Nice day for the long, 98pts rise. Support from the 4294-4317 gap and 14EMA showed up right after the open. Initial trading breached Friday's low but we closed above the high so this key reversal day to go long at the close if not already, second chance to get in if missed whiplash long on 14/05.
barjon
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tom
sure was - futures (or SB ftse proxy) gave the clue last night. DOW closed about 100 points lower than where it was at ftse close but ftse went down only 24. Although ftse opened down it remained trading strong vs dow. I was dead keen get in but couldn't find an entry until after 0900 when it traded weak for a bit.
hope you caught most of it.
jon
sure was - futures (or SB ftse proxy) gave the clue last night. DOW closed about 100 points lower than where it was at ftse close but ftse went down only 24. Although ftse opened down it remained trading strong vs dow. I was dead keen get in but couldn't find an entry until after 0900 when it traded weak for a bit.
hope you caught most of it.
jon
Cheers Jon, I got the whole of today's move, am long from late Thursday afternoon on a whiplash signal.
I like the principle of comparing Dow and FTSE ratios - you've mentioned it before and I must start logging these things.
Hoping for a strong late session in NY and continuation tomorrow morning, happy to exit anywhere near 4520 resistance.
I like the principle of comparing Dow and FTSE ratios - you've mentioned it before and I must start logging these things.
Hoping for a strong late session in NY and continuation tomorrow morning, happy to exit anywhere near 4520 resistance.
SuddenDeath
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good morning everyone
SuddenDeath
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IG index have a quote for ftse/dow differential..
You can use the chart also showing how the dow and ftse compare to each other.
You can use the chart also showing how the dow and ftse compare to each other.
tomorton, I have to confess to being very confused. I'm looking at the FTSE Rolling Daily for yesterday and can't compare it to what you're saying at all. At the time you posted the above it had risen from 4312 to 4449, more like 140pts than 98. The gap at the start of the day was from 4315 to 4321, quite different again to your figures. I can't see anything remarkable in the 14EMA. Initial trading went down to 4302 which did not breach Friday's low of 4299. I agree yesterday was a key reversal day, but why go long at the close, when the index has already reversed right back up (it's going down now)? And what is a "whiplash"? You clearly know what you're doing, because you caught the rise, but I'm not following this at all. I guess I must be looking at the wrong quote but I would have thought that any FTSE quote would show a similar pattern. Can you help?
barjon
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thx - sudden
arbu - tom will doubtless come in, but I think his 98 is the actual FTSE Friday close (4348) to yesterday close (4446) not the SB rolling ftse quote.
whiplash is an open below previous close which then reverses to take out previous high. There's often followthrough the next day - hence long at the close.
good trading
jon
arbu - tom will doubtless come in, but I think his 98 is the actual FTSE Friday close (4348) to yesterday close (4446) not the SB rolling ftse quote.
whiplash is an open below previous close which then reverses to take out previous high. There's often followthrough the next day - hence long at the close.
good trading
jon
Have you been reading my posts? I mentioned the word "whiplash" instead of "whipsaw" and have been correcting it ever since.
barjon
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Have you been reading my posts? I mentioned the word "whiplash" instead of "whipsaw" and have been correcting it ever since.
...................but yours is much nicer, split
jon
Hi arbu - Just as Jon says re charts and whiplash.
Can't trust SB charts for TA over a daily or longer timeframe or for any data at all outside the underlying market hours, basically 0800-1630. They tend to run midnight to midnight and to over-shoot highs and lows - hence your figure for the day's points gain being larger.
Whiplash is not a bad entry technique at the close, but it commits you to a swing time horizon - my whiplash long was from last Thursday's close, and I exited today, Tuesday. Admittedly, a key reversal signal is also not confirmed until the close of the day, meaning takers miss the signal day's action. But there is often follow-through in the following days to make the risk of signal failure justifiable.
Of course, whiplash in another context means something completely different.........
Can't trust SB charts for TA over a daily or longer timeframe or for any data at all outside the underlying market hours, basically 0800-1630. They tend to run midnight to midnight and to over-shoot highs and lows - hence your figure for the day's points gain being larger.
Whiplash is not a bad entry technique at the close, but it commits you to a swing time horizon - my whiplash long was from last Thursday's close, and I exited today, Tuesday. Admittedly, a key reversal signal is also not confirmed until the close of the day, meaning takers miss the signal day's action. But there is often follow-through in the following days to make the risk of signal failure justifiable.
