Day Trading Method Daily Journal

daily trading journal  

open:  where are your open-price lines - what-where were your trades AND were these prices used?

open:  the update discussed price at 783.10-782.80 which was used at the blue line 782.80 for open trading - other key prices were the overnight high-yesterday high for a buy AND the overnight low for a sell WITH 780.50 posted in the chatroom as a 'stall' area price above 780.20 - a price from yesterday's trading.

green dot:  +782.80/.90 buy - a trade done at price BUT done that 'quickly' because of the spike bar entry - no partial.

red dot:  initial reverse back through 782.80 WITH the entry done as a line reject into/through the diagonal from the overnight low and the spike bar low = -782.40 +781.70/+781.00 - i wasn't able to expand the initial partial.

yellow dot1 - yellow dot2:  the yellow dot buy would be an initial buy at through the overnight low - without mex flow as a setup component AND i held the trailing short for a break2 with mex flow OR a shift-reject - these setups didn't occur.  yellow dot2 would be a break-reject of the yellow line into the double bottom BUT without a retrace with mex flow AND the double bottom would be a horizontal breakout of the lows into 780.50 - i didn't like this setup as an addon.

green dot:  780.50 held and back to the yellow line AND an initial reverse without mex flow - BUT there is additional consideration here:  (1) 780.50 start location (2) higher low into the trade (3) prior breaks of  the line gave a diagonal to trade into/through.  i decided to reverse out of the trailing short.

chart1:  red dot sell is a shift-reject of s1 AND IF you look back left you also see this is a lower high WITH mex flow down through a 775.20 triple break.  the yellow circle is the initial reverse after this sell - is this a trade that 'can be done'?  IF yes - what is the setup - IF no where is the 'next' base setup?

yellow circle:  the point of this specific chart is to compare the red dot short which is the directional trade AND how 'quickly' this was entered after the initial -vs- the buy AND the 'wait' for additional components before the trade was done. 

-775.10 +773.80/+773.80/trail - this partial was able to be expanded as the setup was into/through a 774.80-774.30 low diagonal which broke AND then trailed to yesterday's low - either there was continuation to the trail OR a base partial would have to be done.  i can't do the yellow circle as a fast chart counter trade initial reverse AND also a trade that would be right at/into yesterday's low as resistance - no exit.

blue dot - green dot:  i considered the blue dot buy as a shift-reject of the blue line AND just decided to hold a short - a directional decision.  IF this trade had been done it never would have been exited.  continuing to hold above the blue line AND there was a double hold of the line WITH a double hold at the blue dots which sets up a triple range break.  AFTER the higher low AND the mex rollback - i did this combination line break2/triple range break buy. 

unfortunately a lot of giveback to the trailing contract BUT this will always be the case when direction won't resume - i am fine with the directional decisions made.  in many cases i would have done the blue dot buy BUT not the yellow circle as an initial.

chart2:  what is the market condition on this chart - what-where were your trades AND were they related to this condition?

market condition:  viewed as left side directional move consolidation AFTER a pmd high test of left side resistance = 10:22ct high 776.30 AND s1 as support.

yellow dot1 - yellow dot2:  these are both pivot trades in consolidation - not pivot entries - there are no lower highs WITH mex flow down.  no sell - no exit.

blue dot:  this is a base consolidation setup - a pivot shift WITH mex flow - into/through a triple range break BUT this is also a trade done into s1 support.  the open trade = +774.80 -775.60/-776.40/trail AND i have a decision - do i go short OR do i continue to hold a trailing buy for the first test of support.  holding at this time was the decision made AND there was no subsequent sell setup to do after the blue dot so the buy was never reversed or exited.

green dot:  i did this as an addon - the trade being a break through the 776.30 BUT done into/through the 2 dark blue dots as a right side triple diagonal AND then as an 'across the chart' breakout-continuation WITH the 120t mex rollback. 

