MARKET MECHANIC BIG PICTURE REPORT, BROUGHT TO YOU BY ODYSSEY TRADING GROUP FOR 11/21/ 2012

TODAYS TALLY: $750.00 +
 
TODAYS ACTION: Today was basically a preholiday sideways market, with an upward bias. The market opened steady traded a little higher then sold off. The sell off put the market into an oversold condition and our software and system picked up on this and generated 3 profitable buy signals. The remainder of the day was quiet and our software and system generated 3 additional profitable buy signals.
 
The tally is determined is by taking the trade at the closing price of the 5 minute bar when the software and system generates a trading signal. We will trade 3 contracts per signal with the profit goal of 4 ticks or 1 point per trade. This profit goal is a minimum.  The system will employ a 4 point disaster stop or a loss can be booked when the software and system generates a trade that would reverse our outstanding position. There will be times when the software and system generates what can best be called overlapping trading signals, in this case there will be only one trade booked.
 
 
 
TODAYS SIGNALS:
9:25 AM buy signal emini S&P price  1384.75. The set up; with  above 50 readings on the RSI and the TI agg on the 20 minute chart and a positive reading on the 10 minute DTI, the trigger; with the cross of the DMI on the 5 minute chart, from negative to positive a buy signal is generated. Subsequent high: 1389.75.
 
9:30 AM buy signal emini S&P price 1385.75. On the 5 minute chart with the cross of the TI agg below its 30 line and then back up above and close above its 30 line, indicating the market coming out of an oversold condition in a bull market and with positive readings on the 5, 10 and 20 minute DTI’s and a positive reading on the 10 minute TI agg a buy signal is generated. Subsequent high: 1389.75.
 
 
 
10:10 AM buy signal emini S&P price 1386.25.  On the 5 minute chart; the set up, with the 5,10 and 20 minute DTI’s all reading positive and a positive 5 minute MACD, the trigger; on the 5 minute chart a yellow neutral bar is followed with are bullish green bar, a buy signal is generated. Subsequent high: 1389.75.
 
 
 
11:15 AM buy signal emini S&P price 1386.50. The set up; with  above 50 readings on the RSI and the TI agg on the 20 minute chart and a positive reading on the 10 minute DTI, the trigger; with the cross of the DMI on the 5 minute chart, from negative to positive a buy signal is generated. Subsequent high: 1389.75.
 
 
11:30 AM buy signal emini S&P price 1388.00. The set up; on the 10 minute chart the DTI and the TI agg both have positive readings, the trigger; when the 5 minute MACD, 5 minute RSI, 5 minute DTI and the 5 minute Chaikin Oscillator all align positive, a buy signal is issued. Subsequent high: 1389.75.
 
 
 
1:40 PM buy signal emini S&P price 1387.75. The set up, with the 5, 10 and 20 TIndexs all with positive readings,  on the 5 minute chart with the cross and close of the TI agg below its 30 line and then  the cross and close of the TI agg above its 30 line, the trigger: the first green bullish 5 minute bar, generates a buy signal. Note: If the ADX is below 30; the reading of the 5 minute TIAggressive cannot be above 60 at the time that the signal is generated.  Subsequent high: 1389.75.
 
 
3:00 PM buy signal emini S&P price 1388.50. The set up; on the 10 minute chart the DTI and the TI agg both have positive readings, the trigger; when the 5 minute MACD, 5 minute RSI, 5 minute DTI and the 5 minute Chaikin Oscillator all align positive, a buy signal is issued. Subsequent high: 1389.75.
 
 
 
 
AFTER THE CLOSE: The closing rally put the DTI’s and TIndexes on all time frames into positive territory. The agreement between the oscillators and the indexes says we are going higher. As we have noted earlier the market is oversold and needs to rally but the weekly and daily DTI readings are negative. Unless the DTI’s go positive the market is in corrective phase and rallies will create selling opportunities. Everybody have a great Thanksgiving. Thank you for reading the Market Mechanic.
 
TODAYS CHART:

 
ABOUT THE MARKET MECHANIC:
The Market Mechanic has developed 3 proprietary indexes and oscillators: the Trend Index Aggressive (TI agg), the Delta Trend Index (DTI) and the Trend Index (TIndex).  These 3 proprietary indicators combined with the Directional Movement Index (DMI), the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) give us over thirty, high probability set ups that are used to day trade the emini S&P market. These indexes and oscillators are applied on time frames from 5 minutes to 60 minutes (5, 10, 15, 20, 30, 45 and 60) and these set ups are traded on all time frames. The final product of the combination of these proprietary and non proprietary oscillators and indexes is a mechanical system and methodology for identifying entry points into the market that completely sidelines emotion and allows its user to concentrate on the money management part of the trading equation.
The philosophy of the Market Mechanic is not to predict the market but to anticipate likely market scenarios that the market will produce on a daily basis and the best way to exploit these opportunities. These set ups are designed to profitably and consistently exploit these market scenarios.
Markets are opportunity generating machines; our software and methodology strive to take advantage of these opportunities as they arise and provide its users a consistent and reliable profit making trading set ups.