Review of Compound Trading Chat Room Stock Trading, Algorithm Charting Calls and Live Stock Alerts for Monday March 20, 2017; $BLKG, $USRM, $BABA, $NG_F, $UWTI – $DUST, $ONTX, $XOM, $NE, $BLKG, $USRM, $ASM, $SSH, $LGCY, $TRCH, $ESEA, $MGTI etc 

Intro:

Time stamped entries (in permanent archive) copied to this blog in italics (below) are direct live log chat from chat trade room as they occurred (random chat from myself not applicable or other misc chat deleted). Chat trade room is also video recorded daily for trade archive.

In addition to chat, this trade-room has live voice broadcast (that covers in detail what indicators I am looking for in and out off each trade) and has live chart screen sharing right from my monitor to the room with all indicators I am looking at.

EVERY CALL WE MAKE, EVERY PUBLIC INTERACTION, REPRESENTATION OF TRADE (ON EVERY VENUE) IS VIDEO RECORDED (TRADING ROOM), ON SOCIAL MEDIA OR ON BLOG / WEBSITE TIME-STAMPED FOR PERMANENT RECORD AND ABSOLUTE TRANSPARENCY. PLEASE ALSO REFER TO OUR PUBLIC DISCLOSURE https://compoundtrading.com/disclosure-disclaimer/ .

Notices:

Per recent;

Weekly Simple Swing Trade Charting is out:

The Swing Trading Twitter feed can be found here: https://twitter.com/swingtrading_ct.

Overview and Summary Review of Markets, Chat Room, Algo Calls, Trades and Alerts:

In play today in chat room; $BLKG, $USRM, $BABA, $NG_F, $UWTI

Premarket trading plan (member post) can be found here:

Closed my position in $USRM when it was up near 57% on the day and on $BLKG when it was near 233% on the day. $BLKG low on day was 16 and high was 58 and I closed at 55 for a nice win – held the swing for a few weeks.

$BLKG, Stock, Trading, Results

$BLKG Postmarket Stock Trading Results – Closed long swing trade when up 233% intra-day at 55

My $BABA call and a number of the other swing trading calls are continuing to be home runs, winning is good in this business.

It’s too bad our transcript in the room is not available for the first part of the day (my apologies but we’re learning the platform) because not only was most of the action for the day in the first hour but MarketMaven schooled us all on a morning momentum stock $ESPR – wow what a trade, three adds and closed near the top. Total schooling.

Also our traders were in natural gas $NG_F $UGAZ etc killing that and the other trades on intra and swing trading are all going well for our small group. 2017 has been a great year for the group, I am in the process of compiling the trade P/L of each trader (contacting them one at a time asking if they would be interested). Anyway, the feedback I am getting has been fantastic (in terms of YTD performance) and that has been obvious in the room – but I would like to document it if possible.

Premarket was all about $CURS tanking, $CTMX, $ESPR and a few others.

Algorithmic Chart Modeling Reports / News:

NA

The Charting Algorithm Twitter feeds can be found here: $WTI (@EPICtheAlgo), $VIX (@VexatiousVIX), $SPY (@FREEDOMtheAlgo), $GLD (@ROSIEtheAlgo), $SLV (@SuperNovaAlgo), $DXY (@DXYUSD_Index).

Stocks, ETN’s, ETF’s I am Holding:

I am holding (in order of sizing – all moderately small size to micro sizing) – $DUST, $ONTX, $XOM, $NE, $ASM, $SSH, $LGCY, $TRCH, $ESEA, $MGTI (this is the daytrading portfolio and does not represent swing trading service portfolio): Looking at moving out of all these small positions over the next month or so.

Note-able Stocks Today (via FinViz):

Ticker Last Change Volume Signal
ESPR 41.22 74.14% 30432500 Top Gainers
NKTR 22.11 42.65% 15317678 Top Gainers
BLPH 1.39 34.95% 7916200 Top Gainers
MVIS 2.60 25.00% 8463600 Top Gainers
CTMX 18.89 24.44% 2325700 Top Gainers
DDC 12.20 22.98% 4618400 Top Gainers
MVIS 2.60 25.00% 8463600 New High
AMCF 0.05 21.95% 28000 New High
ESPR 41.22 74.14% 30432500 New High
CTMX 18.89 24.44% 2325700 New High
CLNT 2.67 286.96% 130016 Overbought
FIZZ 78.67 1.68% 360459 Overbought
GNMX 2.21 -59.37% 11274507 Unusual Volume
ICVT 51.19 -0.06% 803600 Unusual Volume
AKO-A 22.66 0.80% 70461 Unusual Volume
ESPR 41.22 74.14% 30432500 Unusual Volume
ALK 94.82 1.56% 1487400 Upgrades
ASUR 10.66 -6.82% 224200 Earnings Before
PRAA 33.55 -1.47% 373400 Insider Buying

The Markets Looking Forward:

The markets to me look toppy (as I’ve noticed previous). So last weekend we produced some simple swing charting that keeps me level when looking at the markets (examples below). Simple charting I find grounds you to simple trades which in turn keeps you profitable in toppy or sideways markets. So I find the practice crucial even though our algorithmic modeling can cut up a chart on any time-frame and I can trade scalping like nobody’s business with them… but I have businesses etc and I can’t be a minute by minute trader (right now anyway). So keeping it simple helps me and many on our swing trading side of the platform really appreciate the simple view because they have day jobs or businesses etc.

Swing Trading Reports / News:

The quarterly performance report link is above in the intro to this post – we have been killing and below are some of the recent simple swing trading charts.

$BABA from our swing trading platform side sure looked perky today – here’s one of the charts from the swing trading platform updates this past weekend – looks interesting!

$BABA, Swing, Trading, Chart

$BABA Daily 100 MA 50 MA Cross, MACD Pinch, SQZMOM up, Stoch RSI up. Wait for MACD for long. #swingtrading

US Dollar $DXY $USDJPY $UUP & Currencies of Note:

Gold $GLD $XAUUSD / Gold Miner’s $GDX:

Results are in for Gold trading vote:

Silver $SLV:

Crude Oil $USOIL $WTI:

Volatility $VIX:

$SPY S&P 500:

$NG_F Natural Gas:

Natural gas on fire… I’ll try and get some time to start covering it more closely. On a side note we’re going to start covering emerging markets and USDJPY closer too soon hopefully.

