New Plan for Freaky Friday, Aug 17, 2007

Helicopter Ben and the PPT to the rescue ...... again.

Read Full Post.....
Ok, forget about anything that I said yesterday.
Nothing I said yesterday will apply to today's market action.

I'm not sure how to deal with monster gap ups created by the PPT. ES gapped up above 5 key resistance levels as soon as Helicopter Ben laid the smackdown on the markets with the 50basis point drop of the Fed Funds rate. Premarket has fortunately settled down a bit more, and is now "only" +28pts above yesterday's close (as I type). Premarket range was from 1400 up to 1470, for a nice +70pt range. I wonder what Dr. Brett has to say about that.


But I know it will be volatile today, on the way and up and down. The best plan is to keep things simple. I will put on my scalping hat.

2pt targets, 2pt stops. I learned this from MNT. Wait for a trend to clearly establish itself, and enter off the 23.6% Fib RT. Or, if I am alert enough, wait for a break of trend, or a reversal off a confirmed double bottom/double top. This will probably mean letting the first run go just to get a feel for things. Hopefully the first run is not the best run for the day.

I attempt to post my trades live on Wallstreak.