Monthly Archives: September 2006

By the end of yesterday’s session, my two moving averages (13 sma and 34 sma) were intertwining and moving sideways, showing the lack of any trend. That’s one of the reasons I keep these simple calculations on each of my … Continue reading →

Today was a good example of why watching a longer timeframe is a good idea. It’s not to make entries, but to observe the context for setups on your trading chart. Tuesday I showed the way a longer chart can … Continue reading →

There were several tradable moves at the beginning and the end of the day, but finding a few trades and then giving back the profits during congestion doesn’t put money in your account. The question becomes “How do you define … Continue reading →

I saw a nice entry early this morning based on yesterday’s market action. Linda Raschke calls it Three Little Indians, but my setup also requires a DIVERGENCE on the last peak and there wasn’t one on my 3-minute chart. But … Continue reading →

I like to trade divergences, but I’ve been burned often enough that I normally require a second reason to enter a trade. Although today’s upside gap had some markets making a nice move, the Russell 2000 couldn’t exceed it’s first … Continue reading →

Early trading moved quickly to yesterday’s high and reversed. Then there was a drop to yesterday’s low, with no pullbacks in sight. I suppose I could have shorted the early peak as a test-of-top, but I didn’t. Then yesterday’s low … Continue reading →

One of these days I’ll convince myself to take Fed days off. I usually just watch and seldom make a trade. Today was no exception. The morning started with a four point gap, followed by an eight point rally. With … Continue reading →