Live Trading Chat Room Transcript: (on YouTube Live):

Compound Trading Stock Chat-room Transcript:

Please note: Miscellaneous chatter removed from transcript and some discussions I will add notes with information I’ve gleaned in discussions online with traders on DM etc also for further explanation (noted with *). Also, times are Central Mountain below (we’re working on the fix now), so for New York ET time add two hours to all times. Also, most days at 9:30 ET market open there is moderator live broadcast explaining trades and at times during the day there is also live broadcast market updates and trade set-up explanations (so you have to scroll through video feed to market open etc to catch live broadcast portions – in future we will note in in transcript when we are on the mic so viewers can correlate time with transcript with video feed when reviewing trades). 

Important note: The premarket, the market open and the close are all missing from this transcript WHICH WERE THE MOST IMPORTANT PARTS OF THE DAY!!! Especially the market open with a fantastic trade by MarketMaven – total schooling (as I explained above) and Flash shared some of his Swings (which btw have been red hot). So I’m very disappointed to say the least. My excuse is we’re just learning the details of the platform and capturing the transcript has its details. Anyway, we’re on it. We’re also on getting these main traders in the room equipped to run charts and broadcast voice in their trades etc to build out a more robust daily trading video for people that review after market because they work or whatever… we’re on it, we’re getting there. What limited transcript we have is below.

9:15 AM MarketMaven M ​$CMG decent action

9:16 AM MarketMaven M ​$ESPR more of a fade than a snap back possible

9:18 AM Flash G​ $CRBP wacthing chart for breakout here

9:24 AM  Flash G ​$TLT watching close again also

9:27 AM Curtis Melonopoly ​my $BLKG UP 193% today

9:30 AM Flash G ​Holy wow great hit Curt!

9:30 AM Flash G ​Thats $BLKG lol fyi

9:31 AM Curtis Melonopoly ​why thanks

9:31 AM MarketMaven M ​awesome

10:15 AM wintonresearch ​yup natty going strong

10:22 AM MarketMaven M ​Can’t tell you how many times I looked at $BLKG Curt and never pulled the trigger I should learn to listen

10:30 AM Flash G​ Nice bounce on $AUPH

10:31 AM Flash G ​$MEMP chart added to my watchlist long

10:31 AM Flash G ​$NAK Curl on daily adds it to my watchlist

10:32 AM Flash G ​And the wedge break on $VSAR makes it to my watchlist

10:33 AM Flash G ​And $ANW is the last one added to my swing watchlist this morning – all long

10:34 AM MarketMaven M ​$NKTR price target to $31 from $23 at Roth Capital

10:38 AM Curtis Melonopoly ​like your swing trade watch list updates flash thanks

10:38 AM wintonresearch​ $NAK strong

10:38 AM Curtis Melonopoly​ I’m starting to use them in my own homework

10:39 AM Curtis Melonopoly ​$NAK hart looks great

10:47 AM Mathew w ​NAk on my DNT list but the set up looks to be there and there’s been demand much higher in the recent past

10:47 AM Mathew w ​Before that short seller note

11:03 AM wintonresearch​ yeah NAK has shrugged off a lot lately

11:03 AM wintonresearch ​put in that nasty bottom and moving up on quiet days for gold

11:03 AM wintonresearch ​admittedly it’s given many whiplash

11:04 AM wintonresearch ​also worth looking at my last tweet on gold vix being very low

11:04 AM wintonresearch​ suggesting rise on the way

11:06 AM MarketMaven M ​I like it

11:12 AM wintonresearch ​the gold vix hasn’t been this low in over a year if iirc

11:14 AM Mathew w​ VIX’s of all types artificially low here. They can stay that way for a while, but the move when they come upstuck will be large and swift

11:18 AM MarketMaven M​ yepp

11:26 AM MarketMaven M​ $MVIX long

11:26 AM MarketMaven M ​a little squeeze play

11:26 AM MarketMaven M ​sorry that was lagged for some reason

11:27 AM MarketMaven M​ anyway I was in and out lolol

11:32 AM Curtis Melonopoly​ sorry guys I was out $BLKG some time ago at 50 so nice gain… it was actually a fat finger sale while driving

11:32 AM Curtis Melonopoly ​I think that’s 3 times the last year I fat finger ed an order

11:32 AM Curtis Melonopoly​ nice gain anyway

11:33 AM MarketMaven M​ I have never done that

11:36 AM MarketMaven M​ $MVIS sqeeeeze

11:44 AM Curtis Melonopoly ​Don’t look now but my $USRM up 57% today nice

11:46 AM Curtis Melonopoly​ I guess I better jump. Sold! $USRM

11:46 AM MarketMaven M ​lol auction time

11:46 AM Curtis Melonopoly ​that’s two bags down

11:47 AM MarketMaven M ​love that lighter feeling

12:38 PM Flash G ​$SPX lol what a market

12:39 PM Flash G ​/NG 50 sma

12:46 PM Mathew w ​/NG also backside of trendline. over 3.05 with some power should get 3.12

12:55 PM Flash G​ Corny times VXX lol watching today with amusement

12:56 PM wintonresearch ​NAK still climbing

12:56 PM wintonresearch ​and natty

12:57 PM Flash G ​see that

12:59 PM Flash G ​I also see some seasoned traders exiting positions because they “see something” wrong

12:59 PM Flash G ​This could be a shift. Yet to be seen. But some real pros are backing off.

1:01 PM Curtis Melonopoly ​I know I wasn’t especially keen but was painful to sit on hands while MM carved up that mom this morning

1:02 PM Curtis Melonopoly​ also I missed natty again lol fark

1:03 PM Curtis Melonopoly​ $KALY could run

1:24 PM Flash G ​$NKE spike – had it on my morning watchlist – still on watch

1:24 PM Mathew w ​Im about done for the day by the looks of things. Watching currencies and bonds ON. Bonds got some action to the call side today so looking for follow through there and rotation into XLE possibly

1:24 PM Mathew w​ See yall in the am

1:26 PM Flash G​ see ya mat

1:26 PM Flash G​ with $NKE earnings tomorrow I was playing cautious

1:27 PM MarketMaven M​ see you mr mathew

1:31 PM Flash G ​Positive flow in $CMG now EOD

1:34 PM Flash G ​$NVCN bullish chart

1:35 PM Flash G​ Massive block on $SPY

1:37 PM Flash G ​$GDXJ real strong here EOD also

1:48 PM MarketMaven M​ $EBIO closing at HOD

1:50 PM MarketMaven M​ Taking some $KALY not missing it again after today’s episode with $USRM and $KLPG or whatever it was lol

 

Be safe out there!

