TARGETS AND ELEMENTS EQUAL PROFITS

TODAY:


[07:25] <Chartmaster> at 1345 es becomes a bullish mkt we had 1 test in the euro zone open would expect us open to test again

[09:27] <Chartmaster> ES 5m bo targets 38.5-34.25 resist 41.5 and 44.5-44.75 bo 45 turns mkt bullish http://screencast.com/t/leeEit6W1C

ES received our first alert.  As we have indicated numerous times, the first attempt is aggressive and you should allow for a possible failure. Had b2 gone green, a long would be considered above the target.

We did like the TL pullback and entered at 37.5 with a partial 38.5 exit followed by a stop out at +1.

The 6E received the second alert as price probed the lower target.  Traders had entered short when two elements failed- the EMA and the TL.  If we have more that one element that price is breaking or rejecting, we have a higher confidence for the trade.  B6 BO netted +10 and a +12 on the stop.  The pullback to the target- a market validation test of the target, provided an additional opportunity for Euro shorts.

[10:38] <Chartmaster> 6e at 4252 30 below bo target

[10:52] <Chartmaster> 6e paying big now nearly +40 from bo more if you took the tl and ema failure. es continues weak as new tl's develop 1335 key support level potential for db h&s variation http://screencast.com/t/KsiApzAuw

[10:55] <Chartmaster> let it run.. es long (link deleted showed orders)
[10:57] * Chartmaster ----[ covers part @ 37.75 +2]----
[11:00] <Chartmaster> stp to 37.5
[11:03] * Chartmaster ----[ covers bal @ es 38.5 out +2.75]----

[11:08] <Chartmaster> alert es 3 attempts to bo upper target feel bulls will try again for mid upper 40's

[11:16] <Chartmaster> es longs entering at 38

With the ES holding at a new TL, we added to the long hold to improve our position.

[11:46] <Chartmaster> es avg back to ema

This worked nicely, with exit at 39 (+1.5) and 40.5 (+3),and balance stop out +3.

Out just in time for the 6E alert.  A break above the lower target would be a bullish move.  Traders followed the suggestion and logged 10+ gains.  6e followed the EMA and developed a  new bullish TL. 

 TL, EMA, Target.  Three elements spell confidence in the trade.  If you missed the first alert on the bull beak, there was opportunity with the converging break.

[12:45] <Chartmaster> alert 6e target TL EMA converging

Traders took 1.4290 to the upper target, 1.4340.  Another nice day.