Friday, May 22, 2009

Blue morning

This morning is a great example of how important it is to distinguish trading from forecasting.


What is appearing pre-market are blue BUY bars. These must be respected, especially if they remain blue after the opening bell.

But note the two levels at which the trend reverts back to SHORT:

SPY = 89.10

QQQQ = 33.56


The Triangles from Market Club offer no help here, Daily Sell, Weekly and Monthly Buys:


A lot of scenarios to play out making with patience and discipline a trader's two most important tools.


A

4 comments:

Allan said...

Both indexes flipped back to SHORT in the first 30 minutes of trading.

Anonymous said...

6 blue bars for SPY and 3 blue bars for QQQQ, then all turn red again, everything is changing too fast. You are right, if we cannot distinguish trading from forecasting, we can easily get heart attack

iv said...

hi Allan,

interesting story on the right side about ur trading life.....

So whats this passion about NNVC?

i am new to ur blog as u can tell.

Thanks

Ariel said...

Allan, I appreciate your work. Including your NDX 4th wave idea which I favor.
Today the dollar hit a symmetry target I'd been projecting. If I am right, the dollar is moving up from here and equities are moving down, finally!
Maybe I am not right but I feel this fairly strongly, so wanted to share the info. (yes, I posted about this at my UBT blogspot)
Also if I am right, gold and euro should head down from here too.