Follow our lead trader on Twitter:

Article Topics: $BLKG, $USRM, $BABA, $NG_F, $UWTI – $XOM, $NE, $ONTX, $DUST, $TRCH, $LGCY, $SSH, $ASM, $BLTG, $USRM – $UGAZ, $DGAZ, $NUGT, $DUST, $USLV, $DSLV, $UWT, $DWT, $JNUG, $JDST, Compound Trading, Trading Lessons, Results, Wall Street, Stocks, Day Trading, Swing Trading, Investing, Chat Room, Trading Results, $GLD, $GDX, $USOIL, $WTIC, $USD/JPY, $SPY, $DXY, $VIX, $GC_F, $USO, $UCO, $SCO, $CL_F, S&P 500


Friday Dec 16, 2016 EPIC the Oil Algo Oil Report (Member Edition). FX: $USOIL $WTIC ($USO, $UCO, $SCO, $CL_F, CL, $UWT, $DWT, $ERX, $ERY, $GUSH, $DRIP)

Welcome to my new FX: $USOIL $WTI oil trade report.

NOTICES:

NEW: Be sure to separate my algorithmic charting reports from the traders in our room (including my inventor as he disagrees with my charting at time also). This is important. Trade your plan.

NEW: We are having a technical coding issue with SMS text / email alert launch – will be resolved soon!

NEW: We will try and do a better job not relying just on our broadcasting voice alerts in the room because there are folks that are on cell phones that can’t hear our audio alerts so we will do our best to type the details of a trade etc intraday in the room text box. It will be easier when our full time staff are in the room in the new year because a lot of that load will be taken of the shoulders of the traders. AND, if you get kicked off because you lose service on your phone and you sign back in and you lose track of conversation just tell us in the room and we’ll email you the text you missed while you were away from room (as long as we have time). And finally, we will have the text alerts going over next few days but they won’t be perfect until early Jan when our staff are with us.

NEW: There is a new feature blog post at this link, “Why our Stock Algorithms are Different than Most” If you are using our algorithms it is a must read.

MULTI-USERS: Institutional / commercial platform now available for multi-users – pricing and product information will be posted to website soon.

PATENT PHASE: As I mentioned I am now in patent application phase. Stay tuned for agreements concerning disclosure and use coming to members.

24 HOUR TRADE ROOM: My charting transitions from FX $USOIL $WTI to 24hr crude oil futures early 2017. My sub service w incl 24 hr crude oil trade room.

PRICING: My proprietary services transitioned recently from free inaugural to subscriber only access. All rates for existing members for all service prices will be grandfathered in perpetuity (view website products page for conditions). Early 2017 when my 24 hour futures trading room opens along with 24 hour live charting I will have a rate increase but as with recent roll-over existing members will be grandfathered at locked-in current rates.

SOFTWARE: My algorithmic charting is going to developer coding phase early 2017 for our trader’s dashboard program. Please review my algorithm development process and about my oil algorithm story on our website www.compoundtrading.com and my oil algo charting posts on my Twitter feed.

HOW MY ALGORITHM WORKS: I am an algorithm in development. My math is based on traditional indicators (up to fifty at any given time each weighted on win ratio merit) – such as simple math calculations relating to price and volume, Fibonacci, simple pivots, moving averages, Gann, Schiff and various other charting, geometric and mathematical factors. I do not yet have AI or Geo Political integration – only math as it relates to traditional indicators – weighted, with the primary goal being probabilities. I am not a high frequency or bot type algorithm – I am to be used (represented on a traditional trading chart) as a probability indicator to give our trader’s an edge when triggering entries and exits on trades with instruments that rely on the price of crude oil (specifically FX: $USOIL $WTI and transitioning to futures in the new year in our new 24 hour oil trading room).

Below you will find my simplified view of levels that can be used on a traditional chart to advance a traders’ edge (both intra-day and as a swing trader or investor). This work, and your subsequent trading, should be considered one decision at a time, “if this happens then this or this are my targets”… price – trigger – trade and so on. If you need assistance email your questions to info@compoundtrading.com, message our lead trader on Twitter, or message a lead trader privately in the trade room.

FX: $USOIL $WTI Observations:

Today will not be a detailed report because the markets have shifted post Fed and a direction needs to be determined by the market. Based on the post Fed market direction I can then give more clear and detailed algorithmic charting to members. Please refer to previous reports so you have the story line. We expect very detailed charting out by this Monday or Tuesday at latest FYI.

Here is the new : Live EPIC the Oil Algo Live Trading Chart Link

EPIC the Oil Algo Member Chart

https://www.tradingview.com/chart/USOIL/O2C75NLl-EPIC-the-Oil-Algo-Member-Chart/

Intra-day Crude Oil Trading Range: At time of writing FX $USOIL $WTI is trading at 50.76 6:32 AM ET Dec 16, 2016. Some thoughts with respect to traditional charting that may help advance you trading edge:

Crude, Oil, Chart, Algorithm

Crude oil algorithm chart indicators. Crude algo intra work sheet 632 AM Dec 15 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO $UWT $DET #OOTT #algo

Crude, Oil, Algorithm, Chart, Magnified

Crude oil alorithm chart indicators – magnified. Crude algo intra work sheet 632 AM Dec 15 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO $UWT $DET #OOTT #algo

PLEASE NOTE: The magnified crude oil algorithm chart causes the arrows to move off target areas some – so refer to first chart above for more precise arrow locations.

Multi Week Trading Range for Swing Trading:

Note: Be careful with the prices you see in the purple boxes on the right of the chart – they do not line up on chart for price action (they are for indicators).

Pay attention to the upward trending channel – you can enter long and sell in between the channel yellow lines as it trends. If price stays below the resistance then you trade the channel under that and if above a major support line same thing (yellow lines).

At current price of crude we are getting very close to the bottom of the upward trending channel (green arrow). This would be a high probability area to enter a long trade (set your stops).

If you have any questions email info@compoundtrading.com with direct questions for direct answers. Or ask in the trade room in a private message to the lead trader.

Diagonal Trend Lines:

Diagonal trend-lines (blue). Diagonal trend-lines are critical inflection points. Please review many of my recent posts so you can learn about how important these diagonal trend-lines are. If one is breached you can look to pull-back to next diagonal blue trend line about 90% of the time. Also pay attention to how thick the lines are – the thicker the line the more important because they represent extensions from previous time / price cycles.

Some of the diagonal trend-lines are marked with a blue arrow on the chart above. The bottom of that triangle time price cycle also has a diagonal trend-line right there.

Remember you can come in to the chat room to message the trader and REMEMBER I have posted a live chart link earlier in this post so if you can’t see the lines well on this chart above you can go to the live chart link and watch for member live algo chart links through-out the day in your email inbox!

