October 6 2009 Overlay, Trades, and Commentary + VIDEO

Check out the VIDEO with commentary below.

Yesterday:

There were no postings yesterday because I elected to stay off screen. I could not sleep Sunday night and was up most of the night watching the price action.

When it was time to do the prep I was not seeing the market as clearly I usually do. This is the best time to stand aside.

Today:

Trading was decent today. I had potential inside support at 1041.50 pre-market. There turned out to be extension support at 1042.50 (close).

I caught the long with a text book failed blind extension micro breakout entry. We have seen this long setup dozens of times in the past few months.

It has become standard procedure to hit it.

My overall target was 1059.50. I sat through the grind believing in my target. I covered 1/2 with 6 points after a significant correction down then drive up.

It is worth noting that the structure of that congestion I exited in was pointing overwhelmingly up. However, it was a natural area to cover 1/2 so I did.

I have to balance what I think and what makes good sense with probabilities. What I think in feel is more important by the way.

I covered the other 1/2 a couple ticks off the high of the day. It was a purely discretionary exit near my target that worked out well.

It is important to remember to exit decisively. Do not wait for exit confirmation because then you have given back too much.

I did not participate in the move down. There were a couple good short setups but I was not prepared for the move and do not just trade setups. I expected a reaction to the downside if 1059.50 failed but did not act with aggression.

One weak spot in my trading is afternoon trading after catching a big run in the AM. I suppose I should press at these times but often I feel the market does not have another ultra-premium trade left.

I need to work on this.

The #1 issue on my trading agenda right now is to have consistent outlier days. This is crucial if I want to reach my goals.

Not much else today. I will let the video speak for the rest of the post. There is some good commentary along with the trade video.


CLICK HERE FOR OCTOBER 6 TRADE AND COMMENTARY VIDEO