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Saturday, April 09, 2011

Some charts from comments

There are over two dozen great comments over the last few posts. You will find setups, analysis, discussion on timeframes...a pluthera of great information. If you are just waiting for posts from me and not reading the comments, you are really missing out!

Here are a few setups I pulled out of comments. The first is the primary setup we have been discussing over the past month - you might be getting bored of it, but it happens almost every day and delivers results.

Here is a chart and analysis (cut and pasted from comments) of a "u-turn" setup posted by John:

"Hey X, do you still trade the u-turn setups? I find these 3-4 times a week, and they tend to work pretty well. PAAS on 04/08 is a good example. My Fibonacci lines were over the opening range first three bars. I entered a break of the 4th bars high. It was red, but didn't close below the 50% retracement so I saw that as bullish. It made a quick move to the Fibonacci extension and I exited. It had a nice setup again above the Fibonacci extension and kept running.


There has been discussion of the 15-minute timeframe in comments, and long-time readers know of my affinity for it. Before I migrated to faster timeframes, I became profitable and built my trading career on 15-minute setups. Here are a few examples from David, along with his analysis (cut and pasted from comments).

"I like seeing the faster timeframes, but I can't make them work and usually stick with the 15-minutes. Glad to see other commenters discussing them as well. I originally started trading 15-minute timeframes years ago after first discovering this blog, so thank you for everything Trader-X and Tom C.

Two from Friday were SLW long and CCL short. SLW was a break of the 5th bar's high and target of the Fibonacci extension - Fib lines plotted from the previous day's low to the first pivot of the current day. I was actually late on this entry, as a break of the 4th bar would have been perfect. The main rationale was support from the rising MAs and bars 2-4 never broke the 50% retracement and formed hammer candles.

On CCL, I went short later in the day after price broke the morning low and retraced to resistance from that area and falling MAs. Entered on a break of the 11th bar low and target was the Fibonacci extension - Fibonacci lines plotted from the previous day's pivot high around 12:30 to the morning's first pivot low. This was one of those Trader-X "magic" reversals where price bounced right at the Fibonacci extension. It was very low risk and the distance to my stop was so small I could take a larger position.

Have a good weekend everyone and keep the great comments coming!"


1 comment:

Grove Under said...

David R & John,

Nice trades. And thanks for sharing the examples, since it helps to remind me that the "bread and butter" and the "u-turn" type setups are still alive and kicking. I need to expand my mind to also search for those patterns.

And to date, I've only been focusing on the long side, but because of the CCL short example, I ran some short scans and caught a decent % move down in OMX yesterday (4/11, 15 min chart, 7th bar trigger).