ES Tuesday 9-27-11

We are hitting up against our key 76.75 area as I type in the Overnight so I am looking for shorts up here. Preferably we will get the blow thorugh of that number and come back down for the retest. I will wait to see what the footprint shows.This was a low volume breakout point from 9-21. All other areas defined at the end of yesterdays thread had 4 - 5 point reactions in the overnight so those worked well if you were awake to trade them.

Volume is building in the overnight at the 71.50 - 72.50 zone so that still needs to be on our radar today as does the 66.50 - 67.75 numbers.

Above the 76.75 I only will be working from the low volume near 87 - 88. I will avoid trading near the peak volume price from 9-21.

My hunt for shorts has begun up here now at 79...I think they will come back for 76.75...! Good luck today

Originally posted by BruceM

We are hitting up against our key 76.75 area as I type in the Overnight so I am looking for shorts up here. Preferably we will get the blow thorugh of that number and come back down for the retest. I will wait to see what the footprint shows.This was a low volume breakout point from 9-21. All other areas defined at the end of yesterdays thread had 4 - 5 point reactions in the overnight so those worked well if you were awake to trade them.

Volume is building in the overnight at the 71.50 - 72.50 zone so that still needs to be on our radar today as does the 66.50 - 67.75 numbers.

Above the 76.75 I only will be working from the low volume near 87 - 88. I will avoid trading near the peak volume price from 9-21.

My hunt for shorts has begun up here now at 79...I think they will come back for 76.75...! Good luck today

Bruce, when you have time, do you prefer to use a composite (how long?) MP histogram or only use the most recent day that was trading in the area where price is currently?

TIA-Mike

GM finish your painting? I have high vol at 77.to.78. area I see where you are talking about from the 21st

Case Shiller at top of hour

Russian finance minister says Greece is close to default. Shouldn't be news but it got the market to move.

Bike Mike, I have come to hate composite profiles as I spent too much time trying to fiqure them out and made no progress. Many here are familiar with FT71 and his work. He has a gazillion lines all over the place but yet he still uses the Time and sales for entry and his initial targets are only 2 points or less......at least that is the way he was doing it about a year ago. We have just as many GOOD opportunities with our high and low volume work based on the most recent day sessions and overnight. Drawing all those lines is a waste of time. It is good to know where the extremes of the brackets are. The highs and the lows to monitor for breakouts.

This isn't a slam for FT71 so lets make sure I am clear. he is a great trader and is doing great work to generate money for charities. I have the utmost respect for him but disagree with all those dang - blasted lines drawn all over the place.

There is some use to looking at inside bars and when we are trading inside to the previous day but even that has limitations and requires experience....perhaps there are some that are great at holding longer term in the S&P....I haven't found anyone who can do that...everyone makes a lucky call sometimes. Making a projection is fun but most can't hold for the long term moves. It looks good on a forum though. I can't do it either. It is just too jittery and doesn't reall trend well.

I personally wouldn't waste my time. You are better served just knowing what has happened above and below the current market in relation to volume. I'd like to hera from anyone who actually uses the long term profiles well. I've been asking that for years but nobody has come forward. Just my Opinion Big Mike and you may want to research it in your spare time. I'm not here to convince anyone or jam my opinion on them.

prestwick, any swing you are looking at ? i find it tough when it has trended like this since there is no significant bottom/top to start projecting from...thanks

peak volume in O/N has changed to 77.50 so any shorts will be using that as a target...the 76.75 - 77.50 is the first critical support zone that longs would want to try and hold up price....I'll be using that as a target if given a short early on

very good chance we will see that upper zone ( 76 .75 - 77.50 )retested in day session...so bias will be short....open outside of value and range...for MP purists...good chance of some good range today......

Originally posted by ayn

prestwick, any swing you are looking at ? i find it tough when it has trended like this since there is no significant bottom/top to start projecting from...thanks

I am having a tough time with it today becasue it has been a trend dominant Globex. I am keeping an eye on 8158-8168.25 giving a full projection of 1184.75. I primarily trade crude oil so I haven't worked on the ES hard.

76.25 watch that sucker fill in

Originally posted by Lisa P

POC of 9/21 is "taken"

Click image for original size

charts of 09-21 and 09-27. History got repeated.

http://www.screencast.com/t/aizvxKhhbaR
http://www.screencast.com/t/2AilyB28