Price Action with 20, 50, 100, 200 MA

From yesterday:

On the chart above the 200 MA is marked with an orange arrow – it is will above price – watch this for resistance. If there was more time available this morning I would look at the 200 MA on each time frame because you need to be aware of where the 200 MA is on 5 15 30 1hr charts because it will play a role in support and resistance with crude trading 80% of the time. So do yourself a favor and be sure your running the MA’s on your own charting.

Here are four time frames with the 200 MA. The daily one below is the most important. Look at it – pin it in your mind.

200 MA, 15 Min Chart, Crude, Oil

200 MA 15 Min Chart. Crude algo intra work sheet 650 AM Dec 15 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO $UWT $DWT #OOTT #algo

200 MA, 30 Min Chart, Crude, Oil

200 MA 30 Min Chart. Crude algo intra work sheet 648 AM Dec 15 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO $UWT $DWT #OOTT #algo

200 MA, 1 Hour Chart, Crude Oil

200 MA 1 hour Chart. Crude algo intra work sheet 650 AM Dec 15 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO $UWT $DWT #OOTT #algo

200 MA, 1 Day Chart, Crude Oil, $USOIL

200 MA 1 Day Chart. Crude algo intra work sheet 650 AM Dec 15 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO $UWT $DWT #OOTT #algo

Fibonacci Levels:

I have left the Fib lines on this chart from a few days because they are still valid and running tighter intra ones right now isn’t productive because of the volatility experienced. So you either visit the trade room for them or run them on your charting so you are aware also of the Fib lines specific to the time frame you are trading.

Watch these lines for support and resistance. I don’t use them as traditional retracement levels with crude because the algo lines etc are more dominant. But the Fib lines are excellent indicators for intra-day trade support and resistance.

Horizontal Trend-Lines (purple):

Horizontal trend-lines are not as important as the other indicators reviewed above, however, they do serve as important resistance and support intra-day for tight trading and they are important if thick (in other words they come from previous time / price cycles). WE STARTED TO REPRESENT THE REALLY IMPORTANT LINES IN YELLOW FYI FOR EASE. Refer to chart for current applicable horizontal trend-lines.

Advanced Charting:

Respect support and resistance lines:

If you can be patient and take your long and short positions against these yellow lines for now that is your highest probability trading. With the recent geo political volatility with the Fed speak it makes the algo targets difficult because crude is not trading in its “natural” state that occurs when the geo political banter stops.

As I wrote yesterday and Wednesday:

Crude oil is still bullish – but there is a high probability that crude oil either visits the bottom of the channel yellow lines (diagonal) either this Friday or early next week – the Fed speak may have some bearing on this too so stay tuned!

Yes, the Fed speak came and crude oil price did lose the yellow support line and that line now becomes resistance!

Oil Time / Price Cycles:

Time / price cycles are the single most important indicator and my record calling them is near 100% – and that’s since inception seven months ago. The reason they are so important is that a trader does not want to be holding a crude oil instrument at termination of a time cycle if not absolutely sure if price will go up or down. A trade may choose to enter a large position in advance of a time price cycle termination IF THERE IS A HIGH PROBABILITY OF A DIRECTION IN PRICE and if the market is trading at a really important pivot area. In other words, if the market is trading at the bottom of the upward trending channel at a support (yellow lines) and we knew there was a significant probability of a time cycle about to terminate a trader may enter with a long postion. The price really spikes or drops significantly when these important time cycles terminate.

The problem with time / price cycle terminations is they change from minute to minute (depending on where price is on the chart) so you have to be in the trade room to get the alert. Our lead traders will do everything they can in future to send these on SMS but we have to be careful because it can be difficult with so much going on in the room. The reason they (time cycles) change is because they are actually represented by or are geometric shapes in the chart – I know it sounds odd but I have (as I mentioned) hit these calls just shy of 100%. The oil political people know the same algorithmic modeling principles and they ALWAYS TIME THEIR BIG ANNOUNCEMENTS AROUND THE TIME PRICE CYCLE TERMINATIONS.

So if you can picture a triangle on the chart – and price is trading in the triangle – and price is going to come to the edge of the triangle and there is a significant support or resistance or an algo line terminating there too or a target (those type of things)… then we know there is a high probability of a time and price change. In other words, it is where there are clusters of algorithm points that cross and when price is going to cross over that cluster is where they are. And these are represented on all the different time frames – the larger the time frame – the larger the time price cycle termination – the larger the spike or downdraft. This is where we establish our intra-day quadrants from for sniping trades (which we will put in to the room soon because it looks like the geo political rhetoric is over for a while making them more predictable). Difficult to explain in short. So we will do our best to SMS alert these in future.

Also, the real large or important time / price cycle terminations we know far in advance and they can be put in these newsletters.

If you review my Epic the Oil Algo Twitter feed, my blog posts and my story on our website you will get a feel for how accurate these calls are.

I wrote yesterday:

THE CHART ABOVE SHOWS CRUDE TRADING IN A TRIANGLE (in white). If the price stays in the triangle price is 99% going to spike significantly to the upside or downside before it leaves the triangle at or near the end (usually well before the end). In this instance if price is still in triangle at 1:00 Friday (red dotted vertical line) this could very well be when price will spike or drop out of that triangle.

So the price did get close to the vertical dotted red line representing the Friday 1:00 time for rig count and as I wrote above the price did get volatile as it left the triangle – BUT you need to know the next time cycle is represented on the chart above – it is the larger triangle. Watch these triangles for entries because price can get violent as price enters or leaves the triangle.

We will update you in the trading room or by email notice if any other significant time / price cycles occur intra day.

Alpha Algo Trading Trend-Lines (Red dotted lines):

To determine which algo line is most alpha (or probable) intra day, it is the nearest line to price action. This can also help you determine the trend of trade. If the algo line is trending up the price will follow it up until price is tested at an algorithm indicator (the main tests are diagonal trendlines, horizontal trendlines, time / price cycles etc – as I have shared with you). This is why it is important to watch all the lines because they are all support and resistance. To keep it simple trade the range as I’ve mentioned but keep an eye on these indicators.

The alpha algo trendlines are on the chart above and there are two above price and one below price (orange arrows) – because they are so far away from the trading price be careful because the machines will take price to either of them so watch price action. Those trend lines are like the highway for machine trading that take the trading price to the target (circle).

Your alpha algo lines are marked on the chart above!!!

Current Alpha Algo Targets (Red circles):

I can report that the alpha algo primary probability target prediction from last week for Wednesday December 7 at 10:30 as a direct hit for that time / price cycle. And so did the Friday target at 1:00 PM as a direct hit! And Tuesday this week 4:30 target was a hit and Wednesday was incredible right to the exact cent and second for the time and price target prediction!

