2-26-2013

I thought I did pretty well after I watched Mack's recap.  I still made at least one really bad trade by a bad trend line I drew.  I need to fine an NT indicator that shows the days high/low.  It won't be useful everyday but for a day like today it would have been perfect.  It is best to get in when there is a trap or coming off of a high/low. 

What Mack always looks for his entries to come on the trend lines or support and resistance.  He also says you need a reversal bar of some kind.  A reversal bar has a big stem and closes near the high of the bar.

Trade 1:  2nd entry long off of lower trend channel

Trade 2:  2nd entry long and two legged pull back off of EMA.

Trade 3:  Failed 2nd entry long.  Notice how the price never closed above the EMA.  This seems to be crucial for these trades to have success.  Price cannot close on the opposite of the EMA for these types of failed 2nd entries to work. 

Trade 4:  2nd entry short off of the upper trend channel.  I also thought it was a big two legged pullback but in retrospect I don't think it is.

Trade 5:  2nd entry short off of upper trend channel.

Trade 6:  1st entry short off of EMA.  I think at the time I thought it was a 2nd entry short, no wonder it failed.

Trade 7:  2nd entry short off of upper trend channel.  This was the 2nd entry short.  I should not have taken the trade before this but I made a mistake and thought trade 6  was a 2nd entry short.

Trade 8:  2nd entry short.  I drew a new trend line.  I have never drawn another trend line right after it has broken the old one.  I think I got some of Al Brooks teachings confused with Macks.  Because of this I took the 2nd entry short.  If I had not had drawn that trend line like I never have before then I would not have taken this trade.  This was the horrible trade I was referring to earlier.

Trade 9:  2 legged pullback to the EMA with a short trap.  This is the trade I am most proud of.  Not because it was the big winner for the day but because I recognized it right after my short was stopped out.  I deciphered that since my short was just stopped out that the down trend was over and I needed to go long.  I saw that price had made a two legged pullback to the EMA so I got in one tick above the short trap off of the EMA.  I got out a couple of ticks above the previous swing high.  I could have held on for another two points so I'll have to do my exits better.

Missed Trades:

1.  Failed breakout short.  Not sure if I saw this at the time.

2.  2nd entry long.  At the time the channel had not been established so this is too advanced of a trade for me.

3.  I didn't mark it but it is at 12:26.  It is a 2nd entry long with a great reversal bar that is also a failed break out lower.  The reversal bar is the key here.  I need to remember to always look for those bars.