Again the open of the DAX was very important. Markets that open out of balance, due to overnight activity elsewhere, provide great opportunity.
Before the open, I drew in my Fib area and was ready to sell it the first time it come into it. It did that on the open and I sold the hesitation as the candle turned red. I covered as it hovered just above the 33EMA and then went long as it failed to touch it.
I exited the trade as the price went overbought. Again, it hovered. This time above the red Fib line and I went long again as it started to move upwards, taking out the previous high. The ES had been very strong and relentless during the Asian session.
As I have written before, the increased volatility is part of the so-called "new normal" as we go through this transition. How long the transition will take, I don't know, but the volatility will eventually abate somewhat. In the mean time, we should enjoy what we have. Trading the more volatile markets can be more rewarding than the less volatile ones, if you are a day trader. It's like wrestling, using your opponents weight against him.
The November 5 Workshop has just one place left, so if anyone is still thinking about it you'll need to pull the trigger to take the trade. We'll be concentrating on one Inside Out trade and one Outside In trade. I've asked each attendee how much money they want to make in the beginning as proof of their CP. I will then help each trader to create their own TP, tailored to their own needs and requirements using one or more of the menu of tools that I will provide, so that they have a short road map to their goal. Using the technology will compensate for a host of psychological issues that people have.
This is not a sales pitch as we're almost full, but this workshop will be very unique. My aim is to have everyone to CP very quickly and have created a curriculum with exactly that in mind. Just over a week to go before we start. I can hardly wait.
Today's DAX trades are the ones we will be looking at under the microscope in the workshop. The trend was up all morning but it still gave an opportunity to take a few very high win rate outside in trades. Newer traders favour Outside In trades as there is that instant gratification and looking back over a chart they look easy. I've made it simple by creating a set of rules that I have back tested. It becomes easy after you have done the back testing yourself and "believe" and have trained that muscle memory.
What other markets will we be looking at during the workshop?
ReplyDeleteBalance, We'll look at any and all that the attendees want to. The methodology I use works on all markets. Its not until you get down to the tuning that there is any configuration.
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