Of course, whiplash in another context means something completely different.........
Higher range today but indecisive pattern, closing only 36pts up and only just in upper half of range. Dow did worse, closing down, though its range was also higher. Resistance emerged today as we approached 4520, and technically we never made a swing low as a base for this upward move.
All suggests buying power is evaporating for the time being and resistance in the 4512-4520 zone caps upside opportunity. I can see myself going long tomorrow only if we are low early and form a whiplash or key reversal day: a pattern like that might also breach 4520, come back and re-test it as support and go well up from there towards the close, if that's how some people might trade it.
More likely tomorrow will be flat with no real direction or it will just drop slowly all day.
All suggests buying power is evaporating for the time being and resistance in the 4512-4520 zone caps upside opportunity. I can see myself going long tomorrow only if we are low early and form a whiplash or key reversal day: a pattern like that might also breach 4520, come back and re-test it as support and go well up from there towards the close, if that's how some people might trade it.
More likely tomorrow will be flat with no real direction or it will just drop slowly all day.
Thanks. I note that there was still some upward movement on the FTSE today, so your whiplash theory seems to have been borne out.
I've just been relying on SB firms' data to date and have yet to take the plunge and buy a software package. It's interesting that I've been quite successful on trading individual shares but not on markets which SB firms quote outside normal hours, i.e. forex and the FTSE. Maybe if they are reliable during hours but less so outside them that has something to do with it. I
SuddenDeath
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good morning everyone
Good morning.
My swing chart shows 07/05 as swing hgh but no subsequ
ent swing low as only 2 of the lower range days since then have breached the low of the swing high.
However, it would be possible to view the chart less strictly, with 07/05 as swing high, 14/05 as swing low, 19/05 as swing high. This formation shows a lower second high than 07/05, suggesting the uptrend to that point has been seriously damaged. The option therefore would be to go short on a breach today of yesterday's low, as long as the high holds, with the high itself as the stop. This is appealing as there seems more reward to the short side before support than to the upside before resistance. I will be keeping an eye out for this opportunity later in the day. A breach of yesterday's high would cancel this option: a breach of 4520, prefereably with close above there, would be a long signal.
My swing chart shows 07/05 as swing hgh but no subsequ
ent swing low as only 2 of the lower range days since then have breached the low of the swing high.
However, it would be possible to view the chart less strictly, with 07/05 as swing high, 14/05 as swing low, 19/05 as swing high. This formation shows a lower second high than 07/05, suggesting the uptrend to that point has been seriously damaged. The option therefore would be to go short on a breach today of yesterday's low, as long as the high holds, with the high itself as the stop. This is appealing as there seems more reward to the short side before support than to the upside before resistance. I will be keeping an eye out for this opportunity later in the day. A breach of yesterday's high would cancel this option: a breach of 4520, prefereably with close above there, would be a long signal.
francisfinley
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word
Hi francisfinley - word? Meaning......?
Looking at your blog this might indeed become a H&S but I couldn't easily distinguish the pattern on your chart. In any case, a H&S in an uptrend is just another potential bearish reversal signal but takes a bit longer to form, so is a bit harder to predict - like the weather forecasts really, next 2 days is easy, week after next is a gamble.
Looking at your blog this might indeed become a H&S but I couldn't easily distinguish the pattern on your chart. In any case, a H&S in an uptrend is just another potential bearish reversal signal but takes a bit longer to form, so is a bit harder to predict - like the weather forecasts really, next 2 days is easy, week after next is a gamble.
francisfinley
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word as in wordup word o truth speak dat innit.
or some jazz.
well it is rangebound here 4514 tops down to 4444 support...
might be worth sitting it out till it gets to either one and betting on a breakout..
francisfinley said -
well it is rangebound here 4514 tops down to 4444 support...
might be worth sitting it out till it gets to either one and betting on a breakout..
I agree. Though we breached the 19/05 low it was only by a fraction, price then recovered to formwhat looks like ending up a near-doji pattern, but the US is very bullish. I don't like to go short when New York is going long so I remain in cash until we show a clearer signal - such as break-out through 4520 I do hope.
well it is rangebound here 4514 tops down to 4444 support...
might be worth sitting it out till it gets to either one and betting on a breakout..
I agree. Though we breached the 19/05 low it was only by a fraction, price then recovered to formwhat looks like ending up a near-doji pattern, but the US is very bullish. I don't like to go short when New York is going long so I remain in cash until we show a clearer signal - such as break-out through 4520 I do hope.
