the way I saw it without anyone else bothering me. It's okay to have the TV on I guess, just turn down the volume.

 

You have market internals to tell you what the market is doing, I would suggest you take the weekend to learn how to read those internals and apply them to your trading. It's okay you didn't take any trades today because you didn't see any setups, that's following your plan and practicing sound capital management. But don't prevent yourself from trading out of emotion, that will just lead to emotion while trading and you'll wipe out your account.

 

I have noticed some progress, just realize all traders go through what you are and at least you have the balls to tell the world. I respect you for that.

Share this post


Link to post
Share on other sites
We closed at the .382 for the YM, the ES is within .50 and .618 for a retracement. I was just waiting for the YM to hit .382 and look for a possible bounce Monday.

 

Abe, I would strongly suggest to turn off the TV. I can't tell you how much that helped me, I got to see the market the way I saw it without anyone else bothering me. It's okay to have the TV on I guess, just turn down the volume.

 

You have market internals to tell you what the market is doing, I would suggest you take the weekend to learn how to read those internals and apply them to your trading. It's okay you didn't take any trades today because you didn't see any setups, that's following your plan and practicing sound capital management. But don't prevent yourself from trading out of emotion, that will just lead to emotion while trading and you'll wipe out your account.

 

I have noticed some progress, just realize all traders go through what you are and at least you have the balls to tell the world. I respect you for that.

 

Thanks James.

Share this post


Link to post
Share on other sites

Abe - please turn that TV off. CNBC is of no use to you now or in the future. Their sole job is to keep you watching so you watch commercials. That's it. And to do that, they have to sometimes hype stuff of that simply is not there. And like others have said, it can easily put a bearish/bullish undertone into your trading whether you realize it or not - Example: On CNBC they were also saying that today had very high volitility and uncertainty. So I was not able to clearly determine the sentiment of the day, but now I see that it was a bearish day.

 

So CNBC said there was uncertainty, but you later saw a bearish day. Obviously CNBC didn't have a freakin clue and as a result it looks like you just watched some nice action unfold b/c CNBC told you so....

Share this post


Link to post
Share on other sites

The only reason to have a TV is if the YM falls 500 points in five minutes you can check to see if the world is coming to an end. Otherwise keep it turned off.

 

Oh, you can also watch movies during lunch, but make sure you have alarms set to signal trading opportunities.

Share this post


Link to post
Share on other sites

Oops ! I am guilty.

The last time I turned on the TV was when the Dow had a sudden drop of

only 200 points. It turned out a small plane had flew into a highrise in Manhatten:eek:

Share this post


Link to post
Share on other sites

To me, even a plane flying to a building is not enough reason to turn the TV on. Why? B/c there's going to be some major trading going on that I need to be a part of. I realize that may seem too opportunistic, but let's be honest here - the market does not care how or when it takes/gives you money. It does not care if you just had a bad day or a plane flew into NY city.

 

Just my take for why the boob tube is just not useful during the day in my opinion.

Share this post


Link to post
Share on other sites

Yeah, I went through that period of ears hanging on every word of the reporters and anchor people (hint: non-traders) telling us their opinions. I learned that what they say and what the market actually don't correlate. If they do, it's already happened.

Share this post


Link to post
Share on other sites

I watch Formula One racing during the day if it's on, or LeMans :)

 

I wish there was a dedicated channel to that stuff, I don't really like Speed since all they show is Nascar. Sorry for going off topic.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.


