Big Down Move

Friday a big down move happened on the markets. The news said that it was because of the fraud charge against Goldman. I believe it was a stop run. There have been many days over the past few weeks that the P/C has not been above .70. Lots of people buying protection on the long side. Well with everyone long, the market has to take out the stops placed below the market, before it can continue up. We shall see. I have a long on the YM, and yesterdays market move has moved the market back to my entry price, and closed back above my soft stop. Monday will be interesting.

4/7/10

Today I moved my stop on my EURUSD scalper sell to about half way to Break even. I also place a soft stop 2 bars behind current price bar.

My YC short trade continues to play out. It is has been going sideways for a few days and may pull back up. Soft Stop is 354 4/8. We shall see...

Week in review

I had a Scalper buy signal fire off on 3/31/10. I completed my swing play check list and did not enter the trade - Lower Lows and Lower Highs shows a down trend in price action. I will wait to see if price moves up through the .92 range. Looks like a sideway moving mkt that bounced off the 50ma. Price is at 76.4 Fib. from the low bounce off of the 200ma. So if AUDUSD puts in a new higher high I should watch for a pull back to support and go long. We will see what happens.

Else were, I had gone long the USDJPY and it went sideways for awhile, then broke long spiking over the downward trending 200ma. I closed my trade for a profit, but did not stick with my rules. Should always use my 2 bar soft stop. Price has continued to run. (cut your loser short and let your winners run). I am still learning.

The EURUSD is in a downward trend and price is moving back up towards the 50ma and the top range of the BB. There is currently a Scalper Buy signal on the trade, but will wait for a Short.

The only trade that I am in now is the YC. Entered with a Scalper Sell and I am now using my 2 Day soft stop. Live and learn.

As of 4/2/10 the price print of the High Bar on the ES is 1173.50. I am watching for a break of the high bar to enter short. The current up trend started 2/5/10 and has put in more than 20 new highs. Once a bar closes below the low of the high print bar I will short the market with my stop at the High of the high bar. Last time this happened price spent 6 days moving sideways and came within 1 pt of new high before dropping and testing the 200ma.

We Shall See....