Rhody Trader

If you're new here, you may want to subscribe to my RSS feed. Thanks for visiting!

Today was a fairly fun day.

Of course that’s always going to be the case where you can take a chunk out of the market. A lot of times day traders don’t catch the trend day type of moves like we got today, but I did just that today. The fact that I was short-term bullish on the basis of the market having basically done a gap fill and then creating higher value yesterday certainly helped.

The key levels for the day heading in were yesterday’s point of control at 1379, and Tuesday’s at 1375 on the downside and 1392, Friday’s point of control to the upside. The opening price in the low 1380s was a bit above yesterday’s point of control.

I actually got burned early on. When the market dipped down to the area of yesterday’s point of control and I started see some lack of follow-through I got long. Unfortunately, that was right before the 10:00 Housing data, which knocked me out on a four point stop.

I was able to get back in later when the market stalled out after making a new low below yesterdays. That, of course, was a great long entry point and I rode it all the way up to the area of Friday’s 1392 point of control. When the market started stalling out in that area I took my nearly 20 points and walked away. I could have gotten more perhaps, but not too much.

So basically I took a 1R loss early, then had about a 5R gain on the second trade. That’s a pretty good day by any standard.

Trackback URI | Comments RSS