So what is your most probable algo target for Friday 1:00 EST? Your closest target that crude is trending toward is always the most probable. Crude is currently trending toward a target (red circles on chart) Then, your second most probable is the one that is up or down trend depending on whether general price is in an upward or downtrend for the most recent week or so and what your other indicators look like (such as the MA’s I explained above).

The other way to determine which targets are in play is actually quite simple, you will notice that crude trades between the channel lines up and down and up and down and there are various support and resistance along the way. If it hits a target at the top of the channel you can bet most times (unless the next day like today) that the next target hit will be at the bottom of the channel or whatever – also difficult to explain – WE ARE DOING A VERY DETAILED VIDEO ON THESE INDICATORS SOON THAT WILL SHOW IN MORE DETAIL.

The targets for this week are represented on the chart above and for the ones above you will need to follow the algo lines. Again, refer to the live charting I send you for this also or be in the trading room.

Wait for the price to trend toward a target and take your position and watch as price gets closer and closer to the target. Remember, that the machines trade from decision to decision – or in other words from support to next resistance or resistance to next support or when the times come each week on Tuesday Wednesday and Friday they will trend toward the target that market price action determines they go to.

Our lead trader will explain more in the room and do not hesitate to ask our lead trader in the room by private message or on twitter to explain intra day decisions.

Also, please be sure to refer to the most recent post for your algo targets (there is an additional target as mentioned on the chart above now of course also).

The new targets for Tuesday, Wednesday and Friday next week will be published for you before market open Monday.

Oil Intra-Day Algo Trading Quadrants:

As I wrote yesterday:

Well we just got to a point where we were in a trading range and the quadrants were getting locked in last week and the geo political interference caused the break-out in crude oil price. So we need to wait now for Wednesday targets to expire and maybe Friday – but we’re getting to the point where we’ll be able to get aggressive with them soon because I am convinced the geo political catalysts will settle down for a while.

I completely neglected to consider / remember the Federal Reserve speak at 2:00 PM Wednesday. So now we wait until price action settles and then I will publish them.

We expect to publish these by this Monday or at latest Tuesday.

Indicator Methods:

As explained above, my algorithm is a consideration of up to fifty traditional indicators at any one time – each one given its own weight in accordance to its accuracy (win rate). This is how we establish the probability of specific targets hitting (we call them alpha algo targets).

Alpha Algo Targets, Algo Trend-lines, Algo Timing, Quadrants for Intra Snipes:

Algo targets are the red circles – they correspond with important times each week in oil reporting land. Tuesday 4:30 PM, Wednesday 10:30 AM and Friday at 1:00 PM. The red dotted diagonal lines are the algo trend-lines. And the vertical dotted (red or green) are marking the important times each week. You will find that the price of crude will hit one of the alpha algo targets about 90% of the time. In the absence of market direction the machines take price to the next algo line and/or target. Understanding how the price of crude reacts to the algos and how they move price from target to target is critical for intra-day and swing trading crude oil and associated instruments.

You will notice that price action of crude will use these algo trend-lines and act as support and resistance, and that price also often violently moves when an alpha algo line is breached either upward or downward.

We cover this in much more detail in the member updates, trading room. A review of my Twitter feed and previous blog posts will help you understand the relation of these indicators. We will start posting video blogs (for my subscribers) on YouTube (in addition to my daily blog posts) for swing traders that work during regular trading hours.

Also… we will cover how to establish algo trend-lines and price targets future forward (as you have seen me do on my Twitter feed for some time now).

Conclusion:

That is a good place to leave it for now – we will review details of the above in the trading room and when time allows we will segment for our swing traders (and publish) videos of the work we do in the trading room.

There is an important trade video coming soon also with an excellent oil trade set-up that occurred in the trade room today!!!

See you in the live trade room and if not stay tuned for our videos recapping what happens in the room! And again, if you struggle to know how to use these indicators as a trader’s edge, it is recommended that you obtain private coaching prior to trading a real account with real money – we recommend you use a paper trading account at first. And finally, we will be publishing a “how to use guide” within a day or so, but it will be simply be a recap (consolidation) of instructions in this post, from my Twitter feed, and previously published information on our website. You can also send specific questions to our email inbox at info@compoundtrading.com – if you do this be sure to ask a specific question so it can be answered specifically. When the 24 hour oil trading room opens you will have ample opportunity in that 24 hour room to ask questions also.

Watch my EPIC the Oil Algo Twitter feed for intra day notices and your email in box for member only material intra day also.

EPIC the Oil Algo

PS If you are not yet reviewing the daily post market trading results blog posts, please do so, they are on the blog daily and often there is information that also may assist your trading.

 

Article topics: EPIC the Oil Algo, Crude Oil FX: $USOIL $WTI, $UWTI, $DWTI, $USO, $UCO, $CL_F, $UWT, $DWT, $ERX, $ERY, $GUSH, $DRIP, Chart, Algorithm, Indicators, Trading Room, Trading Edge, Fibonacci, Indicators, Algo, Targets


Thursday Dec 15, 2016 EPIC the Oil Algo Oil Report (Member Edition). FX: $USOIL $WTIC ($USO, $UCO, $SCO, $CL_F, CL, $UWT, $DWT, $ERX, $ERY, $GUSH, $DRIP)

Welcome to my new FX: $USOIL $WTI oil trade report.

NOTICES:

NEW: We are having a technical coding issue with SMS text / email alert launch – will be resolved soon!

NEW: We will try and do a better job not relying just on our broadcasting voice alerts in the room because there are folks that are on cell phones that can’t hear our audio alerts so we will do our best to type the details of a trade etc intraday in the room text box. It will be easier when our full time staff are in the room in the new year because a lot of that load will be taken of the shoulders of the traders. AND, if you get kicked off because you lose service on your phone and you sign back in and you lose track of conversation just tell us in the room and we’ll email you the text you missed while you were away from room (as long as we have time). And finally, we will have the text alerts going over next few days but they won’t be perfect until early Jan when our staff are with us.

NEW: There is a new feature blog post at this link, “Why our Stock Algorithms are Different than Most” If you are using our algorithms it is a must read.

ETN’s: $UWTI and $DWTI have been resurrected by CitiGroup! $UWT and $DWT http://uk.reuters.com/article/usa-investment-etn-idUKL1N1E31ZB

LOCKED POSTS: Starting mid December the Member Editions will become available (be unlocked to general public) within days of original publication. Portions that include algorithmic calls and charting that are still in play will not be published until they expire.

MULTI-USERS: Institutional / commercial platform now available for multi-users – pricing and product information will be posted to website soon.

