BS"D

Good morning,

Lots of Price swings in the e-mini Wednesday made it very difficult
to stay in any of our trades on Wednesday. In fact, only the large
ABS made our day profitable.

BTW, the EU supposedly has come to a bailout arrangement with
Greece. Watch for bullish impact over the next few days.

Enjoy and be well,

DAILY PIVOT MAGIC TRADING JOURNAL - EXCERPT

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"Don't gamble; take all your savings and buy some
good stock and hold it till it goes up, then sell it.
If it don't go up, don't buy it."
Will Rogers

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E-mini ES Z1
Wednesday October 26, 2011

1 = Morning session opens gap-up with an Anomaly Double Top (Overnight, bottom
left chart) off the R1. Volume is massive (pink arrow). so we enter aggressively. At
the close of the candle, move the stop above the HighW; only to get stopped out on
the next candle. +/- 1.50 points

2 = A 2-candle 123 through the Pivot. High Volume lets us enter aggressively. At
the close of the candle, we move the stop above the HighM.

NOTE: The ABS is very bloated today. To avoid
getting stopped out on every price adjustment,
expand the stop, exit, and Maximum Profit
Giveback (MPG) placements.

The next (white) candle dips to tap on the Close and retracts, signaling a Pivot
Scalp exit. Nuts! +/- 3.50 points

3 = A 123 "S" Signal through the Close.

A = We are pulled in on a gigantic red candle re-entering the LT SW Channel (Daily,
bottom right chart, lavender channel lines. DVS (pink arrow) suggests Momentum
exhaustion. The candle closes in Pivot Magic Trading Maximum Profit Giveback
(MPG) violation. Mental stop at Giveback Level. Prepare for a Pivot Scalp exit.

A wicked Doji stall gives us pause, and we Pivot Scalp exit when the following
(white) candle spikes the S1 and retracts. +/- 6.25 points

4 = Double-decker Doji Sandwich. Volume zigs and zags, and is steadily
diminishing. We pass.

Trading interest perks up around 1:30, but we cannot spot anything resembling an
entry signal.

5 = Volume is up, and we enter aggressively on a 123 through the Pivot. Initial
stop advances under the Pivot.

B = When Price Action retraces >2.50 points we SCRATCH!

Getting a bit frustrated?

6 = A strong 2-bar "P" Reversal signal off the R1. We don't trust DVS-based (pink
arrow) 2-candle Reversals for longevity, and with all the Price Action swinging we
let it go.

7 = Just as the PMT entry clock winds down, a Doji Sandwich "P" Doji Sandwich
signal at the MA qualifies as an "S" Signal with the plunger pulled back. Nice!

The red inverted (Bull) Dragonfly kickoff candle (blue arrow) is encouraging.
Nonetheless, the Price Window to the proven R1 is too small for us to enter safely
and we shut down the monitors.

PERSPECTIVE

(Daily, bottom right chart)
Support at the recently-exited expanded LT SW Channel
Ceiling (lavender channel lines) held strong. Wednesday
taped a moderate white day candle. This candle makes it
a three day 123 combination, and, with the EU agreeing
to save the Greek economy, this just may signal a mighty
Bull run.

BE PREPARED FOR ANYTHING, AND GUARD YOUR FUNDS!

REMEMBER: Trade the Tape, Not my Prognostics!

Asher
=] ;-)>

Wednesday's PMT Chart: