BS"D

Daytrading Course
Learn to Read the Tape
Exploit Pit Pivot Points
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PIVOT MAGIC TRADING JOURNAL - EXCERPT

Good morning,

Finally, a bit of trading range, reliable Volume indicators,
and a nice chunk of profit too!

TGIF!!!

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E-mini
Thursday June 25, 2009

Morning session opens gap-down with a large white Bull Dragonfly completing a 123 off the S1 (Overnight, bottom
left chart). Sorry, we've no provision for a 123 Anomaly.

2 = Nice 2-candle 123 continuation of the Pivot. High Volume (pink arrow) and early exit from the "green fog"
make this eligible for aggressive entry. Initial stop advances under the Pivot.

A = Large white candle through the 62% Fib Retracement level (dashed pink line). Creative rule: Move the
profit-locking stop under the 62% Fib Retracement level.

B = No room for arrows. Large white candles. Per our PMT stop rules, successively move the profit-locking stop
under the lows of the candles as they complete.

C = Large white candle through the LowW. PMT stop rules say to move the profit-locking stop under the LowW.
Stopped out sometime in the next few candles. +/- 3.25 points

3 = Doji Sandwich with a red Bull Dragonfly kickoff candle. That's a "P" Signal behind the MA, which is an PMT
"S" Signal.

D = Entry, as the large white candle crosses above the MA.

E = Large white Marubozu (full-bodied candle without wicks) blasts through the LowW. Per our stop rules, move
the profit-locking stop under the LowW.

F = Volume is building (lavender line). Large white candle. Normal stop placement will leave the position in
violation of Pivot Magic Trading Maximum Profit Giveback (MPG) rules. Mental stop at Giveback level.

G = DVS pumps a large white candle through the R1. Per our stop placement rules, briskly move the profit-locking
stop under the R1.

H = Three large white candles in a row. Sequentially, move the profit tighter under the lows of the first 2
candles.

The first completes a 123 test of R1 Resistance-turned-Support, an opportunity to add more contracts (or,
considering the Volume, even to enter from the sidelines).

The third candle crosses the 50% Fib Retracement level (pink dotted line). Use that as an initiation to move
the profit-locking stop under the 50% Fib.

J = A late-in-the-move DVS (pink arrow) is a sure-fire indicator of failing Momentum. This time the Volume burst
drives a desperate stretch (large white candle) to tap on the R2.

Happily, the position is also in MPG violation, so we employ a mental stop at Giveback level. I say "happily" due
to the added flexibility (no need for Cancel-Replace maneuver) in case a Pivot Scalp Exit becomes necessary
(highly likely).

K = Black Volume Bar of Death (pink arrow) spikes through the R2. Prepare to exit on red. Next candle spikes
through the R2, retracts and shows red. +/- 9.75 points

[SNIP]

EOD Hiccup is right on time, and it assumes the classic "V" check mark shape (plum lines).

PERSPECTIVE
(Daily, bottom right chart)

Price Action is still in the middle of the LT Trend Channel mirror channel (dotted
green line), and is struggling with the Fib 50% and 62% decision levels.

Nothing much to add, except, BEWARE OF TRAPS ON FRIDAY!

REMEMBER: Trade the Tape, Not my Prognostics!
Asher
=] ;-)>

How to Read the Tape Course

http://www.tradingthingys.com/PMTJ/Commodity%20Day%20Trading.html

Thursday's PMT Chart: