Dow

The level of the trend line has obviously changed from the previous level i wrote about.
The trend line now stands at 13024

Now comes the hard choice.
I normally use 40 points stop but for this particular trade im gonna have no choice but to move the stop 100 points away from my entry..Why??

Theres a real strong support level below the trend line that needs to be respected.
Theres a few strong levels together. This does not happen that often on the dow so hense why i have to break my golden rule with regards to the stop loss.
The levels im on about are
12980,,and the 200ma at 12975



dl.dropbox.com/u/4899609/dow26thoct.png

dyor
remo

Hi Ocean10
The problem i have about entering out of hours stems from the past.
Even thou i get them right i found that my stops get taken out far to many times out of market hours,especially when it comes to entries out of market hours. It can get very volatile and i always use stops and that volatility messes with my stops . Hence why i dont place my trades out of market hours. I only ever use market hour charts.
It does not fit with my own system .Every one to there own. If i was to trade out of hours then i would have to place my stops miles away and i hate doing that. With the dow i always give it 40 points stop,if i was to consider trading out of hours then i would place the stops over 100 points which messes with my risk to reward ratio.
hope that makes sense.
Ive also noticed my entries getting hit perfectly and it sure does wind me up.lol

Hi ocean 10,

I think that's fair comment but it's best left as an each to their own thing imho. What I won't do is enter a position near to the close of day and if I entered much earlier but the price is still near entry level then I'll close it out regardless.

I actually have the Dow bouncing off trendline yesterday but didn't enter, however with last night's out of hours low one of my orders would have been opened had I not deleted them (I never leave open orders overnight on indices). Instead, I did what you're suggesting and opened my Dow longs first thing this morning because so many FX pairs were also at support or resistance.

I think there's a lot of merit in your suggestion as long as the criteria are right.

Hi Remo,
You often make VERY good call on entering the DOW regardless whether it's a long or short position (as below) for during market hours only. On a few occasions I have noticed that these targets get met outside of trading hours and the opportunity does not arise during trading hours.
For example - " my longs are placed at 13000 on first attempt only and during market hours
very strong support so should bounce on first attempt ". Given that indices are often correlated and influenced by forex market would it be worth considering taking the position even outside of market hours.

Please note that I am not challenging your judgement/trading style or strategies, it's just aa observation I have made and would appreciate your opinion on the comment made. Thank you.

my longs are placed at 13000 on first attempt only and during market hours
very strong support so should bounce on first attempt

dyor
remo

Anyone looking at the 12977 to 13024 area for the Dow? Seems to be a fair amount of support in there...

dl.dropbox.com/u/20815047/Dowdaily23_10_12.gif