BS"D

Good morning,

Wednesday was one long climb, Pivot Point to Pivot Point from S1 to R2
(stalling exactly at the R1 Pivot Point in the middle).

On the risk-conservative side, the mid-move swings and stalls shook us
out, but we did take a bite or two first.

Should be fun on Thursday!

******************************

E-mini ES H0
Wednesday January 13, 2009

1 = Morning session opens with an Anomaly (Overnight, bottom left chart) at the Close. The move doesn't
materialize so we don't need to get philosophical about entering off the Close.

2 = A 123 Continuation of the Close encounters the Pivot.

A = The breakout from = 2 is a 2-candle 123 of the Pivot. Enter aggressively with initial stop above the Pivot.

B = Large red candle. Per PMT stop rules, move the profit-locking stop above the high of the candle.

Small exhaustion gap and a red, inverted (Bull) Dragonfly both warn that certainly the move has insufficient
Momentum to clear the S1. Change to a Mental stop and prepare for a Pivot Scalp Exit.

Doji with long bottom wick tells us to Exit Now! on the first sign of white. +/- 1.75 points

3 = Might like to consider a Reversal, but the Price Window to the (always considered proven) Pivot is too tight
to enter.

4 = Volume kicks in (pink arrow), implying that this double 123 through the Pivot/Close will likely have the
oomph to make it to the R1 during early lunchtime. Aggressive entry is permissible, or on the next candle,
if not.

C = Price Action has slowed/stalled. This is a nice place to apply the PMT Scalp Trading pre-emptive 3-5 Stop
technique. Move the profit-locking stop to "free trade".

D = What the heck is that (pink arrow, DVS plus)?!?

Large white candle puts the position in PMT Maximum Profit Giveback (MPG) violation. Momentum is likely exhausted,
so gladly place a mental stop at Giveback Level. Don't feel committed to giving it all back though! Prepare for
Pivot Scalp exit.

Next candle taps on the R1, and we are instantly out! +/- 3 points

Volume dies, and lunchtime drift skittles along the R1 till late afternoon.

Volume never does resume, but Price Action somehow manages to drift up to the R2.

EOD Hiccup (plum lines) is on time, properly "V" shaped, but not overly dynamic.

PERSPECTIVE
(Daily, bottom right chart)

Wednesday's large white day candle was not the Bear assault on the new
LT Trend Floor (green dashed channel lines) that we expected, but rather
taped a gentle test of that Ceiling. Nonetheless, Price Action remained
in the middle of the larger time frame LT Trend Channel (green channel
lines).

REMEMBER: Trade the Tape, Not my Prognostics!

Asher
=] ;-)>

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

Wednesday's PMT Chart: