Month: September 2018

I’d like to thank you all for coming I think we have about 70 people here today and I’m very grateful and can honestly say it wouldn’t be the same without each and every one of you – it would have been considerably cheaper.

This is probabaly the one and only timne that I’ll be able to speak for myself and Carol

I’d like to say a few words before I spend the next 30 years listening

I have a couple of coping mechanisms one of which is in my right hand

We have very different personalities – some mornings I wake up grumpy and other mornings I just let her sleep. You know Carol and I have our moments and soemtimes I can go for a week without speaking. Mainly because I’m polite and don’t want to interupt. I can honestly say that before meeting Carol I was incoimplete and now I’m pretty sure I’m finished.

How do we take Slope Analysis and use it to Day trade?

Define the Weekly, Daily, 240, and 60 Minute Slopes and document and describe what is taking place from the perspective of the slope in each market.

Right the Analysis for that market and the opportunities that are may present on the trading timeframe.

Bring up a 5 minute chart for each market where we expect an opportunity to potential materialize and define the 5 minute slope and KRA’s. Use this to trade in ALIGNMENT with the expected opportunity on the hourly chart.

Example

 

In the Es the theme is that we are testing resistance at all time highs, we have a channel testing this resistance which we are paying attention to on the 5 minute chart.

I need to write this shit down and turn this shit around.

This is one of the Simplest methods I’ve seen. You identify a trend (Slope) and then identify whether there is consistent Support and resistance using that Slope.

Identify whether there is changes within the trend i.e strengthening or weakening within the trend and if so look for a slope in the other direction.

This is the important part to understand.

If we have an established uptrending Slope what makes me look for a down trending slope is a change of context in the uptrend. Either a blow of top or a lowered ceiling for example.

Validated Slope

Slopes should be validated before we start paying attention to them. We can see this by Price respecting the line on several occasions. Also when the line changes from Support to resistance this is strong confirmation.

Trade Entry

When we have a change for instance Price hitting resistance on the 240 min chart in the Euro. I Look both Intra Vehicle and Inter vehicle for confirmation and entry Ideas. Intra vehicle would be dropping to a lower timeframe and looking for an entry there. Inter timeframe would be looking at a correlated instrument for an entry idea.

An Intra instrument example is Crude. On the Daily and 240 we have Bullish Context and the 60 has pushed through resistance which we expected to become Support. It held perfectly on the 1 min chart and then initiated away from the area giving is the opportunity for a C1/C2 on the Dom  as below.

This is using Multiple timeframes to gain an understanding of what the market is doing in that moment.

Daily up slope been in existence since January this year.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

240

 

 

 

 

 

 

 

 

 

60

The ES is still in an uptrend in the 240 channel and has breached resistance on the 60 in the warning lines and found support at the latest median Line. We are testing horizontal resistance but have broken out on the lower 5 min chart

 

Directional trades are what we want to be taking. one way to get support from the longer term chart is to mix timeframes. Look for a Vol node touch or Channel overshoot on a longer term chart and then drop to the smaller timeframe chart to see if the expected reversal is trading as anticipated.

Below we have a reversal on the 15 min chart in the ES in the form of a channel overshoot. So our Longer term View is now Buillish. We look to the smaller timeframe chart to see if we can now get a short term bullish indicator to go long. this could be a Midas touch a push beyond a Vol node or a trend developing in the expected direction. This then allows us to scan a few instruments making note of trade Ideas and dropping to the Lower timeframe to manage.

First Idea – Live

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

We can see we have breached the Channel overshoot on the 15 min chart. We will now monitor the 3 min for bullish progress. We match the long term and short term view before entry.

I must have Brain damage because I cannot trade or even gather basic stats.  I need to understand what trade types are available based on the market action. Then define those trades and take them based on Price action so there is no ambiguity whether they would have worked or not.

On the 30 Min Chart we define the market State. Then on the Trading Timeframe Chart we define the trend as either consolidation or directional. We then have trades based on those market conditions.

Universe I am asking for your help to finish this prove its validity and if profitable trade it consistently. I am lost without your guidance.

Look to define trend and market structure.

Slope Analysis is the best thing I know to define trend.  Volume Profile and Swing Points define structure.

Slope Analysis has the added advantage of forming a holistic viewpoint of the market and enabling With trend trades.

Entries are at Volume Profile Steps or Channel Overshoots.

What is an overshoot of a channel?

Its a two legged move that extends relative to the central Median line around which price is oscillating. This may well be the longer term slope.