[thalestrader]

Originally Posted by forrestang »

Even though it was obviously a good entry, I've stared at it many times, and your 6B entry has me somewhat vexed. Dont feel the need to explain it if it isn't obvious, as it's hard to explain this type of BO type trading in the first place.

Stop is now 1.6523

I have attached a chart showing the price action relevant to my decision to short highlighted by the blue ellipse. Had price dropped more impulsively toward my targets, then you would likely not find yourself nearly so "vexed" as to the basis of the trade. However, since price has done more of a slow drift sideways to down rather than a dharp decline, the basis of the trade tends to become somewhat obscured.

I also attached a screenshot that backs out the price action subsequent to the entry, and in so doing, I have highlighted a similar opportunity from the prior day.

Best Wishes,

Thales

[thalestrader]

Originally Posted by thalestrader »

short 6B from 1.6547 Profit targets are at +62 ticks (1.6485) and +125 ticks (1.6422). Price is right now bouncing and testing the breakdown point, i.e. price has rallied back to the 1.6547 entry point).

Well it took all day to get there, but closed 50% at 1.6485 for +62 ticks. Stop loss on remaining 50% is 1.6523, which would be +24 ticks if stopped there. Still holding for 1.6422, or +122 ticks on remaining contracts.




And I'm still getting smoked on my short ES.

Best Wishes,

Thales

[Gabe2004]

Originally Posted by thalestrader »

Well it took all day to get there, but closed 50% at 1.6485 for +62 ticks. Stop loss on remaining 50% is 1.6523, which would be +24 ticks if stopped there. Still holding for 1.6422, or +122 ticks on remaining contracts.

Attachment 13307


And I'm still getting smoked on my short ES.

Best Wishes,

Thales

Hello Thales

What is you stop on the ES and could you go through the same reasoning for the ES as you did for the 6B?

Thanks

Gabe

[thalestrader]

Originally Posted by Gabe2004 »

Hello Thales

What is you stop on the ES and could you go through the same reasoning for the ES as you did for the 6B?

Thanks

Gabe

First off, this ES trade is nothing I would recommend to anyone. As I explained last night, 1018 basis the cash S&P was anticipated resistance. I suspected that the rally in the futures would not stick at the open. Rather than do as I would normally do, i.e. rather than wait for the open and let price prove me right or wrong, and then place my bet, I decided I was smarter than that and opened a position last evening.

When I entered the position, my daughter heard the audible alert that I use on my trading platform to signal that a new short position has been opened. So, being curious, and knowing a thing or two now about trading, she asked what I just did. I told her, and showed her the chart. She cocked her head at me, and with more than a trace of sarcasm in both her smile and her voice, asked, "Are you sure you want to do that?" I said that already did it. She said, "It looks like it is going up. Maybe you should undo it."

What can I say? I chalk it up to having been out of the markets for most of August, and the loss, should it come to that (an increasingly likely outcome) I will consider tuition in my "continuing education" program. None of which will make me feel any better, by the way. I really do not mind the loss. But I really am disappointed in my lack of discipline in entering this trade.

My stop loss is 1028 basis the futures. I'm sure you can figure out why that would be so if you look an ES chart (in an earleier post I have a horizontal line at that level more or less).

Best Wishes,

Thales

[forrestang]

Originally Posted by thalestrader »

......So, being curious, and knowing a thing or two now about trading, she asked what I just did. I told her, and showed her the chart. She cocked her head at me, and with more than a trace of sarcasm in both her smile and her voice, asked, "Are you sure you want to do that?" I said that already did it. She said, "It looks like it is going up. Maybe you should undo it."

.........................

[thalestrader]

Originally Posted by thalestrader »

Well it took all day to get there, but closed 50% at 1.6485 for +62 ticks. Stop loss on remaining 50% is 1.6523, which would be +24 ticks if stopped there. Still holding for 1.6422, or +122 ticks on remaining contracts.

Out at +24 on remaining 50%

EDIT: 6B actually looks like a good long here - buy @ 16523, profit target 1.6584, stop loss 1.6496, so risk -27 and profit target +62; I'm not trading it, but I would if this were anytime after the Frankfurt open.

[thalestrader]

Originally Posted by thalestrader »

Out at +24 on remaining 50%

EDIT: 6B actually looks like a good long here - buy @ 16523, profit target 1.6584, stop loss 1.6496, so risk -27 and profit target +62; I'm not trading it, but I would if this were anytime after the Frankfurt open.

Looks even better right now. If you are trading S/R, it will be fairly common that your properly selected stop loss is a good "stop and reverse" point as well. Not always, of course, but it is not unusual, by any means.

Again, I did not take this trade, and it is merely an interesting "paper trade" for me.

Best Wishes,

Thales

[forrestang]

Missed the breakout, will wait for the pb as if I hit it in the first place. We'll see what happens. Don't know if I'll get a fill?

I think there are nice setups in a few of the other pairs as well.

-----EDIT------
If this thing doesn't trigger before lights out, and if it continues on to make a HH, I will call this puppy off. That's when I would be adjusting my stop anyway.

----ON ANOTHER NOTE----------
This was beautiful, wow!!!!

------EDIT---------
GAME ON!!!!!