BS"D

Using the same Pivot Point trading plan that the BBs used, on Thursday
we got a single decent bite out of the climb portion of the slide-surge,
lull-market formation we have been observing for some days. Our PMT
Money Management rules kept us from the need to SCRATCH! (or worse,
take a loss) on Thursday.

TGIF!!!

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DAILY PIVOT MAGIC TRADING JOURNAL - EXCERPT
********************************************

E-mini
Thursday October 22, 2009

Morning session opens at the Close, just outside the LT Sideways (SW) Channel (Daily, bottom chart, red channel
lines). Following a dip through yesterday's Low, Price Action goes into "slide" mode in the "green fog" Ambush
Zone", intermittently testing the Historical S/R at the LT SW Channel Floor (red line).

1 = Late in the morning, the tape displays a couple of Bear "P" Signals at the Close. Neither is overly inviting,
and neither proves.

2 = Mid-lunch, the tape even presents a Bull signal, which is (of course) without Volume confirmation. Once again
we read nothing at all inviting to PMTers.

3 = With no PMT acceptable Price Window to the Pivot, even as Volume surges (pink arrow) the Doji Sandwich at the
red line leaves us sitting on our funds.

4 = Finally! A 2-candle 123 through the Pivot on continuing high Volume (pink arrow) pulls us in aggressively.
Initial stop advances under the Pivot, for well-controlled At Risk.

A = Large white candle. Our stop placement rules leave the stop right where it already is.

NOTE: Having learned our lesson about traps yesterday, I personally
would elect (PMT is, after all, a discretionary trading methodology)
to move the profit-locking stop to "free trade"
(good ole risk-conservative me!)

B = Large, white, inverted (Bear) Dragonfly spikes through the Mid. Per PMT stop rules, move the profit-locking
stop under the low of the candle. The elongated top wick is worrisome. Anticipating Momentum exhaustion, use a
mental stop for ease of exit (no need for cumbersome Cancel-Replace orders).

C = Large white candle through the Mid. Per our rules, move the profit-locking stop under the Mid.

D = A Doji pair of Black Volume Bars of Death (pink arrow) warn us to prepare to exit on red.

E = DVS (pink arrow, obviously the final expenditure of Momentum) drives a large white candle. Our stop rules
suggest moving the profit-locking stop under the low of the candle.

Prepared as we are, the instant the next (red Marubozu) candle retraces >62% of = E (a mid-air Reversal, one of
our PMT Exit Now! Signals) we fired off our exit order. +/- 3.50 points Not a very big bite, but at least we eat tonight!

Price Action does not reverse as anticipated, but rather only stalls before bouncing off MA Support and resuming
the climb, testing, or almost testing, the LT SW Channel Ceiling (red line, placement of the SW Channel boundaries
is always a toughie - whether to consider candle highs and lows, or opens and closes of candle bodies).

Although a bit early, EOD Hiccup (plum lines) takes on the classic "V" check mark form. Day session closes atop
the MA.

PERSPECTIVE
(Daily, bottom chart)
Again on Thursday, the large (white this time) Day candle, remained mostly
inside the LT SW Channel (red channel lines). The BBs continued with the
market-lull format that we have been discussing all week
(sideways-run/run-sideways).

This time the Day session was comprised of a slide-surge, as, in order to
squeeze out a few bucks in a non-committal sideways market, the BBs again
drove the market around inside the LT SW Channel. Luckily for us, we use
the same Pivot Point trading plan they use!

REMEMBER: Trade the Tape, Not my Prognostics!

Asher
=] ;-)>

Pivot Point Daytrading Course
http://www.tradingthingys.com/PMTJ/Commodity%20Day%20Trading.html

Thursday's PMT Chart: