OVERALL CONDITIONS:
TRADES TAKEN
Comments: Today was a strange day - we powered up for close to 20 points in the morning and then completely reversed. I had considered a long at 4142.5 at around 9:40 a.m. but everything was screaming this was going to be a false break out and didn't take it. There was also a pull back at around 10:00 that could have worked but I'm not sure I could have explained why I was taking the trade. The better trade presented itself around 10:33 for a short. the ADD at the time broke down below the trend it had formed and the TICK broke below 0 and held. I will have to keep an eye on this moving forward to see if this is a reliable indicator for a trade. However I did not take that trade.
The first trade I took was around 11:30ish when we got a relief bounce after a 25ish point move down. We found some support on low volume and it appeared that we would continue down. The risk on this was tight which was the high of the last 5minute candle. I took a 2nd shot at it later on which looked a little better after rejecting strongly after breaking the last 5m candle high on good volume. However, the ADD, VOLD, and TICK were all moving up, and once we found significant support at the 4134 level I should have closed for scratch. I held to target which was the 20 EMA and VWAP, as well as the break in formation. Going back I believe I would take this trade again, the only indication not to was what I mentioend in the VOLD/ADD/TICK above. Overall it was a difficult day to trade with missed opportunities. However I am happy that I kept my risk tight and respected my 2 losers in a row rule.