DJ 30 Chart breaking through Important Resistance

Check my new chart, In my post on Feb 4, the DJ chart showed EMA(72) acting as a solid resistance for swing trading point of view. On 24th April DJ 30 Index pierced through EMA(72), which shows a positive sign of market improving for swing traders, If index continue to go up chances of touching back to EMA(72)in short term is very high before bouncing back from this EMA(72) level.

Video - Mark Douglas - Mind Over Market



The following webpage plays a great Wizetrade TV video interview with Mark Douglas, discussing the probabilistic nature of the markets and the mindset challenges that prevent many of us from achieving consistent results.

Video is 54 minutes long, but worth to watch if you interested in learning mental chellenges in trading market.

General Motors Corp., and ongoing uncertainty about the financial system and DJ

My DJ chart posted few weeks before showed the support @ 7200 which is now broken and DJ now is at 6673 now on intraday. Now it is not clear where the next support is because market so beaten up and big companies posting losses and all, I plotted few EMAs to find the next possible support. I can only see possible support is EMA(500)(I have never used EMA(500) EVER before, market never been so bad.)
EMA(500) is 6104. So If market keeps dropping, it may touch 6100.

Do Not Go Aginst the Trend..."Trend is Friend"

The Daily Show With Jon StewartM - Th 11p / 10c

CNBC Gives Financial Advice

Daily Show Full Episodes
Important Things With Demetri Martin

Political Humor
Joke of the Day

DJ level at very important support level

It is very important to monitor this level. Watch for the bounce or break down from this support. Indicators are showing it is very oversold, short term swing is very possible. Current market driven by news and political intervention, so please be careful. Do not go against the market.

How I day Trade ?

Many ppl ask me about how I do day trade...today SU made perfect setup so I thought it was good idea to share with you. Please see my trade in the attached picture.

I entered in SU yesterday afternoon at 23, when Nice candle formed crossing above EMA(5), decent volume, and most technical indicators crossover specially positive momentum from the last indicator. I got out of the position at 24.60 when on intraday chart most indicators were showing the chart as overbought.

This is a almost picture perfect setup where most ppl can male money if played correctly.

Happy Trading...

DJ chart

Feb 03

Bought 200 BMO @ 32.00

Bought 100 SU @ 23.50

Jan 26, 2009

Traded BMO and CM

BMO - Profit $ 70

Entry 29.66 (Yesterday)

Exit 30.70 (Today)

In past week made some money trading in YRI, SLW, ELD, CM.

Good strat of the 2009 so far..

Happy Trading