FINZ.tv's  Instablog

*In this morning’s S&P E-mini Futures (ES) LONG trade, I mainly used the method my trading partner Handsome James Falvo (@jsfalvo) & I learned from David Elliott, a.k.a. FirstWave.  The indicators mentioned here are seen in the bottom: Blue (CCI 50-period), Yellow (CCI 20-period), and Pink (CCI 5-period).  However, I did benefit greatly from Fari Hamzei (@hamzeianalytics) proprietary CI indicators in his HFT chatroom & twitter.  While James & I were keying primarily off the CCI, General Fari was in the same trade to the long side using his CI and other indicators.  It was awesome to “fly a mission” as we say in the HFT room with General Fari, with his calls & CI indicators further confirming our own trades.

On theory, economics, and charting I always look for a way to use these…and in this case to apply them to trading profitably…

The legions of zombie Technical traders is reminiscent of the scenes in Will Smith’s Legend that take place near NYC’s Grand Central Station. Oh rest assured, these zombies are not your garden variety. They are indeed smart individuals. They read the best blogs with a fierce intensity. Oh, and do they read a ton of them!! How do I know? Many of them were once twitter follows of mine, and they made sure to fill my feed with every link imaginable: CRE downfall, Ghost Ships of the Baltic, Regional Bank doom, male pattern baldness, and my fave, ‘Even a Monkey can Short Stocks’.  Yep, these are the same folks that assured me a retest of the lows was in order. You know, the DJIA 2000 crowd. How did that trade work out? Better known as the price of Gold will cross the Dow at some point.

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• NY Times: Markets Struggle as a New Quarter Begins

Last night the candle market scans told the story: 5 to 1 bearish candles to bullish. Futures this AM down, Asian markets down and Europe futures down.

Looks like one of those days to start out October. I will be looking to add only on bargains. Yesterday and alert went off for the DOW at 9630, which is the 2.9% benchmark off the high recorded not long ago. Since it set off at approximately 9:56 AM, it has recovered to a close of 9712.

My chart several posts ago of the market behavior on quarter ends suggest we may in for several down days — we’ll just have to see.

For what it’s worth, the Monster employment index dipped 2 points in September to 119 indicating that employers remain cautious in hiring. In a positive, the report said demand for blue collar workers is firming.

Likely will not be doing market journal today. I may cut out for the mountains to shoot some falls.

Nightly late-night chart review sessions on twitter and Chart.ly.  Follow me on twitter@theEquilibrium.

Nightly late-night chart review sessions on twitter and Chart.ly.  Follow me on twitter@theEquilibrium.