Want to see me commit one of my 7 Deadly Sins in real time? Yup – took profits after just 2 points – when there was another 4 points in the move. Ouch.
Well, not really. My motto "Get out, don't get greedy" works both ways. I don't feel extreme pain (losses) but I don't feel extreme euphoria (profits) either. Would have been nice to get a re-entry signal but the move just accelerated to the down side.
If you're reading this article via email or RSS reader, then follow this link to view the Emini Day Trading video on the website.
HIGH DEF VIDEO – MAY TAKE 15 SECONDS TO LOAD
Emini Day Trading: Short Setup – 24 Mar 2010 (9:45)
Here's a 500 tick chart of the trade with annotated setup sequence below.
Emini Day Trading: Short Setup Sequence
- Exhaustion buying signal on Better Momentum (large cyan dot)
- New High made by Amateurs (yellow paint bar) and therefore suspect
- Re-testing of Highs and Professionals taking profits (blue paint bar)
- Bearish divergence showing less Buying pressure (white dot)
- Re-testing of Highs and Professionals getting Short (blue paint bar)
- Push up by Amateurs (yellow paint bar) and break of Low is signal to Short
- Series of Exhaustion selling signals on Better Momentum (large cyan dots)
- Re-test of Lows by Amateurs (yellow paint bars) who get wrong-footed
- "End of Trend" warning signal coinciding with cycle turn on 4,500 tick chart
Been getting some really nice emails from subscribers lately. Seems the videos go over well. I hope you enjoy this one and good luck with your Emini day trading.
