Market Mechanic Emini Futures Trading For 04/18/12

Welcome to the Market Mechanic daily e-mini futures blog
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 7 distinct, high probability set ups that are used to day trade the e mini 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 7 set ups are traded on all time frames.

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 7 set ups are designed to profitably and consistently exploit these market scenarios.

Markets are opportunity generating machines; my software and methodology strive to take advantage of these opportunities as they arise and provide its users a consistent and reliable profit making opportunities.

Todays Trades

8:50 AM buy signal, price of the emini S&P 1382.25  the 20 minute TI agg crosses back above its 30 line, this cross is confirmed by TIndexes and the relative strength index (RSI) displaying a reading above 50 and a positive reading on the DMI, this was an aggressive buy The more conservative buy would have been to wait for the 5 minute MACD to turn positive which it did at 9:40 AM emini S&P price 1384.00, Subsequent high 1385.50

10:10 AM sell signal, price of emini S&P 1382.25, on the 20 minute chart the TI agg crosses below  its 50 line and both the 10 and 20 minute DTI are negative at the time of the cross.Subsequent low 1379.25.

11:00 AM a buy signal, price of emini S&P 1382.75 on the 30 minute chart the TI agg crosses back above its 30 line and this is confirmed by Positive DTI readings and positive readings of both the RSI and DMI. This trade is covered for a 1 point loss at 12:25 PM.

12:25 PM sell signal, price of emini S&P 1381.75 on the 5 minute chart the 5 minute DMI crosses negative. At this cross the 20 minute TI agg is reading below 50 along with a below 50 reading on the 20 minute RSI. subsequent low 1378.50.

1:30 PM buy signal, price of emini S&P 1383.00 both the 20 and 30 minute TI agg close back above their 30 lines, the cross is confirmed by TIndex and a positive DMI and RSI reading above 50. Subsequent high 1385.75
After 2:00 PM no trades taken.

AFTER THE CLOSE:   the emini S&P finished the day on the low of the days trading range, putting the 5, 10 and 20 minute DTI's into negative territory. The 20, 30, 45 and 60 minute TIndexes remain positive.  With the prices on the 60 minute chart in the upper keltner and with the 5,10 and 20 minute DTI's all negative it looks that we will see prices move into the lower half of the Keltner channel band on the 60 minute chart. This could put prices in the 13777 to the 1367 range.