Monthly Archives: June 2007

For the third day in a row the first hour range has contained the market’s overall movement. In each case, lacking a good setup during this period I can find no compelling reason for taking a trade. As you can … Continue reading →

A reader had a question several day’s ago about trading breaks above or below the first hour range. My answer was that if I didn’t already have a trade within the first hour I might not trade at all. Yesterday … Continue reading →

Evidently the 127% external retracement was the correct turning point from yesterday’s close. But remember, there were too many other potential reversal levels. If that had happened intraday it was only a trade to consider with extreme caution. After a … Continue reading →

You’ve probably noticed that I try to point out turns that have multiple indications, since these setups are more likely to work out as expected. If three signals or indicators point to the same result, there could be three times … Continue reading →

First Pullback measurements are always external retracements (see yesterday), but they are Fibonacci ratios that few seem to follow. You can mark the Fib levels for the next potential turn as soon a reversal pivot forms following the first significant … Continue reading →

Getting acceptable Fibonacci measurements at futures contract rollover can sometimes be problematic. For longer measurements, do you use the old contract or the new? There is always a gap at rollover, so the measurements won’t be the same. Yesterday I … Continue reading →

Most of you should know by now that I try to not make predictions. I draw my trendlines, put in Fibonacci measurements, and ask myself “What if” the market decided to turn here. And then I take action if I … Continue reading →