4-30-2013

My Notes:

Focusing big time on 2 legged moves and 2 legged measured moves.  I think the 2 legged measured moves are great and will use them every time but I think I am missing some great trades by always looking for the legs to be equal.  I think when they are equal it gives more confirmation.

If you are confused then do not take a trade.  Treat this like you are trading live.  Only get in a trade if you can explain why it is a legit signal and what you expect the market to do based on the signal the market is giving you.

My price channels are messing me up b/c I am drawing them incorrectly.  I may not draw them b/c I am wrong more often than not and when I am wrong then it really messes me up.

Mack's correct trend lines are in black.
Mack's Notes:

He waits a couple of days to update his Ninja Trader.

He usually tightens his stop 2 ticks above/below the signal bar.  He rarely gets stopped out at 2 ticks.

IN AN UPTREND, WHEN YOU BREAK A TREND CHANNEL PRICE WILL USUALLY MAKE 2 LEGS TO A NEW LOW!!!!!!!!!!!!!!!!!!!

My Trades:

1.  2nd entry short after a 2 legged move and off the upper trend channel.  When price started creating stems and not pushing through to the lower trend channel I got out at both contracts at BE.  At the bottom where price went up on the trend channel price had broken out of the yellow line small trend line and created a new low.  This is a good indication that price will reverse so maybe that entry I took was not as good as I thought.  Also the up trend yellow line had not been broken yet and then creating a new high.  That is a good signal that price will reverse when it does this.

2.  2nd entry off of the EMA.  As soon as price started waffling around I got out.  I was afraid this was the first of a 2 legged move up and I was on the wrong side.  (Of course price went through and would have taken out my scalp had I stayed in)

3.  2nd entry Long after a 2 legged measured move off of the EMA.  Beautiful trade.  Got out within a point of what I thought was the top of a 2 legged measured move.  Could have gotten 2 ticks better on my 2nd lot.

4.  2nd entry short looking for the 2nd leg of a 2 legged move.  Obviously that was not correct.

5.  2nd entry short looking for the 2nd leg of a 2 legged move.  Got a scalp.

Missed Trades:

1.  End of 2 legged measure move off of resistance level.  Wasn't a 2nd entry short.

2.  Looking for the 2nd leg of a 2 legged measured move.  Not a 2nd entry.  Was off the EMA or the incorrectly drawn trend line.

3.  2nd entry short off of the EMA.

4. and 5.  4 was a long that is hard to see.  Not a 2nd entry long.  5 is a 2nd entry long where the measured move down has failed.  I thought price was only going up to the measured move and I had drawn the trend lines incorrectly so I thought price was at the top of the trend channel.

6.  Price was clearly making 2 legs higher and this was the beginning of the 2nd leg.  It wasn't a 2nd entry.  The only way I could have taken this is if I had drawn the trend line correctly, otherwise I was looking for a 2nd leg down before taking it.