Thursday, September 20, 2007

Not much action

I only setup about 10 or so trades with price alerts but only a couple hit but not much action happened after that. The Q's hit my high of 50.25 but quickly fell and now it looks like that'll be the new high of the day (it's 11:30am PST)


I'm organizing together a master trade book of all my trades, wins/losses, good trades bad trades, notes, psychology notes, market analysis stuff like that. This will help me in developing a personal trading history with what works for me and what doesn't, personal patterns, etc. I spent some time last night creating a cover sheet for my book. I'm getting it laminated today to put on my binder/book. I've been keeping a log for some time now, I'm just taking it to the next step.


I'll update this post with a screen cap of the Q's later at the close. It's pretty much the only chart I've been following today since nothing else is going on.


QQQQ - Candle 7h18m_1m 2007-09-20 122633


I can easily spend all do doing this to all kinds of charts but it's a little time consuming and I have some notes to consolidate. This is a quick shot of the Q's today. The cut off is at 12:30 PST, so everything after that isn't accounted for. I hope you can see what I tried to outline, I can make it full res but I'm sure it blow out your margins since I'm using a 22in wide screen (the reason why my pics might look so big). In case you do what the full picture it's uploaded here.


Now, on to deciphering this mumbo jumbo. The Green boxes represent consolidation which will either determine a significant price move higher or lower. The Blue circles represent key psychological points where, as you can, they tend to be on the same level across the board. As the top circles started getting lower over time the stock eventually started going lower as people weren't feeling the value of the Q's were worth those previous levels. The Red line represents a key pivot point throughout the day. As you can see, the stock is either above it using it as support or below it using it as resistance, they're key points here. The Purple line at the bottom represents the low of the day and how it bounces up and consolidates then goes back up again to just below the mid day levels. Yellow Arrows represent key points in the stock breaking key psychological levels. Big moves happened when these were broke.


This gives you a good glimpse of what I keep an eye out when I'm watching charts in real time. I'm constantly drawing out new levels and key points and I wait for the stock to either confirm that particular levels strength or to confirm it's weakness.


I only did this because I've always wanted to spend some time visualizing what I was thinking about in the past so I can get a full perspective of my thoughts on the day, and because it was a slow day :-)  But since this takes a while, I'll probably only be doing this on trades I actually make.

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