August 12, 2011
- in Uncategorized by schooloftrade
100 Ticks Day Trading Gold Futures; Crude Oil Futures made us work for our daily goal
Summertime Friday means we need to very selective with our trades and watch the clock b/c the volume will dry up after 1030am
· 89range chart shows a bull and bear channel
· We use the bull channel first, buying pullbacks with new highs and buying at support with price dropping to swing lows.
· I also need to sell the highs of the bear channel, which is also the highs of the bull channel, and the resistance at 87.26
· BMT is also the swing low at 84.00 which will make an excellent profit target, but we need to AVOID trading around 84.00 and BMT like the plague
· 34Range chart shows us an INSIDE DAY turned OUTSIDE DAY which may come back lower as a FAILURE.
· Below 86.00 we are back inside the range from Thursday which means the buyers have failed and now we can expect the sellers to look for 81.03 PLOD as the final target.
· Clue #1 = Outside day FAILURE? Will it go higher? Buy Pullback!
935am est
Price action has been very rough this morning. No consistency has killed our confidence and we’re trying to patiently wait for the best price action to earn that confidence back.
We are at the highs of the long term bull channel so we are concerned about buying at the highs. We want to sell the highs of the range/channel/wedge/sideways market
945am est
We test the lows on Gold Futures and we buy the channel lows as support.
Price action stinks right now, let’s stay focused on our plan and these trades will come to us, just be patient.
1030am est
New Lows on gold, sell a retracement below the PLOD which means the sellers are in charge.
Major support below us at 25.0 so target = 25.5
