BS"D

DAILY PIVOT MAGIC TRADING JOURNAL - EXCERPT

Good morning,

We finally got a bit of range on Tuesday. Price Action ran from
Pivot Point to Pivot Point, and we took almost the full the ride!

Hope there's some juice left for Wednesday!

Enjoy and be well,

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

E-mini ES U0
Tuesday August 17, 2010

Morning session opens gap-up at the R1.

1 = A 2-bar "P" Signal off the R1 gets our attention.

A = Move takes off in time, but we hesitate due to low Volume.

B = Volume comes to life (pink arrow), and we jump in, with our initial stop advancing under the MA.

C = Large white candle. Per PMT stop rules, move the profit-locking stop under the low of the candle.

D = Gap and Spinning Top stalls at the R2. Volume is still healthy, so use my convention and jump the
profit-locking stop safely into the gap.

E = Large white candle through the R2. Per our stop rules, move the profit-locking stop under the R2.

BTW: This is a 2-candle 123 and an opportunity to add contracts.

F = Late-in-the-move DVS (pink arrow) blasts a large red candle into Pivot Magic Trading Maximum Profit
Giveback jeopardy. Mental stop at Giveback Level.

G = Price Action stalls and scoots sideways to a failed test of MA. Our stop rules say to move the
profit-locking stop under the MA.

H = Exhaustion gap, small white candle stalls at the R3 Resistance, Twin Tower DVS pattern (pink arrow)
says stall/sag/retracement is next. Not a very hard decision. Exit Now! +/- 8.75 points

Volume dies, and lunchtime sideways drift ensues, first under, then atop, the R3.

EOD Hiccup (plum lines) is a drop early, but tapes the classic "V" check mark pattern off the R3 and
dives to close at the R2.

PERSPECTIVE
(Daily, bottom chart)

Somewhat surprisingly large white day candle on Tuesday.
Elongated top wick leaves us with a mixed message.
Nevertheless, note that a LT trend channel (green channel
lines) may have just formed.

At least it wasn't more bad news!

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: