The ability to have your trading mentor in your office giving you insightful comments on live market action while offering timely answers to your questions on the spot can be an invaluable asset. We thought we would offer you a glimpse into our Yahoo! Messenger Text Chat (1st Hr. Extension) from 6/24/10 to help you feel the power of having somebody on your side helping you real-time. One of the clients I was texting with had some revelations about his performance and how he could improve upon it based on some of my experienced insights that day. Read through the comments and take a look at the chart snapshot (pictured right - click to enlarge) as the market unfolded for visual details on the action.

Click on image to enlarge!

6/24/10 - 1st Hr. Extension updates (all times are Pacific), 6:50:08 AM workrds: Good Morning!! Today's remaining reports: EIA Natural Gas Report 7:30 AM PT
3-Month Bill Announcement 8:00 AM PT
6-Month Bill Announcement 8:00 AM PT
52-Week Bill Announcement 8:00 AM PT
7-Yr Note Auction 10:00 AM PT
Fed Balance Sheet 1:30 PM PT
Money Supply 1:30 PM PT,

6:52:38 AM workrds: usdjpy 2level pullback for a short play 8958
eurjpy 2level pullback for a short play 11019
audusd 2level pullback for a short play 8710 whichever gets hit first is what I would trade...trading them all are like-minded in direction today so adjust your risk in case the idea goes bad ...it would mean wrong on 1 the likelihood that you are wrong on all three or being right would translate in being likely that you are right on all three,
6:57:58 AM workrds: markets finding resistance around the 1L to 1.5 pullbacks area and moving back on mom. side...objective area would be a test of session lows,
7:06:14 AM client: a 2-level pullback is still referencing the session low, not the most recent low 15 minutes ago, correct? Still getting used to this...,
7:09:52 AM workrds: I still reference from session low...use your knowledge of flips in trend to adjust but yes it is based from session low in this case,
7:14:59 AM workrds: price action coming up short of re-test of session lows,
7:16:47 AM workrds: still trying though...c'mon market :),
7:27:06 AM workrds: eurjpy testing 11019,
7:37:30 AM workrds: let's go eurjpy!!,
7:37:54 AM client: yeah - fire up!!,
7:46:05 AM workrds: hopefully we get the flip in next 15min. and get some acceleration as prices pulling off recent rally...looking for test of last troubled spot down and hopefully to session low,
7:57:59 AM workrds: pulling back a bit after 1L down move from recent top,
8:24:17 AM workrds: fyi: the tails on the candles will help you (the longer they are the more idea you had that prices didn't like the low...from last comment I saw price action begin to bounce at 1L during previous candle...prices went back down to 1L and now we are seeing the reversal back up...possibly help your timing a bit,
8:29:16 AM workrds: careful on move back to 11019 on eurjpy...last top was 27ish which was above session mom line a bit...making a run back at it,
8:54:05 AM workrds: had a feeling about that eurjpy...that's why I laid off it,
8:56:52 AM workrds: looking for resistance at 8710 for audusd and 8958 usdjpy,
9:01:21 AM client: Just couldn't pull that god dam trigger.....and lost!,
9:02:01 AM client: what gave u that bad feeling about it? what indications were there?,
9:04:07 AM workrds: first time hit near here was 6:15a then again when it brushed up above it 7:30a (1st test of it) and recently 2nd test of it...1st time to/second time thru,v ** 9:07:45 AM client: ok, thanks.....must put that into my bible of trading rules. thanks also for ur earlier comments on candle tails...appreciated,
**9:12:10 AM client: would the same thinking not apply to the aussie right now? reference time at 8683 was 6.15am.....1st time to it was 7.15am.....so was it 2nd time through at 8.45am and beyond?,
**9:12:26 AM workrds: it's in my bible and doctorate dissertation from the "trading school of hard knocks" :),
9:13:32 AM workrds: at the 1L move yes...don't trust it so looking for a run to the next level higher before I am interested...,
9:13:40 AM client: :-),
9:17:47 AM client: then it looks like this rule applies to any level, as it happened on level 2 for the eurjpy and level 1 so far for the audusd, correct?,
9:19:24 AM workrds: yes,
9:27:06 AM workrds: usdjpy back on the move to mom. side...still stalling at 1L area...others are finding resistance at their recent tops as well,
9:27:06 AM client: when do u think u'll have a link to r 1-1 recording?
9:28:21 AM workrds: think it's in there... www.rdstrader.com/xxxxxxx ...let me know if it works,
9:31:24 AM client: k.....I'll check it later,
9:31:50 AM workrds: based on our last couple of comments...note that the other reason that I was losing trust in eurjpy because it touched above session mid as well...audusd and usdjpy still on mom. side during that whole move and tests in their respective windows,
9:39:33 AM client: I noticed that alright at the time...had my finger on the exit button as it went over the mid-point line and still couldn't pull it. my internal voice was tricking me into believing that it might turn at the red line. gotta work and control that psychology. thinking of shorting eurjpy now, but fearful because mid-point line still underneath,
9:40:33 AM workrds: should be a bit skeptical on re-entry but it is a sell or do nothing choice,
9:55:14 AM workrds: markets still hanging on proper side of mom. line usdjpy 8958 and audusd 8710...talk to you tomorrow

You can't win, if you don't play!!

For more RDS articles on trading, visit www.rdstrader.com.