We are now counting six consecutive higher highs on the weekly panel and although that is not a reason to dip into short positions I am starting to enjoy seeing the odds swinging back to the selling side. At least on a short term basis we are heading into a correction sometime this month. Timing our entries will be what separates the steel rats from the field mice.

As of right now I’m seeing a juicy short opportunity on a little pop towards ~2091. If stopped out and Zero permitting I will long 1/2R after that and add 1/2R if we breach 2100.

Before we get to the setups here’s a USD/JPY Update. You may have grabbed some longs there with me last [...]

We’ve come quite a long way since the grizzles were ordering party hats and truck loads of Cristal in celebration of the impending August doom & gloom slide into the abyss. Since those lows we have regained some 270 juicy S&P handles and it looks like we’re ready to transition into the annual X-Mas bear hunting season. However, it’s my duty as the crusty bubble bursting host of this digital domain of trading doom to once again caution you to curb your damn enthusiasm.

Why you ask? For if we complete this week in the plus once again then I count six consecutive higher highs. And that means that probabilities start to lean toward a much [...]

It’s all smiles down here at the evil lair as Scalpius is starting to get its groove on and managed to bank over 20R in the past two sessions. I’m still fiddling with the trailing logic but at this point it is outperforming what I’m seeing in historical tape. Reason being is that you can never properly simulate the spread, the offers, the available volume – it has to be done live.  Proper trailing is as much an art as it is science as it needs to consider the momentum of the price action and weigh existing against potential future gains. Yes, you can come up with MFE stats but they can be deceptive because your strategy may not be banking coin consistently [...]

I’m not one to brag but when it comes to enduring extended periods of crappy tape the market Mole has grown to be rather resilient over the years. But the spasmodic gyrations we had to endure of the past six months or so has put things on whole new level. I think the last time I saw random swings even remotely resembling this mess was in 2010 and that was not a happy trading year for many. Even when I back test various strategies that year is usually one that ends up on the flat or negative side.

I’ve watched several of you guys trying to make sense of this woodchipper and I implore you to just let it go. There is simply too much noise and confusion out [...]