Here’s Where The Edge Is
We’ve talked about the SPY in the past
two Live From TradersWire articles. Some might think that this
repetitiveness is similar to a broken record, but I like to think that this
single-minded focus is an attribute that must be mastered in order to trade the
edge successfully day in, and day out.
It’s not always going to be easy. Sometimes the
setups won’t be there (look at Friday’s column for a quick reference), and at
other times the setup with edge exists, but even with discipline we see only
slight rewards for our efforts (see Monday’s
piece). And just when you’re ready
to throw in the towel, we get another opportunity…
10:42:08
Intraday
Setup Alert
The S&P 500 ETF (SPY)
tested the February Lows (within .10) yesterday afternoon. Today’s price
action is developing a potential 1,2,3 buy side reversal off of these levels.
The 1 and 2 Points using the extended chart are in place, as the 3 Point looks
to setup. The ETF is up .06 at 81.39.
11:05:11
Intraday Update
The S&P 500 ETF (SPY)
has now broken the February Lows. We still have a potential 1,2,3 setting up
as we wait for a 3 Point confirmation. The SPY is down .50 at 80.82.
…and then in the TradingMarkets
chat room we put in the finishing touch on this alert by posting an entry to
go long above 80.97 off the 1,2,3 that was then established.
We might be located in Los Angeles, but glitz and
glamour are nowhere to be found in our trading. Only opportunities to
“chisel” away in order to establish consistent trading profits using a
well-conceived trading plan. So far today’s single-minded focus off of price
patterns and technical supports has added close to .50 on the first part of our
“masterpiece” that we continue to work on. How will it look when it’s finished? I don’t know if it’s going to be my best one to date, but I’m sure
it will be something I can continue to live with for a long time.