Homework for Thursday 2008.11.20

19. November 2008
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ESZ8 - Major resistance at 825, but since we are in a weak environment we may not get that high to short it.  Other sell level is 815 (intraday Gann level).  If we get higher than 825, short 834 (sloping resistance line).  Target 789 (daily MOB and bottom of pitchfork), then 758.

 

16:23 CST Summary - Market was weak, as expected, and never got to ideal sweet spots.  Got to 810 and had a good break down.  Rallied back up to 820 and broke all the way down to 745!!  Broke daily pitchfork.  Now we need to decide whether to keep going down, or re-enter the pitchfork.

Lessons - 

  • If we don't get to ideal sweet spots, don't trade!  Unless you are expecting particular activity prior and you have a plan (again, prior, not on the fly) 
  • Euro sells with the ES, Bonds opposite.  Do homework on these to help see what ES will do and when.

 

Homework

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