BS"D

Good morning,

Plunge Slide - Slide Surge Making Range.
Once again the market is sliding sideways, depressed, in the doldrums.
As we have observed often before, there is no day trading profit for
the BBs in a wary economic, sleepy (small-range) trading period.

To expand tradable range from which to profit, the market makers like
to employ a (early morning or late afternoon) Plunge Slide - Slide
Surge rhythm. Expect to see more of it on the e-mini tape.

Exactly as we projected in yesterday's Daily PMTJournal, PERSPECTIVE
section: " . . . The consecutive string of white day candles just
increased by one, a weak one, for 7 in a row. Feel safe to prepare
for a red candle Tuesday . . . " Yup!

Enjoy and be well,

*********************************************
DAILY PIVOT MAGIC TRADING JOURNAL - EXCERPT
*********************************************
E-mini ES H0
Tuesday February 23,2010

Morning session opens gap-down at the S1, and immediately makes a run up to test the Fibonacci
62% Retracement level/Pivot/Close.

1 = Somewhat indecisive "P" Reversal off the Pivot.

A = DVS (pink arrow), spot on the 10:00 Reversal Time, blasts a breakout candle through the S1,
pulling us in, and diving all the way down to spike the S2.

At the close of the candle, move the profit locking stop to "free trade" and a tik, and easily
weather the S2 stall.

B = The Bull defenses are rather weak, and a second DVS (pink arrow, Twin Towers Volume pattern
indicates a stall/retest is next) drives the Price Action to complete a 123 through the S2.

For those joining the move late, aggressive entry, and moving the stop above the S3 at candle's
end make this an instantly profitable "S" position. We added contracts at breakout, and have
now locked in lots more profits.

C = Volume declines steadily (lavender line), and the indicated stall tapes. Large red inverted
(Bull) Dragonfly. Per PMT stop rules, move the profit-locking stop above the high of the candle.
Mental stop in case.

The elongated bottom wick of the red Bull Dragonfly indicates exhaustion and the small mid-air
2-bar that tapes next combine to warn that a retest is surely coming. That will violate our
stop. Exit Now! +/- 7.25 points

Lunchtime drift is sideway along the under side of S3.

2 = Multi-top Reversal off the S3. Volume perks up (pink arrow, and continues, blue arrow),
supporting the Bear bounce. Either way, beyond the S3 Extreme, during lunchtime drift, the
ulcer to profit ratio of this scenario makes an entry not seem worth the risk. Pass.

Price Action does slide south before again turning sideways to EOD. A slight afternoon updraft
and EOD closes at the S3.

PERSPECTIVE
(Daily, bottom chart)

Tuesday taped the large red candle we expected, testing the
62% Fibonacci above and the 50% Fibonacci below. With a
Reversal Signal, the tape sure looks set up for at least for
a Retracement/breather before assaulting the maze of S/R
levels again.

More likely the depressed market will tend to swing sideways,
Retracing and recovering - always making space (range) for
the market makers to scalp out a day's wages. Historically,
a new Trend Channel may now form, parallel to, but below the
old LT Trend Channel (green lines). Time will tell.

REMEMBER: Trade the Tape, Not my Prognostics!

Asher
=] ;-)>

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

Tuesday's PMT Chart: