WHY TRADE GLOBAL CHARTS?

Some choose to trade rth charts, and they have various, valid reasons.  I simply believe the global setting is a better tool for trading.  I also do not accept that there is a gap at the open, that is artificially created with the rth chart.  True gaps are a price difference from open to close between two candles,  the close Friday evening and the open Sunday evening, or any holiday close and next trading open.

The difference can be seen in the interpretation of the U.S. open at 9:30 A.M.  With the rth, you do not see the pattern in the trading that is revealed by the global look.


TODAY:

The market is in a nice descending wedge of "pie" left over from the holiday.  Having difference in which day to take-Friday or Monday- created a lower volume trading day, which can easily be pushed around, or simple sit stagnate.

If the pattern is acceptable, traders will seek longs at the bottom and shorts at the top, while being mindful of potential breakouts.  Using protective stops will help control a  loss if caught by a breakout.

B4 and B6 provide such trades, and was followed by a long at B24 after a trend reversal developed.  The exit was discussed in the room; the logic being we were entering the mid day trading zone which tends to be flat.

A failed BO attempt resulted in a scratched trade with no gain.  The bullish nature of B40-46, combined with a rising EMA, suggested the flat zone would continue the previous trend.  This area, by the way, is the rectangle area referred to in previous post.  It is a sideways PA waiting for a BO.

The final effort was a lower high, and it had the characteristics of our EMA scalp setup.  This set up will be discussed in a later post once it is fully defined.

The after hours market appears to be willing to continue the bullish bias.