A look at the 3min ES – Part 3

All professional traders should also keep an eye on “related” markets. At the same time as the ES was making its low, the 3min YM was also making a very good looking Wave 5 low. Notice the clear clean 5-wave pattern as well as high volume (VSA) bars helping confirm the reversal at the Typical Wave 5 WPT. This nailed the low for you perfectly...............

Again, this show how powerful MTPredictor is, but only when you have taken the time and made the effort you study and learn........

Steve

A look at the 3min ES – Part 2

As the larger degree trend was down, it was still a good idea to keep looking for sells. Then (for users of the full MTPredictor v6.0 program), a Wave 5 high unfolded just before lunch. Wave 5 should be considered more of an Advanced technique, but do you all see how this “fitted in” with looking for sells yesterday.

Yes, “traditional” EW analysis says that 5 wave is “impulsive”, so the trend is up, BUT (from my own experience) I have found that many times (as in this example) it can be a correction. Yes, in this example the ES decline off this Wave 5 high to just below the start of the 5-wave sequence, into the DP where a low unfolded. This is why I treat waves “in isolation” just for low risk trade opportunities. I believe trading is about making money and not for discussing what is or is not technically correct. I leave that for the armchair Elliott Wave so called experts who are more interested in theory rather than actually making money.

So the end result – a nice +4.9R Profit (ignoring slippage and commission).

Steve

A look at the 3min ES – Part 1

Hi Everybody,

Today I would like to have a look at the 3min ES throughout the whole day to show you how a professional trader looks at a market during the day.

As always, let’s start with the larger degree trend, and in the 15min Charts (not shown, you can look at these for yourself) the high of the day was at DP resistance, so this set the trend to be down off that DP. So shorts were the order of the day. This 15min DP can also been seen on the 3min Chart, as you can see, this nailed the high of the day for you !!

Then, about mid morning, a TS3 sell unfolded. However, the market did not decline as anticipated and this would have results in a -1R loss. Yes losses can and do unfold, this is just part of trading. Anybody who tells you that losses do not unfold is lying ! The trick is keeping them small at just -1R.

Then.............. onto the next post

Steve