no - not a 'poster chart' for addon trading BUT a trade with breakout potential on the slow chart resumption - the basis for giving this a try.  my biggest issue-reason for this chart was the consolidation hold AND the blue dot decision to continue to hold the profitable trade -vs- reversing short.

open:  the open-price update included a 'viewpoint' of the market regarding overnight resumption -vs- open centerline trading - do either of the yellow circles 'fit' this - what-where were your open trade[s]?

yellow circles:  as discussed in the open update - the mindset was about a move back down first AND a buy and/or centerline trading second.  as well there was a discussion about the dark blue line 779.20 as an open centerline -vs- a resistance reject line 'into' a sell setup.

yellow circle1-yellow dot:  this is an open consolidation ledge breakout - i don't have a buy setup against direction on a breakout into a resistance line that was first being viewed for reject - nothing done.

yellow circle2-red dot - blue dot:  i didn't do anything at the dark cyan dot/flag break BUT then sold the channel pause-break into/through the flag diagonal and to the lows - a trade consistent with directional resumption.  IF flat i would have sold the blue dot which is a spike bar entry back through the 778.00 price line AND into/through the open consolidation lows - then to the overnight low.  again a directional setup BUT basis an attempt to trade resumption - i liked trying the red dot.

chart1:  did you trade on the open chart - IF yes what was the management of that trade - IF no what-where were your trades on this chart AND were they related to the open-price update resumption -vs- centerline trading?

management:  -778.30 allowed no partial at the 777.60 low - held the retrace back to 778.50 which rejected AND 'took out' 777.60 and continued to the overnight lows = +777.10/+777.40 reduce/trail.

green dot - blue dot:  i didn't consider the blue line break initial reverse as a buy AND then held the trailer back to the 778.50 which rejected BUT to a higher low with mex flow up AND did the blue line-green dot buy as a reverse out of the trailing short.  this trade is right side base as a break2 with mex flow up BUT it is a lot more than that - which made the decision to do the counter trade at this point:  (1) blue line break2 is also the 778.00 price specific break setup (2) with mex flow (3) into a triple top break of the yellow line - this was the primary component for doing this trade - that there was a break2 into a breakout setup.

IF flat i probably would have done the blue dot buy - i say it this way because the trade would have to be done as a breakout instead of into the break AND that is not an entry situation that i like - BUT:  (1) there was a shift reject of the 778.00 line (2) still with mex flow (3) triple top break (4) room into 779.20.

red dot:  while the buy[s] were a more difficult decision - considering/looking for additional setup components for continuation because of direction - this sell here was done without issue: (1) shift line setup with 2 tests at the blue dot (2) retrace to double channel hold (3) with mex flow down (4) WITH direction.

my primary thoughts-point regarding the buy-sell at this time - doing the buy is 'trader's choice' BUT the sell 'should' be done.

chart2:  we have discussed failure in a number of ways - especially failure in the context of left side price where a price that 'should be' support can't hold AND then breaks-shifts to resistance.  related to this would be failure to consider - where that price that 'should be' support does hold AND with that hold a swing either reverses or continues.

consider these concepts of failure - are either of these an issue on this chart AND IF yes - how would they be related to trading decisions?  what-where were your trades?

failure1 - green dot1:  dark blue line lows AND considering the overnight low this area is setup to be a double triple break - that is a triple break across the chart AND a right side triple break after the double hold of the blue line/2 yellow dots.  what happened instead - the retrace after the double hold was against a pmd which held as a higher low at the initial low AND then there was a triple break of the blue line. 

this trade was done as an initial reverse - a counter trade that i don't typically take BUT there were the additional components regarding failure and triple break continuation that were available to be part of the decision - i would NOT have bought an initial indicator reverse only.  as well IF flat - which would have been the situation as i would not have held the trailing short on this retrace - i would not have done the yellow dot buy - not as a right side breakout right back into 779.20.  yes you can tell me that there was a retrace with mex flow into this trade BUT it's still a break1 entry AND i don't like doing a V reversal entry into a trade like this - down 8 ticks/up 8 ticks.

