The market toppled; found support; the reversion completes.
So, I sure wish I had more time to blog what I see every day. But, I will have to do a lot of these frames in recap form. 🙂 Here is what I have found in the recent ES mini futures for entry points if you are playing the swings. I am not doing as much of the swing trading, but I follow what swing traders are doing to bias my daytrading.
Shown is my usage of dynamic range, a concept designed by Frank Dilernia and Robert Krausz and slightly modified to meet my trading and what I see on a daily basis. They rarely let me down, and this current long off the monthly target was no different. The bars are painted via ClearMethod.
Click the pictures to zoom to see the recent market falling knife.
LEFT Pic: “Last 5 Weeks in ES” as of last night 8/5
* Green Circles= Long entry areas;
* Red Circles = Short entry areas;
* Pink Box = Profit Taking area for me, or short if you are a counter trader.
RIGHT Pic: “Last 5 Days in ES” at close 8/6
Shout out to “blondetrader” who led me to this artful depiction of the market. It is this understanding of range cycles through the time frames that go the extra distance out to look at the market and frame it. It is very hard to frame the edges of the forest when you are in it. This steps you out to look at the whole thing. It is useful for day traders, swing traders, investors that buy and hold, and grandpa. 🙂 It would be nice to feature some traders other than me on this blog, and blondtrader is one of the best candidates, find her on thinkorswim’s traders lounge!
Thanks for reading,
The Virtuoso Trader 
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