15min NQ – Larger degree trend

Hi Everybody,

OK, as usual, let’s start with the larger degree trend, and take a look at the 15min NQ chart. Here then 15min NQ made a high right at the typical Wave 3 WPT, as found by the “Elliott Waves module”. This set the trend to down for the rest of the day...

OK, onto the shorter 3 and 5 min charts

Thanks, Steve

Amazing +12R Profit on the FTSE !

Hi Everybody,

One for the European Traders among you here................

A beautiful ABC correction into a TS3 buy automatically unfolded on the 3min FTSE this morning. The FTSE then rallied nicely to reach the first projected profit target, where Standard Traders would have looked to bank Profits for a massive +12R Profit ! (Ignoring slippage and commission)..

Yes, massive trades like this can and do unfold............... and I hope that some of the European Traders among you managed to catch this one :-)

Thanks, Steve

Yes, losses can happen

Even though we nail both the high and the low of the day on Friday, which was absolutely amazing ! And had already banked a nice +7R Profit (on the Russell), it does not mean that losses still do not unfold.

It is important to understand that losses can and do unfold, even when you have a clear larger degree picture. BUT (and this is the important part) the losses are kept small., A -1R loss on the 3min NQ (see chart) is still very small when compared to the +7R Profit on the Russell.

I am still amazed at how many Amateur Traders simply do not understand that it is not the “number” of Profits or losses, that is important it is their related “size” that is important. Big Profits and small losses, that is the secret to long term success in this industry.....

Thanks, Steve

DP support nails the low of the day !

Here is the position of the 3min YM, which shows how the VSA (high volume) bar ws unfolding at DP support. This is why it was a good idea to look to protect a nice +7R Profit on the 3nin TF short.

This is why it is always a good idea to keep an eye on all the 4 US e-minis, even if you are not in a trade.

Thanks

Steve

DP sell nails the high of the day !

Hi Everybody,

Today I would like to start with the 3min Russell Index on Friday.

As you can see, we got an automatic DP sell that nailed the high of the day for you ! I will let you all take a look at the 15mion Charts yourself, but needless to say, this was also at 15min DP resistance, so was a good trade to take. The Russell decline nicely, so the only question was when to get out.

This is why I always keep an eye on other related markets. As the high vole (VSA) bar came in, the YM (in particular) was at DP support. This was an indication that a low was unfolding. So it was sensible to look to lock in a nice +7R Profit (ignoring slippage and commission) at that stage......

Thanks

Steve

Don’t forget the 5min Charts............

I said it a number of time before, but yesterday was a brilliant example of this – dint forget the 5min charts ! As there are very often brilliant trades in this time frames that do not appear on the 3min Charts.

As you can see, on this 5min TF Chart yesterday, there was a perfect TS3 sell, that got you short just before the sharp fall later in the day. As we have also see, this “was in the direction of” the larger degree down trend as well. So all in all, a perfect setup :-)

Standard Traders would have swapped to the ATRStop for trade management as the STF strength band was exceeded. This held the short trade into the close for a massive +12.8R Profit (ignoring slippage and commission) !

Massive trades like this do unfold, you just have to be ready to take them.... Especially when they were are perfect as this one !!

Thanks, Steve

As usual – Larger degree trend first

Hi Everybody,

Today I want to look at the Russell Index (TF), as usual, let’s start with the 15min Chart.

As you can see, the Russell made a high, right at DP resistance (this actually the very high of the day for you !). The Russell then declined to reach the opposing DP late in the afternoon.

As such, the 15min trend was down for all of the day..............

Thanks, Steve