A difficult day part 3

There were some nice trades on the long side in other markets, like the YM and NQ, particularly later in the day, which would have been OK, as the 15min trend had turned up again by then.

But I agree, yesterday was a tricky day.

As we all know, this is down to the Cyclical Nature of Trading, where the good times are followed by harder times when a few losses occur as well as quiet times, before the good times come round again. This is just how trading unfolds in the real world.

Thanks, Steve

A difficult day part 2

So the question is whether the TS3 sell on the 3min ES chart was “in the direct of” the 15min Trend ?

If you look at the chart to the right you can see how the 15min ES had hit DP resistance and was starting to decline. So yes, the 15min trend “at that time” had turned down, so looking for sells on the 3min chart was correct.

What most amateurs do not understand is that sometimes, no matter what our analysis says, the markets does what it wants, that is why we have stops in the market. In this case the stops did their job by keeping the loss small at just -1R

Thanks, Steve

A difficult day

Hi Everybody,

Unlike most Gurus and vendors in the business, I do talk about losses and the hard days, and yesterday was a hard day on the US e-minis. They do happen, all professional traders will tell you this, it is just that most vendors conveniently forget about these hard days!

Anyway, the trade I wanted to look at was the losing TS3 on the 3min ES in the morning yesterday.

Yes this was a -1R loss, but that loss was kept small at just -1R, but the question was whether this was a valid trade. For this, let’s take a look at the 15min Chart

Thanks, Steve