End of day review 5-4-11 Wednesday

Price action review: Ok so today ES sold off a little bit but the day was still balanced. Value was established lower with vpoc shift from 1353.00 down to 1343. Sellers have taken control short term but I think this may be short lived. I’m still looking at this as a PB in a bigger uptrend. And will continue to do so as long as we don’t break below 50% area around 1329 area which is also the big vpoc from the recent balance area. Below that I’m bearish longer term. Otherwise I’m still bullish above on strong support areas.

   For today’s price action we opened below yesterday poc at 1353 and sellers were in control off the open. They pushed down below the open price several times. I had level at 1351-1353 and there was a few opps to sell there but I wasn’t at my computer to take advantage of the great sell opps there. In my morning plan I wanted to sell this area on first touch. ES pushed lower to my next level at 1345.50-1347.50 and with the momentum and the sellers in full control I didn’t want to buy this area so I waited for the break and retrace. The previous day’s lows gave a good level to short at with using a 6 tick stop. The market quickly followed through and we had all the making of a trend down day so I held for lower prices. Market bounced at my next level at 1342-1340 and then sold lower making new lows again. Then we bounced again at same level but made lower high. We had one more flush down breaking IBL and breaking the level finally. I had strong support at 1338 area and this is where the market shut the selling off and where I exited. Came back for a retest with tick and ADD and VB divergence at the 1338 lows and the market bounced back up into vwap and back above the 1342-1340 level and a quick retrace gave a long opp for a push back up into 1345-1347 area level and ON lows. We sold off 4 points to 50 % retrace of move from the lows and bounced back up closing on the day at 1342.50 right at vpoc on the day. The buyers are still active on these pushes down.

Trades review: I had 2 trades today 1^st one was perfect. The second trade I jumped the gun and went short to early. I have to work on my patients when looking to take a trade. I need to let the market show me that is going to make a turn or that the probabilities of it making are turn is increasing. Where I went short at 1345.25 was way too early. Better positioning would have been in the level and after the tick div happened and the rejection on the 5 minute sticks and the 15 min reversal stick lol. A lot of confirmation was there of when to get in. Instead I sold right in front of the area I was watching and had a 8 tick stop and the market went 9 ticks and then reversed. Still happy today and will continue to work on my entrys and timing.