09/20/2013 Live Update

[fehro]

SPX 60m

[Cobra]

volume surge, biggest bar, so might see rebound here first which likely would be sold later.

[fehro]

SPX 5m

[Cobra]

members only update at 12:45 pm
http://www.cobrasmarketview.com/2013/09 ... ay-update/

[Cobra]

bull needs exceed tinted area to see light on the other side of tunnel.

[Cobra]

this rebound shall have small legs.

[JFR]

I don't correlate the news and the interactions between the markets as much as I should. I mostly go with my signals, especially for day trading. I also use fundamentals for longer term stuff.

So when I got a chance to look at the markets just now, for the first time in about 7 hours, sleeping late, I see SPY down a lot today, after shooting up on Wednesday.

I am guessing these are reactions to the Fed? Shock and aftershock?

[MrMiyagi]

spy

[fehro]

VIX 15m.. possible invs H&S forming here if a lower low holds. On the daily the VIX has a hammer candle... but we have hours to go so that could change...

[taggard]

Al Brooks stuff--

a friend is interested in trading he has problems with text but is fine with audio and pattern stuff. So took a look at brooks site. for 100 bux a month you can buy a "webinar" link which shows more or brooks in real time commenting on stuff. while he does not directly define his trades often you can figure them out if you know how he thinks--sometimes tone of voice. But on balance thinking if you are looking for trade calls i would ignore this. however it is a really decent way to learn how to think and read price action bar by bar.

there is a course for 250 bux which is a very good deal--again slides and videos--so you can avoid the book reading. .

But the course seems to be 27 hours my sense is generally if a beginner watched each section maybe 3 times in very alert manner he could duplicate learning the text in less time. (the point is some people maybe 2x some maybe 5x and in either case some sort of personal integration of the material is going to knock it closer (but still less) than maybe 300 hours on the book and reducing it to say 10-1 page.

as for what the on line real time is like--you can find a sample--it's running commentary of what each bar reads. my personal approach is to use what he sees but in a more feeling way--or a aesthetic manner--more focused on the whole move--yet not ignoring each bar. any time you learn stuff you have to take what works for you and blend it into your approach. so likely you would be different than me--and i would be different than brooks. yet the idea we all are using is related since there is only one 5 min chart price action and we are reading only price action. eg we use a different lens to see the same slide.

bottom line?

(1) if you want to learn how to read detail this stuff is a steal for the price. a beginner could if he is very thoughtful and works hard with this stuff--save maybe 50% of learning time to be a serious trader.
(2) to do this you have to pretty much ignore everything else for while say 1-6 months (so all indicators all news and so on)
(3) brooks does not give trades
(4) personally i think you just blend his ideas into your own--rather than convert to "a system"--but to do this you have to just get what he is saying first (so use child's mind approaching his material)
(5) obviously i am biased towards price action only--but i give it a double thumbs up (price good--material good)

Key hint--learn to listen to the tone of brooks voice--look for the feel of the annotations. so look at how this is coming at you. if you do this you can read him and the material more deeply.
Key hint too--every day on the webinar (so far only in 3 days) there seems to be 1-2 sort of general statements about market action that are just gems. only getting one of these ideas could be a big deal esp for beginners.

good luck with your trades

ps for eggheads there is a dyno rap on "the need for new economics" (George Guilder who is a better thinker than stock picker) which makes a attempt to tie information theory (cybernetics) to economics.

http://www.marketoracle.co.uk/Article42318.html

sample quote--maybe worth considering what this means in terms of learning and trading.

In 1948 a rambunctiously creative engineer, Claude Shannon, from Bell Labs and MIT, translated Godel’s and Turing’s findings into a set of technical concepts for gauging the capacity of communications channels to bear information. Shannon resolved that all information is most essentially surprise. Unless messages are unexpected they do not convey new information.

[Cobra]

revisit the day low, officially I should say key time. however, since the rebound failed to exceed the mini rebound target, (even the current pullback is bought later to exceed the mini rebound target, it's already 2 legged) so I think the selling isn't over yet.

[fehro]

SPX 5m

[JFR]

Some intermarket since Wednesday ...

[fehro]

SPX 15m

[L_T]

Almost all of the Fed pop has been burned off.

[TWT]

$SPX: The odds of a larger pullback are raising #spx #elliottwave

[fehro]

VIX 15m.. mind the open gap

[Cobra]

mm. I think Fib 61.8% mm is possible.

[fehro]

quite the reversals on the miners... GDX/NUGT back to the FED announcement

[MrMiyagi]

171.01$ target hit. That is the pre-FOMC level.