Es short term trading 6-09-10

If we can hold back any decline into 52.50 then we have a chance at seeing 84.50 and soon..we have lots of numbers there as of this writing.

Above yesterdays high and RAT we need to get past that 68.50 and 70. We naturally be a break out of the Monday - Tuesday Range.To go get 84.

The R1 and R2 levels match up with the RATs so those become more important. You can see how we consolidated at 75 - 76 so be careful there. Just because we think we are on track to go get that 84 volume area doesn't mean it will be easy.

Quick summary so far

61 - 63 Rat and O/N high so far

56 Rat and that key spike bars low..and Weekly MIDPOINT ******

50 - 52 Rat , VPOC amd POC from Tuesdays range

We have two shelves of support so watching what happens if we get down into the 50 - 56.25 RAT will be critical..

If we get down belwo 44 then we may decline to 38 realy quick. I'm hoping we don't see that today.

Wednesday is a good day for Gap fills..

30 and 15 minute charts made a higher low so that is a good sign.

That is ideal Paul to have it close beyond the previous range.....these happen on all time frames so I also suggest you incorporate the air pocket concept...when in doubt use the midrange of the OVB bar...you want the OVB to ideally close in the lower half for a short trade and upper half for a long..also filter withth eprevious bars close.....also watch what happens on the bars after..

Originally posted by PAUL9

Bruce,
Thanks for the charts explaining OVB. I viewed that arrangement as a old fashioned 1-2-3 buy (irrespective of ovb), but now with your comments about OVB, It has given me a new perspective and will now pay attention.

one question about the OVB, for an UP OVB as depicted in the chart on page 1: does the OVB have to Close above the H of the previous bar?

I am just trying to understand the bar better because if it is just an outside bar, close can be anywhere (if "outside" only, regardless of close, H and L of bar are only consideration for "outside."

agressive short from 67 for 65 print...light as I know 70 is up there

if we are to stay efficient they will fill in 65 .......inefficiency will run me out above 70...

Bruce,

Thanks for the explanation with the chart concerning the OVB bars. After that explanation I understand what you are looking for and yes I saw the short OVB bar and took it for a small gain. Thanks for the patience, it is helping me.

Thanks, Feng,

in your explanation, you said the bigger the second bar, the stronger the signal,

what are you identifying as the second bar?
the first bar after engulf, or the 2nd bar after engulf?

RE today's PA
right now I have to be positive unless 63.25 is undercut by more than 3 ticks (then would expect fill to 59.25 gap).

gap up that meanders back to H of previous day and finds buying support is a positive to me


great call on the 64, Bruce

Thanks for explanation, Bruce.

As the great Coach Wooden was known to say:

"It's what you learn after you think you know it all that matters."

Originally posted by BruceM

if we are to stay efficient they will fill in 65 .......inefficiency will run me out above 70...

Nice one bruce i was looking at that.

and that ovb explanation was great thanks for taking the time to do that

so far this seems like a weak gap up but we can't ignore the fact that we tested the high of YD and are going up off it....sellers need to get another 30 minute barto trade at thathigh....in theory!


Hour break will happen soon...hoping for the low breakout...

Interesting...
that 730am (PST) spike down (1067.5-1065.5) was on the EIA Petroleum report. Crude drop $0.5 on that news.

thanks for the appreciation from you all,,,it makes it worth it...this 65 needs to print here or esle 67.50 will stop me out and I will have been wrong aboutthe market

Longer term players might want to refer back to the weekend preview and calendar... cycle high today ,working lower into the 14th.. DONT FORGET TOMORROW IS ROLLOVER DAY!...C YA!