DOW - PA, Stops and hedging

will post some charts after the NYSE close
I have closed the shorts, as the news event did not have a bigger impact, and on FRI PA can drift away in ether direction, so have decided not to participate, take the profits and do other things, first marina now some reading and study.

It is important for me to get out if things that are not working as I thought they otherwise might have done.

Long on DOW 38430 and 38450
top of historic intersession gap, into the gap to the last session close

taking profits at 562 (+132 , + 112 - on declared positions on this journal)

taking longs on dow , mindful of TFs alignment
All longs closed at round number 38700, M5 poss rotation to the downside, and an R zone printed on M30, M15and M5, so a longer break for me on cards.
Over all a very good day with the move down at the NYSE open, and a well marked rotation to the upside.

DOW is trying symmetrical 1 to 1 move up
struggling a bit - we shall see
1.5 hrs left on NYSE session so enough time to get there 38833 1 to 1 upper zone, 38873 - last session close, D pivot 38793

longs covered 38750
done for the day

dump and pump session
gaps create zones which act as magnet and S/R depending on where the PA takes place
today's NYSE session started with a good move south in agreement with Daily, H4 and M30, then PA provided a good opportunities to go long, after closing longs, at the upper zone of the intersession gap and in a good place in relation to the WRB, penetrating it to the region of Fib Ret of 50%

Combination of VSA, followed by the WRB, with Fib Retracements of that WRB, session gaps, gap to the last session close, pivots and TFs alignments provided reasonable entries and exits for profitable trades.
It is the confluence of things I observe that provide me with the determination to take the trades, it is not easy but it is profitable.

Chart below for your perusal and may be for some more in depths study.

Get ready for the fireworks for the CPI day and FOMC stuff
expecting some big moves
looks like a good set up for pump and dump, dump when it comes might be severe, do not get caught without a hard SL
There is an argument that the higher interest rates take a long time to filter in to cause a more meaningful slowdown (recession), it remains to be seen how market will interpret today's FOMC evets. It looks the data will be bad, but it might be not bad enough, and so on. One needs to be very vigilant. There will be vast amount of profits made, and a few, or many casualties of badly disciplined participants.

https://www.theepochtimes.com/articl...z6HYfAZXa5vZln
It has been going for longer than one thinks, undermining over all economy ant trust in data reporting.
Those that have ears and eyes close to the ground (reality) are in position to take advantage of these hoax arrangements, and make allocation of profits in contradistinction to the popular and easy to gain "opinions" provided by the fake media. Retail traders have to follow the market's moves and be happy with what we get.

pump and dump
Gaps provided good insight for the NYSE session and beyond
There are things worthy to consider about gaps, which fortunately are in good supply trading DOW
Gaps act as a magnets, and repulsion (S/R), depending where the price is.



Session closing level is important to me. At times I put MOs x amount of points above that price for long, and that similar for shorts, with the SL on the other side of that zone. I have used that approach when I have traded forex, taking NYSE close to create that zone, not it come automatically, so the trades are MOs often set both directions with with a reasonable PT set in concrete. That is yet another advantage of marking session closing levels.
An illustration of NYSE closing level, +20/-20 points both ways, let it work while sleeping/ sailing, cycling.
I have been using that arrangements for a long time, and over all it does produce profits which are larger that losses.

This approach is useful, and one needs to take a limitation of pre-open NYSE scope for the move to create a gap. or gaps. So in that context on this occasion am happy with over a 100 points in profit.
Important to follow a relation of number of points to the %tage number of the given move, rather that just rely on the amount of points.

PA still within the WRB, well below the last session close,PA sitting in the upper zone of the Intersession Gap

closed longs from the top of the gap over 200points profit on that principal (first long position)
Down from the last session close to the magnetic gap 300 + points (Gap as magnet)
Up from the Gap upper limit 200+ points (Gap as S)
That is since the NYSE open
I have added +/- 20points to the NYSE close, though any other amount of points can be added on both sides. These numbers might slightly off as MT4 misses few points and one needs to add spreads, but for providing some guidance it is best I am able to come up with.
Also added stochs to the window that compounded session volume is displayed on M30, I have that same stochs displayed on other M30 charts on other computer, but post only from this one

TOP Left H4, Top Right H1
Bottom Left M1 Bottom Right M15

Preparation for tomorrow

Get ready for tomorrow's session
Today has provided good entries in both directions
Get a plan and trade in agreement with your particular strategy

Let PA on shorter TFs confirm your plan, than just go without hesitation, if wrong loose a bit and go again!

I use other TFs but no point to post them now. The way I use these short TFs has been described well in this journal.
Good trades to all

DOW short entry this morning from the last session close towards the gap (magnet) below
M30 with stochs agreeing with H4


Chart below lower TF in relation to M30
Taken profit as the M1 PA hit the area of the bottom of fibs band and M5 started to indicate the possibility of rotation to the upside
profit on the initial position just below 150 points, not including added positions
That is enough for me as I need to be away.
Preparation paid well, time to do other things.

I try not to go against M30 alignment
Covered shorts on news release, 80 points in a few minutes

The whole zone of a gap act as S/R, not just its extremes, that generally applies to gaps in PA, please check it on internet foe your own benefit

MTF perspective, Move to partially close the gap, then sharp move down (M1) from hitting the Fib upper band, that happens on a very regular bases.
TF well aligned and in play for the move south in the region of the lower Fib Band on M1
Good trades to all I am done for a while. and ... more

Have missed the long setup for DOW,
Away from the gap zone into the direction to the other gap zone
Bounced from the projected ADR. have not been at my trading desk, and even if I have been there I might not have been focused well enough to catch that
That is ok with me

The move to the last session close from the middle of the intersession gap, this gap acted firmly as a magnet, when the price has been above it, then as repulse when PA pivoted to the upside from the middle of the gap - the whole body of a gap acts as S/R.
Once again the PA has favoured the move to close the gap to the last session close, the important type of gap when trading DOW or any other indice,
the intersession historic gaps also provided additional insight/s
M30 is a very important TF for the way I trade, I have added Stochastic together with the MA5, aligned with the setup of stochastics, so one can study this particular interaction. I have chosen not to go against that MA5 and Stochastic on M30, I have tested it on many occasions ans have had to rescue trades or take permissive losses. I have paid my tuition fees in regards of that, that is one of the very best way to learn. The fact that I try hard not to go against it does not mean that automatically I will go with it.

Triple witching Friday is coming, usually very volatile week ahead, there are some well ingrained reasons for market going both ways, including the staying higher for longer mantra coming from the FED

DOW M30, London open, Shorts from Fri NYSE close to the magnet gap below, M30 in play
NYSE open divergence and long from the gap up to the last session close, than to the D Pivot

I am not trading on June 19th.
The Fri 21st June triple witching Friday.
I am away for the rest of the month on boating break, so not trading.

Chart below is the M30 NYSE sessions with one of the usual setups that I use,
Have added stochastics set to 5,3,3 so you can have a look.
There are two stochastics set up, the top one is a standard slow stochastics, and one in the middle window is a pipware-stochastiks, so one can compare.
The yellow MA5 is set so one can observe interaction of stochastics set to 5,3,3 with that MA5, I find that interaction helpful, trend is always more important, as the stochastic's 5,3,3 setup is a very volatile, therefore I am using MTFs analysis.
I would recommend further studies on the subject.