Monday, October 15, 2012

Observations: Higher Time Frame

/cl creates a clear descending 3 touch pattern on  5 min candles at 92.20 -- which is high for the morning then begins a nice descent, creating a triple touch TL along the way.  Currently at 91.30 for 90 ticks.

Possibly going down all the way to 91.04 which is where it originally broke out -- we shall see...


Posting these comments real time.


Iran -- negotiating is bearish for oil -- so catalyst exists.  


now 91.12 - almost there.

blam!  all the way through to 90.80 on massive volume -- stop hunt.  


One could have entered the short late at 9:02 -- entire day is OVER in 18 minutes (for 100 ticks).

90.50 -- still getting crushed....  should bounce soon.



bot JNS -- it was weak, thought insider buying would save it, stopped out.

bot AMRN -- strong on heavy call buying -- profitable immediately despite weak market.  Strength pays once again. 


/tf  bounce -- of 30 ticks after the 3rd green 5 xover 34 -- needed to break 5 min. then double bottom -- a classic pattern I see often.  Looks like topped out at resistance.

Levels are much easier to see on 5 min charts.    1-min is way too choppy.

/tf -- that bounce went all the way to resistance -- top of the morning levels.   nearly 60 ticks... once again 5 min charts plot the major targets

824.9 -- that was a triple touch --  so would look for top out here.

1:30 pm:  market slows way down as usual.  Once again, best swing are in the morning.

34 ma over 99 ma -- trending up -- rule is -- no shorting.  Which is wise so far even though AAPL is red and it would SEEM like shorting is a good idea. 

shorted /tf on paper on 5/34 x-over -- felt like late entry.   Set a cover 21 ticks lowered - and hit it, market immediately bounced -- was a perfect read.   Market Signals were strong -- knew it couldn't die.  But waited for signals and took no heat on traded.


Strong Market Signals -- realized market couldn't drop -- so it closed at the highs -- /tf touched a TL on 5/15 min chart -- higher timeframes are the targets to look for.

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