Hi Tom.No trades this week, could'nt seem to get a clear picture.My philosophy is if in doubt sit it out,so thats what i did and i'm glad i did as i would have surely got burned.
The week ahead is looking clearer, so i'm hoping to get swinging with you all shortly.
I like to keep things as simple as possable so have no fancy indicators to talk about which makes me feel a bit inadequate for this group really.
I use bollinger bands mainly, which i find useful for the range and rsi, fab macd just as a visual comfirmation as to what i'm thinking,so nothing you don't already know.
I workout the weeks range and then do a daily range at 6.30am each morning.
It generates three levels high middle low.my thinking is when its at the high its over bought and will come back to the middle and if it goes low its over sold and will come back to the middle.
The other indicators just gives me likely direction.
By doing the range each morning just before the market opens gives me key points in the day to look out for.
let me show you next weeks genarated range.
high middle low
6045 5934 5823
As the market is still bullish i would not exspect it to fall back past the middle number although remember this is a weekly range not a day range.
I have also found if it was to pass the middle add 5934+5823=11757 then divide it by two =5878
and you will see it hover there before it eather goes to 5823 or returns to the middle again.
With these figures in front of me i can see where to stick my stop where to get in and where to get out.
That gives me a clear area to trade.
Having said all that last week it broke the weekly range by about 48 points and was heading for the monthly range so nothing is perfect.
The range was 6082 for the week 6105 for the month and on tuesday the 4 of jan the day range was or would have been sell at 6042 stop at 6082 so i would have got stopped out as it went to 6090.
Better a plan than no plan at all.
So there you have it, you can all rip it apart at your leisure over the weekend or help me finetune it.
Look farward to your take on it tomorton as i do reading your outlook on the markets.
Thankyou all for your time, feeling more comfortable here now i have given something back which i hope is of some use to someone.
The week ahead is looking clearer, so i'm hoping to get swinging with you all shortly.
I like to keep things as simple as possable so have no fancy indicators to talk about which makes me feel a bit inadequate for this group really.
I use bollinger bands mainly, which i find useful for the range and rsi, fab macd just as a visual comfirmation as to what i'm thinking,so nothing you don't already know.
I workout the weeks range and then do a daily range at 6.30am each morning.
It generates three levels high middle low.my thinking is when its at the high its over bought and will come back to the middle and if it goes low its over sold and will come back to the middle.
The other indicators just gives me likely direction.
By doing the range each morning just before the market opens gives me key points in the day to look out for.
let me show you next weeks genarated range.
high middle low
6045 5934 5823
As the market is still bullish i would not exspect it to fall back past the middle number although remember this is a weekly range not a day range.
I have also found if it was to pass the middle add 5934+5823=11757 then divide it by two =5878
and you will see it hover there before it eather goes to 5823 or returns to the middle again.
With these figures in front of me i can see where to stick my stop where to get in and where to get out.
That gives me a clear area to trade.
Having said all that last week it broke the weekly range by about 48 points and was heading for the monthly range so nothing is perfect.
The range was 6082 for the week 6105 for the month and on tuesday the 4 of jan the day range was or would have been sell at 6042 stop at 6082 so i would have got stopped out as it went to 6090.
Better a plan than no plan at all.
So there you have it, you can all rip it apart at your leisure over the weekend or help me finetune it.
Look farward to your take on it tomorton as i do reading your outlook on the markets.
Thankyou all for your time, feeling more comfortable here now i have given something back which i hope is of some use to someone.