BS"D

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

Good morning and a good week,

Friday was a Plunge Slide, overall sideways, Volumeless trading day. Our
Pivot Point levels sequentially influenced Price Action throughout the day,
so we profited OK all the way down from R1 to S2.

[SNIP]

Enjoy and be well,

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Pivot Magic Trading
First rule:
"Any time you don't know what is happening, get out!"
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E-mini ES H0
Friday March 19, 2010

Gap up at the R1, Friday opens with an Anomaly (Overnight, bottom left chart) 2-bar Signal. No room
to enter before entering the "green fog" Ambush Zone. We wait.

2 = DVS (pink arrow) drives a nice 123 Continuation "S" Signal off the underside of the Close, to
exit the fog, and cross below the Pivot, pulling us in. Initial stop advances above the Pivot.

A = Second healthy red candle closes below the HighW. Per PMT stop rules, move the profit-locking
stop above the HighW.

B = Large red candle through the S1. Stop rules say to move the profit-locking stop above the S1.

BTW, this is also a 123 Continuation Signal. We take the entry opportunity to add contracts.

C = Large red inverted (Bull) Dragonfly. Per our rules, move the profit-locking stop above the high
of the candle. Elongated top wick warns of waning Momentum.

Next candle tapes a mid-air Reversal Signal. Our stop will get hit even by a failed test of S1.

Obviously, many of us jump immediately as the signal forms (+/- 3 points). With such low trading
interest, advanced experienced PMT Readers of the Tape are well-assured that it is safe (and may be
very profitable) to wait for the first sign of red on the next candle to Exit Now!

None tapes! A bit later the MA holds, and so do we.

D = Failed test of MA. Per our stop rules, move the profit-locking stop above the MA.

E = DVS (pink arrow) pumps a large red candle, which spikes through the S2 and slams to a halt.
Place a stop above the high of the candle. Uese a mental stop in case the Price Action rebounds.

F = Even if we stretch it and call this a large red candle, with lunchtime drift upon us very soon,
there is not much percentage in anticipating the move to continue below the S2 Extreme. Just the
opposite, a Twin Towers Volume pattern (pink arrow) indicates a stall/sag/retest is coming next.
No choice but to Exit Now! +/- 7 points

Volume dies as the BBs head out to dring TGIF lunch, and Price Action turns sideways atop the S2.

When no late afternoon plan is forthcoming from the BBs, who instead stay away at the TGIF party,
we shut down a bit early.

Only the Price Action dip/trap to set up the classic "V" check mark shape makes this EOD Hiccup
(plum lines) of sufficient range to even annotate.

PERSPECTIVE
(Daily, bottom right chart)

The healthy red day candle Friday completes a Doji Sandwich Reversal Signal.
One red candle is not enough for me to finally say, "I told you so!"
Nonetheless, a Bear collapse/Retracement IS again indicated on the tape.

REMEMBER: Trade the Tape, Not my Prognostics!

Asher
=] ;-)>

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

Friday's PMT Chart: