ES short term trading 7-21-10

Here are the zones I'm watching

1101 is low volume based on composite work


90.50 - 93 ***** HV area from the composite

85 - 86 - Fridays high and POC from Thursday

80 - 81 Tuesdays high and volume node

70 - 73 ************ key support, high volume , Va high ---Bold intentional

66 **** single prints

61.50*** High volume


56.50 ****high volume


My plan will be to sell rallies with high $ticks...especially if we gap up in RTH into one of our two key zones above today's highs....we know what usually happens after trend days

2 off 65.....

last off at 67.25...sure wish I had the guts to add at the 61 number..

SHORT FROM 1067.50...

Phileo aka " the $tick master" How about starting a thread on the $ticks and teach us your tricks...so maybe a few of us can stop beating our heads against the wall with them...

perfect 30 minute air fill...second one is a great target....sure wish I was short this morning to get the complete 75.50 fill in..

Koolio..the man!!nice

Originally posted by BruceM

Phileo aka " the $tick master" How about starting a thread on the $ticks and teach us your tricks...so maybe a few of us can stop beating our heads against the wall with them...

yes! please phileo you seem to understand it well.

JUST COVERED 1063.50..WOW QUICK 4 handles ..but honestly, only had one working!

Originally posted by Lorn

How do you define $TICK exhaustion?

Divergence?

Originally posted by phileo

long 1061.25, target 1063, 1pt stop
seeing $TICK exhaustion,

My own discretionary definition:
4 or more $TICK extremes during a 9+ pt move, then a super $TICK extreme (eg. +/- 1350 or more) into a prior S/R zone. The idea here is that last $TICK extreme creates an unsustainable condition.

I've been trying to trade this setup for a while now, it happens every day almost, the only problem is it's counter trend, and it's scary (for me) to be fading extreme moves.


In the chart above, the breakdown of 1067.5 at around 1130am(PST) started a new down sequence: 6 -ve $TICK extremes, 7pt move. Note the last -ve $TICK extreme -1400 at around 1158am (PST) was into the prior day's VPOC 1061. This was my trigger.

Unfortunately, I was not able to hold on, still trying to deal with the emotions of the trade.

Sounds interesting to me Phileo - looking forward to it.