The longer trade view is embodied not only in the longer-trade ruleset of I1, which states:
Rule# 4) For longer-term traders:
a) stay long until final peak or until it falls below 9.0, whichever is lower.
b) stay short as long as next peak <3.0.
c) ignore I1 moves lasting less than 1 week or with a swing < .5.
This is in the Intro and Concepts section. According to this ruleset a longer trade will be short until mid-August.
The longer trade is also in the 30-day M/A of I1 which has a rule requiring shorts to wait if the 30-day I1 is above 6.5 until it returns back to (under) 6.5. This occurs today.
So, I got a nice position entry ahead of what should be a big move into August. The entry level was close to the upper envelope of the critical M/A, so I have a short stop-loss. Life is perfect.
Good morning, Steve.
ReplyDeleteHope you had a great holiday weekend and had fun with your travels.
Are you still using 150 EMA on the DJX 1 min chart to calculate critical support and resistance? (The reason I'm asking is that my numbers are coming out a little different than yours.)
Steve, what do you see happening with oil, short term, and through the end of the year?
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