LIVE CHARTS: Live charting for members of my algorithmic modelling is now available on Trading View. Links are now emailed to members regularly.

PATENT PHASE: As I mentioned I am now in patent application phase. Stay tuned for agreements concerning disclosure and use coming to members.

24 HOUR TRADE ROOM: My charting transitions from FX $USOIL $WTI to 24hr crude oil futures early 2017. My sub service w incl 24 hr crude oil trade room.

PRICING: My proprietary services transitioned recently from free inaugural to subscriber only access. All rates for existing members for all service prices will be grandfathered in perpetuity (view website products page for conditions). Early 2017 when my 24 hour futures trading room opens along with 24 hour live charting I will have a rate increase but as with recent roll-over existing members will be grandfathered at locked-in current rates.

SOFTWARE: My algorithmic charting is going to developer coding phase early 2017 for our trader’s dashboard program. Please review my algorithm development process and about my oil algorithm story on our website www.compoundtrading.com and my oil algo charting posts on my Twitter feed.

HOW MY ALGORITHM WORKS: I am an algorithm in development. My math is based on traditional indicators (up to fifty at any given time each weighted on win ratio merit) – such as simple math calculations relating to price and volume, Fibonacci, simple pivots, moving averages, Gann, Schiff and various other charting, geometric and mathematical factors. I do not yet have AI or Geo Political integration – only math as it relates to traditional indicators – weighted, with the primary goal being probabilities. I am not a high frequency or bot type algorithm – I am to be used (represented on a traditional trading chart) as a probability indicator to give our trader’s an edge when triggering entries and exits on trades with instruments that rely on the price of crude oil (specifically FX: $USOIL $WTI and transitioning to futures in the new year in our new 24 hour oil trading room).

Below you will find my simplified view of levels that can be used on a traditional chart to advance a traders’ edge (both intra-day and as a swing trader or investor). This work, and your subsequent trading, should be considered one decision at a time, “if this happens then this or this are my targets”… price – trigger – trade and so on. If you need assistance email your questions to info@compoundtrading.com, message our lead trader on Twitter, or message a lead trader privately in the trade room.

FX: $USOIL $WTI Observations:

Today will not be a detailed report because the markets have shifted so much globally the last 24 hours. Please refer to prevoius reports so you have the story line.

Here is the new : Live EPIC the Oil Algo Live Trading Chart Link

https://www.tradingview.com/chart/USOIL/cSRpFCYI-USOIL-EPIC-the-Algo-Member-Chart/ –> arrow indicators on this chart

Price of crude oil came off during Fed speak yesterday and is now trading under major support (yellow line white arrow). Yesterday had crude HIT BOTH EPIC THE ALGO TARGETS for the Wednesday at 10:30 target time. The primary target hit literally to the second and cent of the call and the secondary target right above hit a couple seconds later to the exact cent!!! Alpha algo targets are in site for Friday 1:00 PM (you will see them on chart).

Intra-day Crude Oil Trading Range: At time of writing FX $USOIL $WTI is trading at 51.23 (602 AM ET Dec 15, 2016). Some thoughts with respect to traditional charting that may help advance you trading edge:

Crude, Oil, Chart, Indicators

Crude oil trade indicators. Crude algo intra work sheet 602 AM Dec 15 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO $UWT $DET #OOTT #algo

Multi Week Trading Range for Swing Trading:

Note: Be carfeful with the prices you see in the purple boxes on the right of the chart – they do not line up on chart for price action (they are for indicators).

For swings, trade between the yellow lines – they are your primary support and resistance. The recent support intra was breached yesterday! I will detail new support and resistance on next report but for now look over the chart and trade the yellow lines at minimum. Also marked with white arrows on chart above.

Also, pay attention to the upward trending channel – you can enter long and sell in between the channel yellow lines as it trends.

If price stays below the resistance at then you trade the channel under that.

If you have any questions email info@compoundtrading.com with direct questions for direct answers. Or ask in the trade room in a private message to the lead trader.

Diagonal Trend Lines:

So when price dropped it did stop at a diagonal trend line (blue line with green arrow) – these are important to watch. There is another below marked with a green arrow and the others on the chart are not marked. When price lost its support yesterday and it took a dive it lost it at a diagonal trend line.

Diagonal trend-lines (blue). Diagonal trend-lines are critical inflection points. Please review many of my recent posts so you can learn about how important these diagonal trend-lines are. If one is breached you can look to pull-back to next diagonal blue trend line about 90% of the time. Also pay attention to how thick the lines are – the thicker the line the more important because they represent extensions from previous time / price cycles.

There is one diagonal trend line above intra price and on two below (blue diagonal thin lines trending up). Look at the chart above – you will see where the diagonal trend lines are trending – WATCH THEM CLOSE. And remember you can come in to the chat room to message the trader and REMEMBER I have posted a live chart link earlier in this blog so if you can’t see the lines well on this chart above you can go to the live chart link and watch for member live algo chart links through-out the day in your email inbox!

Price Action with 20, 50, 100, 200 MA

On the chart above the 200 MA is marked with an orange arrow – it is will above price – watch this for resistance. If there was more time available this morning I would look at the 200 MA on each time frame because you need to be aware of where the 200 MA is on 5 15 30 1hr charts because it will play a role in support and resistance with crude trading 80% of the time. So do yourself a favor and be sure your running the MA’s on your own charting.

Fibonacci Levels:

I have left the Fib lines on this chart from a few days because they are still valid and running tighter intra ones right now isn’t productive because of the volatility experienced. So you either visit the trade room for them or run them on your charting so you are aware also of the Fib lines specific to the time frame you are trading.

Watch these lines for support and resistance. I don’t use them as tradtional retracement levels with crude because the algo lines etc are more dominant. But the Fib lines are excellent indicators for intra-day trade support and resistance.

Horizontal Trend-Lines (purple):

Horizontal trend-lines are not as important as the other indicators reviewed above, however, they do serve as important resistance and support intra-day for tight trading and they are important if thick (in other words they come from previous time / price cycles). WE STARTED TO REPRESENT THE REALLY IMPORTANT LINES IN YELLOW FYI FOR EASE. Refer to chart for current applicable horizontal trend-lines.

Advanced Charting:

Respect support and resistance lines:

If you can be patient and take your long and short positions against these yellow lines for now that is your highest probability trading. With the recent geo political volatility with the Fed speak it makes the algo targets difficult because crude is not trading in its “natural” state that occurs when the geo political banter stops.

As I wrote yesterday:

Crude oil is still bullish – but there is a high probability that crude oil either visits the bottom of the channel yellow lines (diagonal) either this Friday or early next week – the Fed speak may have some bearing on this too so stay tuned!

