Observe & Trade

From my previous post, I show the QQQQ chart which is identical to NQ e-mini futures stating that it is better to stay on the sideline for the market is in idle mode.

But as can be seen from this chart concluding the whole trading day was a different story.

It rallies at the last hour, meaning watching the whole market up to completion can make a "miracle"?

That means in trading, having to wait at the last hour makes a difference.

Observe & Trade

A choppy trading day today, Friday.

The market was affected by the negative jobless report and went down in the open and stay idle as shown from this 5-min. chart from QQQQ.

In this kind of chart pattern especially it's Friday, the only way is to stay on the sideline in order not to get chopped off.

The market was on a roll the past two days, and today most if not all, traders will take the profit.

That's normal in the market. Friday is the take home pay.

In this unpredictable market, holding your winnings is not guaranteed.

Short term trading is the order now in the market.

Whatever Happens, Take Responsibility | Prudent Trader

Whatever Happens, Take Responsibility Prudent Trader

Observe & Trade

As observed, these similar pattern can be traded at the same time.

DIA and SPY etf's can relate to the e-minis of YM and ES.

Notice the similarity of the pattern, they are almost or exactly identical.

They move mostly at the same time.

Trading them together especially today in the e-minis can make you a nice return.

That's why it is better to trade the futures than the individual stocks due to number of instruments to be monitored.

Tracking just the YM, ES or the NQ is more advantageous than tracking hundreds or thousands of stocks.

Observe & Trade

As observed, same scenario of the process of trading from yesterday's post.

Buying at the open can make a nice profit.

As can be seen from yesterday's 5-min. chart, after it skyrocketed in the open, it lies flat at 742.50 points.

Buying today at that same point is the right entry.

Observe & Trade

A vertical leap from Russell 2000 as shown from this 5-min. chart.

If you look at yesterday's pattern, it's almost flat.

But today, due to some positive news, it skyrocketed.

If you anticipated the good news and bought early in the open, you can make a nice paycheck today.

Trading is about timing, watching, sitting, anticipating, persevering, observing, and locating the right "thing" (entry and exit).

Observe & Trade

The market was down and the only viable trade I can observe from the four e-minis I track is the Russell 2000, TF.

From this 5-min. chart, you can make a trade in the mid-trading day as shown.

Looks like a low risk trade considering how volatile is the market.

The other three e-minis are so volatile, YM; ES; and the NQ.