AML - Shorting area

Hi Shotry.

I shorted AML at the time due to the weekly resistance point and the bearish divergence on the RSI. I trusted my view on that, but I did listen to the views of others before making a decision.

I decided at the time I would trade it short term due to it being a first touch basis.

The opportunity has arisen now, imo, for a longer term short - not a long term, but certainly longer than a scalp so to speak.

If you have access to charts - pull up the AML and the DOM group 4H charts and see if you can see a similar pattern.

Hey Clarky, you say that you shorted Dom 'for the same reason', to be honest, I wasn't clear what your reasons for the AML short were? Am in 2 minds on Dom (was short in small way and got stopped at 20point loss), but still think it might be a short, just haven't convinced myself of that so I'm on the sidelines.

So far traded the range but today stuck on a short-medium term short with targets of 409 & 401 based on the following charts.

Also shorted Domino for same reason.

Rossymc wrote: Hi clarky

Yes you did and answered well. Thanks. I've got rid of near enough everything as it contradicts and confuses me. My major tools are the candlesticks themselves.

Ok try this if you dare. Strip your chart and just look for S/R levels. Forget the trend lines. Use a different charts package not to upset our chart set up. Let us know if you do!!!!!

Double dare you
RMc

Ha - believe it or not, price action and S/R levels is the first thing I look at - on absolutely any chart at all. I don't strip the chart, but I do plot my horizontal support and resistances before anything.

Red is current resistance, green is support (blue is usually oblique - but left them out on your say)

Hi clarky

Yes you did and answered well. Thanks. I've got rid of near enough everything as it contradicts and confuses me. My major tools are the candlesticks themselves.

Ok try this if you dare. Strip your chart and just look for S/R levels. Forget the trend lines. Use a different charts package not to upset our chart set up. Let us know if you do!!!!!

Double dare you
RMc

Rossy,

I pay attention to the following indicators, but not much more:

Stochastic, RSI (for divergence mostly), 20sma on all charts (other MA's on other charts, try find best historical fit rather than universally use the same set on every chart),
Bolly bands - great tool for over or under extended price action as well as tightening bolly bands to further back up a potential break out.

I don't look for the "perfect" set up in the sense that EVERYTHING HAS TO line up, so to speak, but I do like at least 3 indicators telling the same story as what I see in the price action. I also like to look at the time-frame above and the time-frame below what I am trading off to make sure they are telling a similar story.

Rossy - did I understand your question?

or was you talking about more specifically to this chart?