Premarket: We had a no trade day on Monday so today may be a little bit undecided on where to go. 0pivot at 4450.83, +1pivot 4458.42, +2pivot 4469.58, -1pivot 4439.67, -1pivot 4439.67, -2pivot 4432.08. The negative pivot points are more consolidated that the upper ones and we are starting right around VWAP today. We have a level of interest at 4439.5 which was the high back on 6/15. We have to consider still that we are in an ascending channel still which both on the daily and weekly charts rejected near the upper limits of the ascending channel. Interestingly the volume for the past few months has been less than normal on this green move. Other levels of interest are 4448 which we topped out this premarket, and the -2pivot (4432) where we bounced in the premarket.
Trade 1: This was a stab at the open for a rejection off of VWAP. We had bounced rather strong on the premarket low/-2pivot but I was thinking we possibly got a rejection at VWAP/-1pivot. I had a very tight stop of this at the 20 EMA which was only 1-1.5 pts above my entry and I got tagged out on it. I don't think this is a terrible trade, however based on the strength of the bounce off the bottom It was not a high probability trade and I should have likely taken this with smaller size.
Trade 2: This was a short continuous trade, we had broken below the prior resistance level and found very weak support and low volume. I got in right below the -2pivot looking for a continuation move down. The MNQ was also below VWAP and holding below. This spiked and unfortunately I had to get out of the trade.
Trade 3: This was the same trade as above but we had such weak buying pressure, there was no volume on the green candles, so I decided to take it again when we moved below the -2pivot again. I got the move fairly quicky on this one and had a big move to the downside. I guess the lesson would be to either give my trades more room to work, or be more patient for the trade to the develop. Although if I didn't take this trade quickly it would have gone without me. This move did continue to go another 10 points below where I took my profits however. I think if I was not trading from the red I could have taken 3 at my 10 pt exit level, and then let the last 1 ride. However trading from the red did affect me so I took profit o n the first 2 fairly quickly.