failure2 - green dot2:  the 2nd failure here involves the shift of 778.00 to support AND the 779.20 area as resistance setup as a triple break AFTER a higher low shift of 778.50 price shiftline from chart1 to support.  this would have been the trade done IF flat AND basis the breakout-continuation setup components of this trade after 2 key prices had shifted to support - i decided to try this as an addon 'feeling' that this setup is good enough as an entry if flat to reach a partial.

open:  where was your open centerline AND how was it related-used for your trading - what-where were your trades during this period - were there any setups that were base?

centerline:  blue line 785.80 yesterday high AND IF you didn't remember from other discussions what i meant by 'straddling' issues - you couldn't have a better example than the price movement back-and-forth through this line.

green dot:  yeah yeah yeah - jump in as quick as you can - ugh.  simply an attempt to buy the centerline break after the tweezer AND hit-setup of the line - into the channel high/overnight high.  didn't happen as the channel double topped and rejected - i held the buy AND this was my only trade on this chart.  IF there had been a setup like the yellow line-blue dot - i would have done that as a short.

yellow dots:  these are break1 pivot trades - not base AND i hope these look different to you than the trade that i tried - where there was a hit of the line to setup the break AND where there was the tweezer hold into the entry.

dark blue dot:  this is base - buy the dark blue line synch with the 2 dark blue dots AFTER a shift-reject of 785.80 to support AND into/through the prior breaks of this line.

chart1:  what is the market condition during this period - where were your trading price line[s] - what-where were your trades?

market condition:  consolidation-transition - the first profitable sell of the day had triggered 9:16ct -793.90 [i had tried a sell at 9:01ct -791.00 which was a reverse back long +791.50 without any partial].

blue dot - yellow dots:  -793.90 +792.90/+792.90 2x partial/trail - i had no buy setup which would had triggered with a ticki high AND i then held the trailing short for reject.  IF flat i would have tried the blue dot sell as a re-entry on a line break WITH mex flow into the break.  yes this had mex flow BUT no this is not base - this is just a line break after a series of 'overlapping' setup bars. 

the yellow dots are not setups - they are breaks of the dark blue line BUT without mex flow - they are pivot trades in consolidation.  IF you tried this trade because it was a break into/through the prior 2 breaks/the inverted diagonal - i understand the trade - IF i had done this though i would have continued to hold it above irisk with no sell setup to exit with.

green dot:  this trade is the point of this chart - a comment on seeing a setup on the slower chart that i couldn't see on the faster chart - a break2 of the 793.20 area focus/centerline - back through the initial diagonal line break AND with slow chart mex flow on the retrace into the trade.  again remember we are making consolidation trading decisions - a time where the faster charts are the 'weakest' AND the slower charts can help give additional clarity.

chart2:  i see 3 momentum flips on this chart - are any of these components of base setups - IF yes where AND what were the setup components?

rectangle-yellow dot:  this is the point of including this chart - i 'need' you to quit seeing areas like this as patterns or triple breaks OR anything - besides consecutive overlapping bars on a line.  IF you take a trade on a break you are trading a ledge break AND i suggest you view it as such - of course mex flow continues down - how could it reverse on these little bars?  again - you want to take a trade like this its 'trader's choice' BUT it's not base AND don't invent it to be something that it's not.

green dot:  please tell me that the green dot looks different than the yellow dot - i'm on my knees begging J  you should see a line setup instead of ledge WITH individual distinct tests/hits AND the retrace with mex flow into the trade again is not 'drift in a ledge' BUT from a retrace.  this is a base pivot entry.

red dot:  +794.30 [filled the number buying the previous bar high break which was 794.20] -795.30/-795.30 2x partial/trail.  nothing done on the initial indicator reverse - there is no setup there - and held the trailer.  retrace to the dark blue focus line WITH mex flow down AND there was a ticki high - the red dot sell location is a ticki high reject through the bar low into/through the blue line.

another setup that i compare to the rectangle-yellow dot - setup components AND retrace flow that can be 'read' -vs- overlapping bar ledge breaks.

