{"id":63256,"date":"2017-01-15T04:58:37","date_gmt":"2017-01-15T12:58:37","guid":{"rendered":"https:\/\/brookstradingcourse.com\/?p=63256"},"modified":"2018-03-25T07:15:33","modified_gmt":"2018-03-25T14:15:33","slug":"buy-the-close-trading-decision","status":"publish","type":"post","link":"https:\/\/www.brookstradingcourse.com\/es\/ask-al\/buy-the-close-trading-decision\/","title":{"rendered":"Ask Al: Buy the Close bull trend or reversal?"},"content":{"rendered":"<h2>Buy the Close decision in first 30 minutes<\/h2>\n<p> BPA trading room Q&amp;A: July 6, 2016<\/h2>\n<p class=\"content-box-green\">Question: Lots of early reversals made me skeptical of the bull trend until about B31 close. I shorted with limit orders many times before that, but the swing down never came. Could you comment on trusting the Buy The Close move versus doubting it?<br \/>\n <em>Video duration: 3min 03sec<\/em><\/p>\n<div style='position:relative;height:0;padding-bottom:56.25%'><iframe class='sproutvideo-player' src='\/\/videos.sproutvideo.com\/embed\/a49adfbb1318e5c12c\/fac6472fc6bf06a0?playerTheme=dark&amp;playerColor=' style='position:absolute;width:100%;height:100%;left:0;top:0' frameborder='0' allowfullscreen><\/iframe><\/div>\n<p><\/p>\n<p class=\"caption\">You can also view this video on <a href=\"https:\/\/youtu.be\/yW5YnXgl-bg\" target=\"_blank\" rel=\"noopener\">Al&#8217;s YouTube Channel<\/a> if needed.<\/p>\n<h3>Buy The Close price action<\/h3>\n<p><a href=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2017\/01\/ES-Chart-Ask-Al-92-Buy-The-Close-Trading-Decision.jpg\" target=\"_blank\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2017\/01\/ES-Chart-Ask-Al-92-Buy-The-Close-Trading-Decision-300x210.jpg\" alt=\"ES Chart - Ask Al 92 Buy The Close Trading Decision\" width=\"300\" height=\"210\" class=\"alignleft size-medium wp-image-63276\" title=\"\" srcset=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2017\/01\/ES-Chart-Ask-Al-92-Buy-The-Close-Trading-Decision-300x210.jpg 300w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2017\/01\/ES-Chart-Ask-Al-92-Buy-The-Close-Trading-Decision-768x538.jpg 768w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2017\/01\/ES-Chart-Ask-Al-92-Buy-The-Close-Trading-Decision-600x420.jpg 600w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2017\/01\/ES-Chart-Ask-Al-92-Buy-The-Close-Trading-Decision.jpg 840w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a>I don\u2019t know if you were in the room at the time but I commented that \u2013 what I said a few minutes ago, about look at the lows of bars 19 and 20 and 21. Okay? As soon as the bar opened, traders bought. They were not buying with limit orders; they were just saying \u201cbuy the market, buy the market, buy the market.\u201d Right?<\/p>\n<p>When that happens, to me that\u2019s a sign of really aggressive bulls who are <a href=\"http:\/\/traderfeed.blogspot.hk\/2008\/06\/fear-of-missing-is-fear-of-dissing.html\" target=\"_blank\" rel=\"noopener\">afraid of missing the trade<\/a>. They don\u2019t want to take a chance of not being filled. When 18 closes, a lot of bulls will place a limit order at the 18 close, and they did not get filled. At that point, something\u2019s very strong here. Too many traders are buying the market instead of buying with limit orders.<\/p>\n<h3>Who is making money? <\/h3>\n<p>You always hear me talking about: \u201cAre stop entry bears making money, are limit entry bears making money? Are stop order bulls, are limit order bulls making money?\u201d In a situation like this, where the only way to make money is buying the market \u2013 right? \u2013 that to me is a market that is going to go higher. Probably some kind of a measured move up.<\/p>\n<p>I understand you see all the reversals, and then yesterday you see all the reversals, and it\u2019s natural to assume that the market will continue to reverse. But at this point, somewhere in here, you have to be thinking that, Okay, we have an expanding triangle bottom and a pretty strong reversal up, and then last week was a very strong trend. And then you see bars not trading below the close of the prior bar, so there\u2019s a lot of urgency on the bulls. So we\u2019re probably going to go up for some kind of a measured move.<\/p>\n<h3>Breakout follow-through<\/h3>\n<p>Whenever I see something like this, breakout follow-through and more follow-through, yes, they\u2019re selling new highs, they\u2019re buying new lows, and we\u2019re at resistance, high of the day, 60-minute moving average. I\u2019m just not going to short. I\u2019m either buying closes or I\u2019m waiting to buy a pullback.<\/p>\n<p>I understand when you see all the reversals, it\u2019s natural to think \u201cOkay, it\u2019s in reversal mode, and therefore I\u2019m going to sell and scale in higher.\u201d On B31, that\u2019s not where I would conclude that the bulls had won and that it had converted to Always In Long. I said down here [B18-20] that I thought we were <a href=\"https:\/\/www.brookstradingcourse.com\/how-to-trade-manual\/always-long-always-short\/\" target=\"_blank\">Always In Long<\/a>.<\/p>\n<h3>Consecutive buy climax<\/h3>\n<p>My concern about B31 is that it\u2019s the third push up of the day: consecutive buy climaxes \u2013 one, two, three. And that we could be going sideways. 31 is strong enough so there\u2019s probably at least a little bit more up, but I thought the consecutive buy climaxes was going to result in the market pretty much going sideways.<\/p>\n<p>So yes, you\u2019re concluding that the market is Always In Long at that point, which is true, but it was Always In Long earlier, probably somewhere down here [B18-20]. And if you\u2019re buying a consecutive buy climax at resistance, I think you need a wide stop and you have to be patient.<\/p>\n<p><em>Al Brooks<\/em><\/p>\n<p><a title=\"Al Brooks&#039; trading room\" href=\"https:\/\/www.brookstradingcourse.com\/online-day-trading-room\/\">Information on Al&#8217;s Online day trading room<\/a><\/p>\n<hr \/>\n","protected":false},"excerpt":{"rendered":"<p>Buy the Close decision in first 30 minutes BPA trading room Q&amp;A: July 6, 2016 Question: Lots of early reversals made me skeptical of the bull trend until about B31 close. I shorted with limit orders many times before that, but the swing down never came. Could you comment on trusting the Buy The Close [&hellip;]<\/p>\n","protected":false},"author":6,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"shadow","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[159],"tags":[],"class_list":{"0":"post-63256","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-ask-al","7":"entry","8":"has-post-thumbnail","9":"override"},"featured_image_src":null,"author_info":{"display_name":"BTC Admin","author_link":"https:\/\/www.brookstradingcourse.com\/es\/author\/richardhk\/"},"_links":{"self":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts\/63256","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/comments?post=63256"}],"version-history":[{"count":0,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts\/63256\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/media?parent=63256"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/categories?post=63256"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/tags?post=63256"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}