Mar 13 2008
Today’s Trading Look-Back – March 13, 2008
I entered today short from yesterday afternoon, so my first focus was managing that position. Today was also the contract rollover day for the S&P 500 futures, so I took the opportunity to switch things up in two ways. First, I’m now using the mini (ES) contract. Because of that, my second adjustment was to change my TPO periods to 1 hour since the ES trades 24 hours. That makes for fat daily distributions, especially on balancing days.
Today’s reference levels were actually pretty easy to spot. There was 1326 from Wednesday’s point of control, 1299 from a minor value area peak on Tuesday, and Monday’s point of control at 1283.
A picture tells a thousand words.
As you can see, prices started today’s session (meaning the NYSE one) in the 1295 area and proceeded down from there to nearly right on the 1282 reference point. Things turned around dramatically during S period and the market roared up to about 1310 during T period. Notice that U then backtracked a bit to 1299, providing a nice buying opportunity if one wasn’t already long. After that it was onwards to the upper reference point, a great sell entry as the market almost immediately backed off from there.
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