Mentor Mike’s Trades for Wednesday, 4-30-14

Mentor Mike’s Trades for Wednesday, 4-30-14

Fellow Traders:

Today was Day Two of a 2-day FOMC meeting.  The market tends to go crazy for about an hour regardless of what the announcement is at the Fed’s press conference.  The added volatility can be dangerous, but it can also provide some good opportunities if you’re bold enough to take advantage.

In my personal trading it took me six trades and about four hours to reach my Grand-A-Day ($1,288.50, to be precise).  I matched my trades on the demo platform and continued to trade up to and after the Fed announcement.  I went 9 for 9 and earned a net of $2,114 demo dollars.

I am trying to keep a running EW count to help with our trading.  The last two attachments are my 21-min and 5-min versions.

I have noticed that when there is a definite Elliott Wave pattern under construction and the Market suddenly reacts to some external stimulus (like today’s Fed announcement), the EW pattern may become exaggerated, but it continues on without total disruption.  I recently saw a presentation on HFT (high frequency trading) and how it has altered some of the classic chart patterns of years past.  However, I believe EW patterns transcend such changes because they come from the collective subconscious of all traders including the ones writing the HFT algos.  EW survived the Market’s transition from open outcry day-only sessions to round-the-clock e-trading.  And, EW is surviving HFT as well.

Have a good evening.  See you all in the TRADING ROOM tomorrow.

Today’s Charts

Here are today’s screen captures of my personal chart, the TRADING ROOM demo platform and my running intraday Elliott Wave count in the S&P Emini.  Please click on a chart to make it larger.  Chart #1

Chart #2

Chart #3

Chart #4


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