Fine, Be That Way

I take it from the "enormous" interest in the blog these past couple of days my Canadian political ramblings are not that interesting to you.

Ok.

Trading, yes trading, that's why you're here. You may have noticed I haven't been posting trades, at least I hope you noticed. I was changing the charts over and over and it was bad for you to watch, and bad for me to trade. I seem to have settled down again.

My exceptional Irish trader friend was aghast to discover today that I am using the CCI again. And if you've ever seen an aghast Irishman, well, it's not a pretty sight. He wanted to see one of my ugly CCI charts, so here they are.

I'm not going to go into details of my trade execution but will provide the general framework.

I watch 3 charts, a five minute, 8 tic renko bar, and a 1 minute. I want to see trend on the 5 minute chart in place first, then I look for the same on the renko bar and 1 minute chart. I use the 1 minute to help find the entry but would still consider the 8 tic renko chart the main entry chart.

The rest of the details are best left unsaid, as I have said many times you can't trade someone else's plan. You can learn from others, at least I can, but you cannot trade it.

Here's a couple renko charts from today. They are winners, there were many losers, in fact more losers than winners today. The day was net positive due to the money management, which most of you know is really the only factor between wining and losing.

8 Tic DOW Renko Charts

Is There Hope?

No, there isn't.
Happy Thanksgiving.
Ok maybe, but not just yet.

We have so far to go before there is hope it's hard to even see it. I know we have Barack Obama's, yes we can, working for us. But, 21 days ago the DOW futures were over 9600. We haven't even got back to there yet.

We have a long way to go and I want to get there as fast as anyone, I'm 100% invested, and it's all long equities.

We have had a little 4 day rally, it's meaningless.

Sorry.

I hope, there's that word, that we have seen the bottom, I hope my negative post today looks foolish in the future, I hope Barack Obama and his team turn it all around.

I hope.

But I don't believe.

This house of cards cannot be rebuilt with debt. The house needs to crumble, and those who survive have to build a new one. With all governments adding more cards to the current house it only postpones the inevitable.

The house is going to fall down.

So why do I stay long in equities?

I think mine are survivors, they are paying me handsomely while I wait, and I can't miss any of the up move if there ever is one.

Besides that if you don't have hope, what do you have?

Cash. LOL

Hindsight

The 15 minute chart look at the day shows two nice trends divided by a whole lot of congestion on the EMAs. The moves today were difficult for me to determine which were real and which were not.

I can see it now.

DOW Uncrushed

LOL

Yesterday I basically called the end of the world as we know it, and today; a reprieve, a reprieve!

It certainly was a great day for trading.

The daily chart has an interesting pattern on it now, a triple bottom perhaps? The second and third legs don't quite touch the first one, but hey the DOW went up so let's think positive.

Could we have seen the bottom?

Naw.

My Ugly Chart

Now that's an ugly chart.

15 Minute Mini DOW Futures Chart

The last full 15 minute bar looks good. Other than that it was a mess for me. My daily stop (question #7) kept the pain to a tolerable level.

5 trades today, 4 losers and 1 break even, 1 lonely winning tick / 43 losing ticks = RR 0.02.

We live to trade another day.