Started the day right with a bowl of Cap’n Crunch and cup of coffee. With that great run to the upside I was looking to exploit it every way possible. When it pivoted high and started to test the same highs I started to expect some consolidation before a continuation.
In the past I had found myself afraid of jumping in for fear that it might be a sign of slowdown but as I’ve learned you trade with the trend and with that type of directional energy there’s no real sign of it heading south just yet and as Nikolai would tell me, “keep positive”. When it started to consolidate back and forth I decided to enter every single time with my target being the resistance. It finally pulled down and started to show some pressure down so I stepped out for -.5 and waited to see what it was going to do.
With a change in direction I started to trade the trend down with short targets because of the major move to the upside until I saw something convincing. When it failed to pivot back up at 11:30 after my loss I started to question my theory on in jumping back to the upside. When it failed to the downside again I gave it another chance for a long with zero risk. When it pulled back I knew it wasn’t going to make the continuation… at least not yet.
I jumped on the short to the downside with it made a deeper low with strength and took a little loss for an aggressive mistake to the upside. Just reminder to take my own medicine and “trade with the trend”. After the mistake a cleaned up my act and took a pro trade and unfortunately missed the trade of the day to the long side when I pulled out a little early. I took one more point and called it a day. Long day with a good lesson.