Yes, the Fed speak came and crude oil price did lose the yellow support line and that line now becomes resistance!

Oil Time / Price Cycles:

Time / price cycles are the single most important indicator I use as a trader and EPIC’s record with them is near 100% – and that’s since inception seven months ago. The reason they are so important is that I as a trader do not want to be holding a crude oil instrument at a termination of a time cycle if I am not absolutely sure if price will go up or down. I will however go really deep in advance of a time price cycle termination IF THERE IS A HIGH PROBABILITY OF A DIRECTION IN PRICE if we are trading at a really important pivot area. In other words, if we were trading at the bottom of the upward trending channel at a support (yellow lines) and I knew there was a significant time cycle about to terminate I would go really heavy with a long. The price really spikes or drops hard when these important time cycles terminate. Fantastic plays.

The problem with time / price cycle terminations is that they change from minute to minute (depending on where price is on the chart) so you have to be in the trade room to get the alert – now we will do everything we can in future to send these on SMS but I want to be careful because it can be difficult with so much going on in the room. The reason they change is because they are actually represented by or are geometric shapes in the chart – I know it sounds weird but we’ve hit them just shy of 100%. And the oil political guys know the same thing and they ALWAYS TIME THEIR BIG ANNOUNCEMENTS AROUND THESE TIME CYCLE TERMINATIONS. So if you can picture a triangle on the chart – and price is trading in the triangle – and price is going to come to the edge of the triangle and there is a significant support or resistance or an algo line terminating there too or a target (those type of things)… then we know there is a high probability of a time and price change. In other words, its where there are clusters of algorithm points that cross and when price is going to cross over that cluster is where they are. And these are represented on all the different time frames – the larger the time frame – the larger the time price cycle terminate – the larger the spike or downdraft. This is where we establish our intra-day qudrants from for sniping trades (which we will put in to the room soon because it looks like the geo political rhetoric is over for a while making them more predictable). Difficult to explain in short. So we will do our best to SMS alert these in future.

Also, the real large or important time / price cycle terminations we know far in advance and they can be put in these newsletters.

If you review EPIC’s Twitter feed, blog posts and his story on our website you will get a feel for how accurate these are.

THE CHART ABOVE SHOWS CRUDE TRADING IN A TRIANGLE (in white). If the price stays in the triangle price is 99% going to spike significantly to the upside or downside before it leaves the triangle at or near the end (usually well before the end). In this instance if price is still in triangle at 1:00 Friday (red dotted vertical line) this could very well be when price will spike or drop out of that triangle.

We will update you in the trading room or by email notice if any other significant time / price cycles occur intra day.

Alpha Algo Trading Trend-Lines (Red dotted lines):

To determine which algo line is most alpha (or probable) intra day, it is the nearest line to price action. This can also help you determine the trend of trade. If the algo line is trending up the price will follow it up until price is tested at an algorithm indicator (the main tests are diagonal trendlines, horizontal trendlines, time / price cycles etc – as I have shared with you). This is why it is important to watch all the lines because they are all support and resistance. To keep it simple trade the range as I’ve mentioned but keep an eye on these indicators.

The alpha algo trendlines are on the chart above and there are two above price and one below price (orange arrows) – because they are so far away from the trading price be careful because the machines will take price to either of them so watch price action. Those trend lines are like the highway for machine trading that take the trading price to the target (circle).

Current Alpha Algo Targets (Red circles):

I can report that the alpha algo primary probability target prediction from last week for Wednesday December 7 at 10:30 as a direct hit for that time / price cycle. And so did the Friday target at 1:00 PM as a direct hit! And Tuesday this week 4:30 target was a hit and Wednesday was incredible right to the exact cent and second for the time and price target prediction! As I mentioned at the beginning of this post! 

Crude Oil, Price, Target, Algo, Hit

Close-up of exact penny to the exact second in 9 day advance call. 1258PM Dec 14 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO $UWT $DWT #OOTT #algo

Show me another algo on Wall Street that is available to the public that can do that!

So what is your most probable algo target for Friday 1:00 EST? Your closest target that crude is trending toward is always the most probable. Crude is currently trending toward a target (red circles on chart) Then, your second most probable is the one that is up or down trend depending on whether general price is in an upward or downtrend for the most recent week or so and what your other indicators look like (such as the MA’s I explained above).

The other way to determine which targets are in play is actually quite simple, you will notice that crude trades between the channel lines up and down and up and down and there are various support and resistance along the way. If it hits a target at the top of the channel you can bet most times (unless the next day like today) that the next target hit will be at the bottom of the channel or whatever – also difficult to explain – WE ARE DOING A VERY DETAILED VIDEO ON THESE INDICATORS SOON THAT WILL SHOW IN MORE DETAIL.

The targets for this week are represented on the chart above and for the ones above you will need to follow the algo lines. Again, refer to the live charting I send you for this also or be in the trading room.

Wait for the price to trend toward a target and take your position and watch as price gets closer and closer to the target. Remember, that the machines trade from decision to decision – or in other words from support to next resistance or resistance to next support or when the times come each week on Tuesday Wednesday and Friday they will trend toward the target that market price action determines they go to.

Our lead trader will explain more in the room and do not hesitate to ask our lead trader in the room by private message or on twitter to explain intra day decisions.

Also, please be sure to refer to the most recent post for your algo targets (there is an additional target as mentioned on the chart above now of course also).

Oil Intra-Day Algo Trading Quadrants:

As I wrote yesterday:

Well we just got to a point where we were in a trading range and the quadrants were getting locked in last week and the geo political interference caused the break-out in crude oil price. So we need to wait now for Wednesday targets to expire and maybe Friday – but we’re getting to the point where we’ll be able to get aggressive with them soon because I am convinced the geo political catalysts will settle down for a while.

I completely neglected to consider / remember the Federal Reserve speak at 2:00 PM Wednesday. So now we wait until price action settles and then I will publish them.

Indicator Methods:

As explained above, my algorithm is a consideration of up to fifty traditional indicators at any one time – each one given its own weight in accordance to its accuracy (win rate). This is how we establish the probability of specific targets hitting (we call them alpha algo targets).

Alpha Algo Targets, Algo Trend-lines, Algo Timing, Quadrants for Intra Snipes:

Algo targets are the red circles – they correspond with important times each week in oil reporting land. Tuesday 4:30 PM, Wednesday 10:30 AM and Friday at 1:00 PM. The red dotted diagonal lines are the algo trend-lines. And the vertical dotted (red or green) are marking the important times each week. You will find that the price of crude will hit one of the alpha algo targets about 90% of the time. In the absence of market direction the machines take price to the next algo line and/or target. Understanding how the price of crude reacts to the algos and how they move price from target to target is critical for intra-day and swing trading crude oil and associated instruments.

