SPI Gapper using DP.

[salale]

:cool:
Not sure if there's many SPI traders out there in MTP land, but thought I'd post this anyway.

Had an opening GAP/DP opportunity on the SPI today. Trailed this using ATRStop and I exited at the previous days low - would made a bit more if I waited for the market to touch the DP low as recommended by Steve - but I'm still ok with the trade -risk reward of 6 to 1.

Note the first couple of bars are pre Aussie equity market open. I also have some personal favourites I used as confirmation for this.

Im not getting a lot of signals with MTP, but the so far the signals provided have given the opportunity for some solid trades.

(Hope the image is readable !)

[richr4ever]

For me, the STF looks like a positive divergence is formed. Isn't it?

:confused:

[salale]

Hi

Your right about divergence and I may have it wrong, but I believe that for a "gap" trade such as this - divergence is not the key indicator that it is for the "usual" DP trade when divergence is a must? particularly given that the price will most likely be spiking seriously during a gap opening event I believe the key factors are that the market gaps into new high/low (at the DP) and we get the blue/red reversal indicators.

But as I say - I may be wrong !

[salale]

I doubled checked the training VIDs and from I can tell, divergence is needed for "DP overnight GAP trades" too.

AS mentioned, I had other indicators that got me into this trade, but in terms of following the MTP way, this trade would probably not have been ideal.

Cheers all.

[Cyber56]

Hello Salale,

I thought it worthwhile to mention the TS3 setup on a 3min chart of the SPI.

[salale]

Thanks for the post Cyber.

There was a TS1 sell today on 5 min chart which went well for me too (given that the SPI tanked today, short was a good place to be).

Don't have time to post it today, but MTP is proving a valuable tool with the SPI.

Do you trade this market?

[Cyber56]

Hello Salale,

Yes I do trade the SPI - not as many setups with MTP compared with the U.S. markets so it is a matter of patience.
This week has provided a setup everyday.
I've enclosed a chart of the TS1 setup you mentioned.

:)