Scalping the Mini Dow off the M1 Charts

Back in the market - a glorious morning.

Nice job Jason

I decided to do a video with some commentary for trading this morning. I do these on occasion and it's been a while since I've done one.

Hopefully something good comes out of my ramblings

cheers

Morning folks Hope everyone is doing well.

So - I've moved. Still getting settled in and taking it easy. This morning's trading video:



I've also gotten a few requests about my swing trading and Supply / Demand. I'll post a video about this as soon as I have a chance.

This morning's trading video:

This morning's trading video. I'm still adjusting to being on top of my game at 6:30am each morning (west coast U.S. time).



The key level I was interested in today was the daily lows at 812s. Today, the dow broke to the downside but was trading up inside the prior day's range. Suffice it to say, I was looking for shorts that had potentially gotten trapped shorting the break of those lows to exit near that level. Hence, building a case for the first and 2nd long trades I took.

The actual bounce was off the 800 round number. Add to that a nice big red candle crashing into it, but then rejecting, and it has all the makings of a good long setup (bear trap).

Rocky morning, but always helps when the market is going somewhere.

Keep posting Jason! Your videos are inspirational!

Hey folks,

It's good to be back in the market. This move to CA has proven more than a bit challenging for me - long story. In any case, this morning's trading video:



I hope to be back with commentary etc. as I find the time. Hope everyone is well!

Hi Felix

I like your thread mate, lots of good info on it for OF trading.

I've been at it for a while and like what you do on the YM.

Are you using book and tape aka DOM to fine tune entries and exits or are you predominately on the charts?

Do you watch the rest of the market to try to track sentiment?

Hope you don't mind I included a chart of your video to illustrate stops.

Rgds,
B

Thought we'd lost you there felix! Welcome back!

Thanks man

I use just the charts. I keep a YM chart of the M5, M15 and D1 open off to the side just to have a birds eye view of the market but primarily just staring at the minute chart. The less distraction for me the better.

Great illustration!

Hey matey

OK so your scalping YM on lower TF with reference to structures on higher time frames, that's good but might I recommend you open up a simulator futures account and pull up a DOM of YM and then mark your stops or support and resistance etc etc on higher time frame, say 30m or 1hr then you use your 1m chart to watch for the patterning of the next move and you use the book and tape (dom) to watch for orders to come in 'around' the levels on 1m where you might like to get long or short, this will confirm your suspicions and you will see things differently, trust me I know. Reading the book and tape is an art but you get good at it with practice.
Eventually you spend more time looking at the dom and less time looking at the charts and you use the charts just for points of interest and marking out areas and when price approaches these areas your watching the dom.

Another good idea is to pull up a DOM of the ES (sp500) and you can watch the YM and ES together and you will can sometimes get a heads up on a move, you may also like to have charts of fixed income (ZN 10yr Treasuries) along with Dollar Index or just use the Euro (6E)

I think I probably have enough info there to confuse you for a while lol but if you try this you won't regret it. You'll probably need more than 1 monitor but it's worth the extra information feed. I can't imagine trading without it, it would be like shooting off trades from the hip half blind without the orderbook.

Charts are good and pin bars etc are all good but when you understand why some work and some don't then it gets real good. I think you got that pat down. All that info you got at the beginning of your thread in regards to orderflow is so important and most folk don't see it, it just goes whoosh over their head and they won't pick it up until they are ready to, it just doesn't sink in.

So in a sum, 1m chart aiming into pockets of liquidity that are built using 30m+. You get your sentiment and your themes and you bang away going in those directions and you use the orderbook to do this with, you are also watching the other products to get a feely feel of what's happening. These help contribute to sentiment and direction.

Anyway I'll shut up now, have a good one and if you got any questions feel free to give me a buzz. A good futures chart/dom software is CTS T4 they offer simulator I think. (& before you folk get your panties in a twist no I am not endorsing CTS it's just a clean simple platform and I like using it)

Good luck

Rgds,
VB

This morning's trading video.


Additionally I had a question about trading of May 5, 2015 and so I decided to make a short video with commentary about it:

Thanks VB!

I actually used to use the DOM before but over time I started reading the chart only - but that's just me and what I've felt works for my brain personally. I definitely wouldn't mind it though if you want to post more on this (examples, etc) - there's always more to learn.

Hey mate

I will try to put something together for you when I get some spare time.

Matching book and tape to chart is what I think you need to see by the sounds of it.

Are you a one shot one kill kind of trader or are you in and out all session?

Rgds,
VB

One shot one kill. Basically looking for 2 good trades each morning. Max 4.

This morning's trading video:

Happy Monday, folks.

This morning's trading session was 3 minutes total.

Yes - I screwed up the management of my first trade. Generally when the market fails one side of the range, it gets to the other side. I hesitated on my target, and then was too quick to rack up my stop.

But, any morning that allows you to be in the market for as little time as possible is a great morning.