Posted 7:50 a.m. The Emini opened with big bars and many reversals, creating a big tight trading range. Risk was big and probability was low, and traders were entering with limit orders, betting breakouts would fail. They were selling above bars and buying below, and scalping. The Emini was oscillating below the moving average and […]
Emini market update: August 7, 2015
Emini market update: August 6, 2015
Learn how to trade futures in a trading range
I will post around 7:24 a.m. The Emini began with a trend from the open bear trend. The bulls hope that the selloff will lead to an early low of the day. There is a 2 day wedge bull flag, a parabolic wedge, and an expanding triangle. However, after 7 bars without a pullback, the […]
Emini market update: August 5, 2015
Learn how to trade a big gap
Posted 7:08 a.m. The bulls had a trend from the open bull trend, but there were tails and bad follow-through, which reduce the chances of a big early rally. Although the Emini is Always In Long, this rally so far is weak, and that increases the chances that the Emini will be sideways for an […]
Emini market update: August 4, 2015
Options trading for a bearish candlestick pattern
Posted 7:49 a.m. The Emini had a reversal up and a reversal down in the 1st 5 bars, creating a breakout mode candlestick pattern just below the 60 minute moving average, which was resistance yesterday. Day traders are looking for a breakout up or down, and then a measured move. Although the Emini broke above […]
Emini market update: August 3, 2015
Learn how to trade the market in breakout mode
Posted 7:37 a.m. The bulls got a lower low major trend reversal on the open after a brief sell climax. The reversal up was not strong, and the bears created a double top bear flag and a triangle at the moving average. The day started in breakout mode, and both sides needed a breakout with […]
Ask Al: Backtesting
BPA trading room Q&A: March 17, 2015 An article said backtesting is the first step to becoming a profitable trader. Do you agree with this and how do you advise a beginning trader to start? Audio duration: 6min 9sec Audio transcript Backtesting is more complex than traders think Every now and then, somebody brings […]
Emini weekend update: August 1, 2015:
Price action trading strategy before a breakout
Monthly S&P500 Emini futures candlestick chart: Overbought and in breakout mode The monthly S&P500 Emini futures candlestick chart remains in its 7 month trading range and in breakout mode. The monthly S&P500 Emini futures candlestick chart next week will be in its 38th consecutive month without touching the moving average. The S&P cash index has […]
Emini market update: July 31, 2015
Day trading price action near the high
Posted 7:01 a.m. The selloff on the open was strong enough to make a bull trend day unlikely. Because today is the last day of the month and there are targets above, there is a higher probability of a late rally than on other days. The bulls are hoping that the early selling will be […]
Emini market update: July 30, 2015
Daytrading when the price action pattern is neutral
Posted 7:10 a.m. The Emini sold of sharply on the open and became Always In Short. The bulls want the selloff to lead to the low of the day. They hope for an opening reversal up from the micro double bottom at the 60 minute moving average and just above yesterday’s low. The selling was […]
Emini market update: July 29, 2015
Price action patterns after a report
Posted 7:13 a.m. Yesterday ended with a tight trading range, and today opened with sideways bars, prominent tails, and reversals. This increases the chances of trading range price action today before the 11 a.m. report. It is still Always In Long, but in breakout mode. The Emini reversed down from a 50% pullback of the […]
