Rebound today! 2 trades --> $460 + $520 = $980 profits
5 min Emini Nasdaq 100 Candlestick
Daily Emini Nasdaq 100 Candlestick
Hi,
How's it going lately? Market's been coming down for the past 2 days .. and volatility is picking up again. As day traders, we need a certain volatility to make money... we can't really make much in a slow ranging market...
Today price rebounded... had I expected it? yes! If you look at the daily chart above, yesterday price dropped to the lower band of the bollinger band... and knowing that this is a strong market, we certainly should expect some kind of rebound... but, this is all just expectations before the trade.. we still have to confirm it with actual market movements..
1st Trade,
My first trade is long... if you read the charts carefully, you will see that there is a hammer candlestick with longer lower whiskers and stochastics is turning up too.. What do you do? LONG!. I longed 1 contract at 1883 and 2 more contracts at 1888... I am aiming more for a whole day rally... however, at around 10:00 am, price momentum started to slow down and I am getting abit uneasy...
I decided to exit at 1895 with profits of $460.. notice that stochastics is already in the overbought region and I couldn't confirm how long it would stay there.. the weak price momentum didn't help much either..
2nd Trade
I had to wait a while for this second trade... price slowed down to a jitter from 11:00 am onwards... but at 13:30,, price broke out of the triangle upwards... this is evidence of strong price momentum... this alone is enough for me to go long... I entered 1 contract at 1896 and another 2 contracts at 1898.. I exited my position only at 1905 when it hit the moving averages and a red candle appeared..
Total profits = $980.