open:  where was your open centerline AND how was it related-used for your trading?  have you done an open trade yet - IF yes where and what was the setup?

green dot:  blue line 793.50 centerline shift-reject - buy break2 of the original overnight high before the news reaction - into/through the overnight high break1.

note:  you can see the yellow dot i placed at mex which synchs with the time of the buy.  before you say that the trade is against mex - remember that open trades are more price oriented first.  from the time the blue line broke to the green dot is less than 2 minutes - open activity-volume that indicators will lag.

open2:  IF you didn't do a buy on the open chart - did you do an open buy on this chart - IF yes where and what was the setup?  did you do any additional trades on this chart - IF yes what-where?

blue dot - green dot:  blue line ledge with 2 hits on each side/yellow dots - IF flat i would have bought the blue dot on the spike bar entry.  i don't typically like ledge breaks BUT this does have room to the highs AND is a directional trade - i would have tried it.  after the higher low AND the blue line break2 - i did the green dot as an addon - into/through the break1 high AND the highs.

yellow dot1 - red dot1:  blue line break - no sell setup - exited the addon/held the initial trail.  the red dot is base - blue line shift-reject is into/through the yellow line hit AND the main reason i tried this trade is the way this sets up the break through the left blue line.

yellow dot2 - red dot2:  there is no buy setup at the yellow dot - nor did one occur.  i exited the short and went flat waiting for a next setup AND went ahead and re-entered the sell.  the setup is a break again of the yellow - done because of the 2 blue dots as a triple diagonal break setup - IF this component doesn't exist i wouldn't have tried the sell yet.

chart1-2:  there are more than 2 trade setups on these charts BUT consider them on a trade selectivity basis - i see 2 specific failure setups that i would do regardless of anything else that may have been tried - what-where are those setups?

selectivity is more than a right side base setup - selectivity is an across the chart setup that takes longer to setup and develop BUT as result includes 'more' setup components involving price-failure/price break continuation.  the specific setups that i was referring to in the question are chart1-red dot1 AND chart2-red dot1.

chart1-red dot1:  the market is in consolidation after a move to the highs after breaking through yesterday's high AND is the typical case before consolidation - the high is a price momentum divergence high.  is the dark blue dot a base setup - a setup break of the blue line AFTER a lower high with mex flow down?  yes BUT it's counter AND what is it being traded into/through besides the blue line?  this is right side base BUT there is nothing additionally selective in terms of failure.

red dot:  same blue line BUT now consider the failure - the dark blue line holding as resistance when it was able to break the first time - the 2 yellow dots that are being traded into/through as a triple diagonal break.  the trade is done as a pmd-swing reverse AND consolidation break - failure-continuation selectivity important both for the market condition and the market direction. 

IF flat the blue dot was the first continuation trade AND picks up an additional setup component from the shift-reject of the blue line - still into/through the triple diagonal.

chart2 - red dot1:  after the sell there is a reverse back 'into buy' AND there is a right side base setup to enter BUT what adds the failure component to this setup is the 'starting' location at the blue line - the chart1 center line rejecting as resistance AND then there is additional failure when the dark blue line support gives a break2 spike bar entry into/through the diagonal.

these are 3 key failure components:  (1) left side price of a a previous break shift to resistance (2) key right side support won't shift AND breaks (3) breakout potential from a diagonal from the previous swing.

NOTE red dot2 - a trade that was done as an addon - is this a rsr-mpf?  you can see the rsr from the channel reject synched with the diagonal line midpoint AND the yellow line is a matched price - BUT.  the key to a mpf is the failure component that is being traded into/through - for instance additional points on a diagonal with a target at the diagonal start point.  we don't have that at the yellow line - we a support price setup to break BUT we are not trading further through the previous swing as this was the start point of the diagonal.

if the setup had occurred like the blue line-blue dot - a setup at the diagonal midpoint WITH the yellow line target - then we would have had a matched price failure setup.

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