Hubert Senters here.
Had a question from Russell. I trade the YM and I mainly look for scalp ambush counter trend trades. I am a little confused there. We’ll get into that just a minute.
Is it just me or has anyone else noticed ambush trades are not setting up well and/or working well currently? So, different trades set-up will definitely rotate in and out of popularity depending on what the market is doing so.
Let’s take a look at this. My definition I’m going to do a down mini because that’s what you’re talking about. And I trade a lot too myself.
What we’ll do here is we’re going to look at a 2 minute chart of the Dow. Let me move this chart up here and get this. So there’s two different ways to look at this.
Usually I do an ambush in the direction of the overall trend so for me if I’ve got the Dow going up in a daily uptrend which we still have and it’s starting to get a little bit weak so daily uptrend.
Then what I would want to do is I would then mark a low here and then a high here and I would look for a 50 percent ambush. Now, if you’ve got a market that is super strong to the high side it won’t tend to pullback as much and give you opportunities to do that and hopefully I’m doing your trend trades and counter trend trades the right way.
When you say counter trend trades you and I maybe talking about to slightly different things so I’m just trying to make sure that we’re talking about the same thing.
So if I look at that I would say yeah, they’re not working great because we’ve been in some really volatility and some mainly even going one direction or the other. Now, if we do it on yesterday’s price action that right there is going to be an ambush trade.
It’s not one that I would personally do because I would still say that the market is still in an uptrend but for intra-day stuff you can change. Intra-day stuff you can just go to the whim of the market so from this dead high to this dead low right there ambush that would have worked in the counter trend fashion.
Now, for looking at for an ambush trade to the up direction I’m just going to make this one fit. I know it’s not going to do perfectly but I’m going to say from the low here to the high here, pullback here. That one didn’t work because it got a little bit too deep for it to work and then it bounced.
Hopefully that helps and hopefully I understood your question. Mark Helweg is going to be doing a special webinar this Wednesday, July 29th ”Finding Explosive Trades with the SVS Strategy…How To Find Trades Like a Sniper!” I will HYPERLINK you to the registration page. It’s going to be Wednesday, July 29th at 8PM EST.
Good luck. Hope it helps. See you on the next video.
Hubert.
