Posts by Rod David
TRAINING SERIES – SESSION #1 – Introductory overview
INTRODUCTION AND OVERVIEW
Training Session #1
The first of four basic training sessions, this is an introductory overview of the site, and of its concepts. [Click here for a live session”s recording.]
Agenda
We tour the site”s various content and other features, and describe how and when to use them. We touch on “Bias Parameters and other timing windows,” “Signals, reaction limits and other forms of support & resistance,” and “Technical observations.” We also touch on Trading Style topics, like execution decisions, and risk tolerance, and mention some of the jargon you”re likely to hear during the day.
Goals
When this session has ended, you”ll have an overview of applying my service to your trading day, and to your trading decisions. When offered live, please attend this introduction even if you”re a seasoned, long-time subscriber, because it is the basis for the next three installments. We delve more deeply into each topic during those sessions, but don”t let that inhibit asking any question that occurs to you.
Preparation
Please take the time to explore the service”s blog post and resource page. Click through the Bias Parameters FAQ and intro videos. Attend some pre-open Market Tours and post-close Market Wraps, and not only listen to their recordings. My stuff is not mainstream, so reviewing before the training session will help you process the unfamiliar concepts.
Really, every day in the chaRTroom is a training session. So don”t wait for a live training session before asking a question that you may have now. See you soon!
-=RD
Post-open review
Probing the next lower target.
That answers that. Apparently, sellers WERE refueled by delaying the 2060.00 reversal target, the second portion of yesterday”s temporary bounce template.
This morning”s bias-down target wasn”t even touched post-open, which renewed the bias-down signal at 10:15. The renewed bias-down target at 2056.00 was met already pre-open, but it has been retested post-open.
In fact, the renewed bias-down target was ALSO being probed at 10:15, renewing the bias-down signal again. That eventually gets to be less influential, being so far removed from the original pattern from which the bias parameters were derived.
But this is still a bias-down environment, now attacking 2051.00. And so long as momentum remains intact, the next lower objective in-play is. 2048.50-2048.75.
Yesterday”s template was frustrating because
Yesterday”s template was frustrating because it fulfilled only its bounce portion, and not the bounce”s entire reversal to probe back under Friday”s low. Now the overnight tumble has already fulfilled the template”s second portion. So, is the decline done? Or, did the interim bounce refuel sellers enough to require lower lows? Setups that identify either were described during the pre-open Market Tour, recorded here:
https://roddavid10.mitel-nhwc.com/join/xmjtjmx
The First Trade.
Proper context can start the day with a solid win and make all the difference.
Enter the Chartroom here (pre-open Market Tour begins at 8:55 ET)
Through the prior close…
Monday”s open gapped up from Friday”s test of the 2066.00 target. The morning”s bias-up signal was neither triggered nor rejected, which is a rare “noN-bias.” So was the afternoon”s bias, an even rarer one-day combination. That”s as much buying pressure as can be expend without gaining traction for the effort, and just enough to avoid attracting sellers. The anticipated template for a temporary bounce fulfilled only its bounce portion.
Overnight action”s new info…
Selling resumed immediately, dipping 3 points to 2075.50. A drop at midnight attacked Monday”s 2072.00 open. Despite ranging narrowly through Europe”s opens, the decline resumed one hour later — now fulfilling the template”s other portion by testing its 2060.00 target by 5 ticks.
If, then…
Yesterday I noted that the temporary bounce template was being slow-played, and a near-term probe under Friday”s low couldn”t be avoided. Saturday I had noted that the fresh low could form a bottom if it were not delayed. While Monday did delay the fresh low, its overnight test can be associated with Monday — which COULD still allow a near-term bottom to form. Relentless overnight trending can reverse sharply at the open, but usually not if the reversal hasn”t happened during the opening sequence.
First Trade…
Exiting the open at 9:45 back above 2072.00 would be the earliest indication that the 2065.75 bias-down signal might not trigger at 10:15. Exiting the open under 2064.25 would be likely also exceed the 2065.75 bias-down target through 10:30, which would renew the bias-down signal. Its renewed bias-down target at 2060.00 is already being tested pre-open, but its next lower targets would be 2056.00 and 2048.50.
Monday was frustrating, tracking an
Monday was frustrating, tracking an intraday swing pattern that didn”t actually reverse down. The morning firmed as the gap up suggested, and flattened out during the noon hour. But the bias environment tried probing higher, instead of trending back down. The probe didn”t gain traction — it was reversed entirely, and only ranged sideways itself. Here”s the post-close Market Wrap”s discussion:
https://roddavid10.mitel-nhwc.com/join/shkbktx