Not Back To The Future Yet

It’s been a rather interesting session thus far and I have been pretty prolific today offering some updates on playing the spoos. My entry was 1399 as most of you are probably aware of since I announced it all over the place. We dropped all the way to 1384 but have since recovered ten handles (as of this writing). Here’s where and why we bounced:

As you can see – right at the big volume hole near 1388. And we need to get below 1388 for the ole’ Flux Capacitor to kick in. We were about to pass over but we must have hit some inter-dimensional hurdle (Fed cough cough) and some emergency buyers showed up.

So if you saw this coming – why did I not scale out near 1388? Simple – because this is not the trade I’m looking for and if I jump in/out too often I’ll get left behind if we paint a big move. Has happened to me back in the day and I learned my lesson since. This is not a normal scalp, which is why I’m approaching it differently. Anyway, my stop is now above VWAP and I’m either getting stopped out near 1397 or I get to target (which is quite a bit lower).

The good news actually is that the volume hole was observed. This means that we will be able to use it in the future if we come down for a visit again. Until this happens I am however neutral until ES 1400. Depending on the close I may try another short or go long if we push above it.

In terms of setups I have very little to offer today, so let’s just get it over with. The USD/CAD is back above the 100-day after testing its 25-day (now you know why I use these things). I want to be short until I get stopped out above that diagonal on the daily. If that happens I’ll flip for a long. Sheesh – a bit too much work and gyrations this week – not my favorite tape, this. I’m pretty ecstatic about the elections finally being behind us.

EUR/AUD approaching support on the daily. I’m waiting for a breach of the 25-hour now to get long. Not interested in a short position unless we drop below the 100-day.

That’s it for today, folks. I’m going back to coding – doing some work on the NinjaTrader based Mole system again. If anything exciting happens I’ll chime in via Google+ or Twitter.

Cheers,