  • Topics

  • Posts

    • How's about other crypto exchanges? Are all they banned in your country or only Binance?
    • Be careful who you blame.   I can tell you one thing for sure.   Effective traders don’t blame others when things start to go wrong.   You can hang onto your tendency to play the victim, or the martyr… but if you want to achieve in trading, you have to be prepared to take responsibility.   People assign reasons to outcomes, whether based on internal or external factors.   When traders face losses, it's common for them to blame bad luck, poor advice, or other external factors, rather than reflecting on their own personal attributes like arrogance, fear, or greed.   This is a challenging lesson to grasp in your trading journey, but one that holds immense value.   This is called attribution theory. Taking responsibility for your actions is the key to improving your trading skills. Pause and ask yourself - What role did I play in my financial decisions?   After all, you were the one who listened to that source, and decided to act on that trade based on the rumour. Attributing results solely to external circumstances is what is known as having an ‘external locus of control’.   It's a concept coined by psychologist Julian Rotter in 1954. A trader with an external locus of control might say, "I made a profit because the markets are currently favourable."   Instead, strive to develop an "internal locus of control" and take ownership of your actions.   Assume that all trading results are within your realm of responsibility and actively seek ways to improve your own behaviour.   This is the fastest route to enhancing your trading abilities. A trader with an internal locus of control might proudly state, "My equity curve is rising because I am a disciplined trader who faithfully follows my trading plan." Author: Louise Bedford Source: https://www.tradinggame.com.au/
    • SELF IMPROVEMENT.   The whole self-help industry began when Dale Carnegie published How to Win Friends and Influence People in 1936. Then came other classics like Think And Grow Rich by Napoleon Hill, Awaken the Giant Within by Tony Robbins toward the end of the century.   Today, teaching people how to improve themselves is a business. A pure ruthless business where some people sell utter bullshit.   There are broke Instagrammers and YouTubers with literally no solid background teaching men how to be attractive to women, how to begin a start-up, how to become successful — most of these guys speaking nothing more than hollow motivational words and cliche stuff. They waste your time. Some of these people who present themselves as hugely successful also give talks and write books.   There are so many books on financial advice, self-improvement, love, etc and some people actually try to read them. They are a waste of time, mostly.   When you start reading a dozen books on finance you realize that they all say the same stuff.   You are not going to live forever in the learning phase. Don't procrastinate by reading bull-shit or the same good knowledge in 10 books. What we ought to do is choose wisely.   Yes. A good book can change your life, given you do what it asks you to do.   All the books I have named up to now are worthy of reading. Tim Ferriss, Simon Sinek, Robert Greene — these guys are worthy of reading. These guys teach what others don't. Their books are unique and actually, come from relevant and successful people.   When Richard Branson writes a book about entrepreneurship, go read it. Every line in that book is said by one of the greatest entrepreneurs of our time.   When a Chinese millionaire( he claims to be) Youtuber who releases a video titled “Why reading books keeps you broke” and a year later another one “My recommendation of books for grand success” you should be wise to tell him to jump from Victoria Falls.   These self-improvement gurus sell you delusions.   They say they have those little tricks that only they know that if you use, everything in your life will be perfect. Those little tricks. We are just “making of a to-do-list before sleeping” away from becoming the next Bill Gates.   There are no little tricks.   There is no success-mantra.   Self-improvement is a trap for 99% of the people. You can't do that unless you are very, very strong.   If you are looking for easy ways, you will only keep wasting your time forgetting that your time on this planet is limited, as alive humans that is.   Also, I feel that people who claim to read like a book a day or promote it are idiots. You retain nothing. When you do read a good book, you read slow, sometimes a whole paragraph, again and again, dwelling on it, trying to internalize its knowledge. You try to understand. You think. It takes time.   It's better to read a good book 10 times than 1000 stupid ones.   So be choosy. Read from the guys who actually know something, not some wannabe ‘influencers’.   Edit: Think And Grow Rich was written as a result of a project assigned to Napoleon Hill by Andrew Carnegie(the 2nd richest man in recent history). He was asked to study the most successful people on the planet and document which characteristics made them great. He did extensive work in studying hundreds of the most successful people of that time. The result was that little book.   Nowadays some people just study Instagram algorithms and think of themselves as a Dale Carnegie or Anthony Robbins. By Nupur Nishant, Quora Profits from free accurate cryptos signals: https://www.predictmag.com/    
    • there is no avoiding loses to be honest, its just how the market is. you win some and hopefully more, but u do lose some. 
    • $CSCO Cisco Systems stock, nice top of range breakout, from Stocks to Watch at https://stockconsultant.com/?CSCOSEPN Septerna stock watch for a bottom breakout, good upside price gap
×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.