You will notice that price action of crude will use these algo trend-lines and act as support and resistance, and that price also often violently moves when an alpha algo line is breached either upward or downward.

We cover this in much more detail in the member updates, trading room. A review of my Twitter feed and previous blog posts will help you understand the relation of these indicators. We will start posting video blogs (for my subscribers) on YouTube (in addition to my daily blog posts) for swing traders that work during regular trading hours.

Also… we will cover how to establish algo trend-lines and price targets future forward (as you have seen me do on my Twitter feed for some time now).

Conclusion:

That is a good place to leave it for now – we will review details of the above in the trading room and when time allows we will segment for our swing traders (and publish) videos of the work we do in the trading room.

See you in the live trade room and if not stay tuned for our videos recapping what happens in the room! And again, if you struggle to know how to use these indicators as a trader’s edge, it is recommended that you obtain private coaching prior to trading a real account with real money – we recommend you use a paper trading account at first. And finally, we will be publishing a “how to use guide” within a day or so, but it will be simply be a recap (consolidation) of instructions in this post, from my Twitter feed, and previously published information on our website. You can also send specific questions to our email inbox at info@compoundtrading.com – if you do this be sure to ask a specific question so it can be answered specifically. When the 24 hour oil trading room opens you will have ample opportunity in that 24 hour room to ask questions also.

Watch my EPIC the Oil Algo Twitter feed for intra day notices and your email in box for member only material intra day also.

EPIC the Oil Algo

Article topics: EPIC the Oil Algo, Crude Oil FX: $USOIL $WTI, $UWTI, $DWTI, $USO, $UCO, $CL_F, $UWT, $DWT, $ERX, $ERY, $GUSH, $DRIP, Chart, Algorithm, Indicators, Trading Room, Trading Edge, Fibonacci, Indicators, Algo, Targets


Wednesday Dec 14, 2016 EPIC the Oil Algo Oil Report (Member Edition). FX: $USOIL $WTIC ($USO, $UCO, $SCO, $CL_F, CL, $UWT, $DWT, $ERX, $ERY, $GUSH, $DRIP)

Welcome to my new FX: $USOIL $WTI oil trade report.

NOTICES:

IMPORTANT ALERT: We will try and do a better job not relying just on our broadcasting voice alerts in the room because there are folks that are on cell phones that can’t hear our audio alerts so we will do our best to type the details of a trade etc intraday in the room text box. It will be easier when our full time staff are in the room in the new year because a lot of that load will be taken of the shoulders of the traders. AND, if you get kicked off because you lose service on your phone and you sign back in and you lose track of conversation just tell us in the room and we’ll email you the text you missed while you were away from room (as long as we have time). And finally, we will have the text alerts going over next few days but they won’t be perfect until early Jan when our staff are with us.

NEW: There is a new feature blog post at this link, “Why our Stock Algorithms are Different than Most.” If you are using our algorithms it is a must read.

ETN’s: $UWTI and $DWTI have been resurrected by CitiGroup! $UWT and $DWT http://uk.reuters.com/article/usa-investment-etn-idUKL1N1E31ZB

LOCKED POSTS: Starting mid December the Member Editions will become available (be unlocked to general public) within days of original publication. Portions that include algorithmic calls and charting that are still in play will not be published until they expire.

MULTI-USERS: Institutional / commercial platform now available for multi-users – pricing and product information will be posted to website soon.

LIVE CHARTS: Live charting for members of my algorithmic modelling is now available on Trading View. Links are now emailed to members regularly.

PATENT PHASE: As I mentioned I am now in patent application phase. Stay tuned for agreements concerning disclosure and use coming to members.

24 HOUR TRADE ROOM: My charting transitions from FX $USOIL $WTI to 24hr crude oil futures early 2017. My sub service w incl 24 hr crude oil trade room.

PRICING: My proprietary services transitioned recently from free inaugural to subscriber only access. All rates for existing members for all service prices will be grandfathered in perpetuity (view website products page for conditions). Early 2017 when my 24 hour futures trading room opens along with 24 hour live charting I will have a rate increase but as with recent roll-over existing members will be grandfathered at locked-in current rates.

SOFTWARE: My algorithmic charting is going to developer coding phase early 2017 for our trader’s dashboard program. Please review my algorithm development process and about my oil algorithm story on our website www.compoundtrading.com and my oil algo charting posts on my Twitter feed.

HOW MY ALGORITHM WORKS: I am an algorithm in development. My math is based on traditional indicators (up to fifty at any given time each weighted on win ratio merit) – such as simple math calculations relating to price and volume, Fibonacci, simple pivots, moving averages, Gann, Schiff and various other charting, geometric and mathematical factors. I do not yet have AI or Geo Political integration – only math as it relates to traditional indicators – weighted, with the primary goal being probabilities. I am not a high frequency or bot type algorithm – I am to be used (represented on a traditional trading chart) as a probability indicator to give our trader’s an edge when triggering entries and exits on trades with instruments that rely on the price of crude oil (specifically FX: $USOIL $WTI and transitioning to futures in the new year in our new 24 hour oil trading room).

Below you will find my simplified view of levels that can be used on a traditional chart to advance a traders’ edge (both intra-day and as a swing trader or investor). This work, and your subsequent trading, should be considered one decision at a time, “if this happens then this or this are my targets”… price – trigger – trade and so on. If you need assistance email your questions to info@compoundtrading.com, message our lead trader on Twitter, or message a lead trader privately in the trade room.

FX: $USOIL $WTI Observations:

Today will not be a detailed report as data has not changed much from the last two days so you can use those and today’s report, the live charting link provided and the trade room as your guide as needed.

Here is the new : Live EPIC the Oil Algo Live Trading Chart Link

https://www.tradingview.com/chart/USOIL/ifp01Csh-MEMBER-ONLY-LIVE-OIL-CHART/

Price of crude trading in the range between the major support and resistance. Yesterdays market action had crude come off and HIT THE TARGET ZONE for the Tueday 4:30 time (not perfect but trade-able target for sure). Alpha algo targets are in site for Wednesday 10:30 AM now and Friday 1:00 PM (you will see them on chart).

Intra-day Crude Oil Trading Range: At time of writing FX $USOIL $WTI is trading at 52.34 (507 AM ET Dec 14, 2016). Some thoughts with respect to traditional charting that may help advance you trading edge:

Crude Oil, Intra Day, Price, Chart

https://www.tradingview.com/chart/USOIL/ifp01Csh-MEMBER-ONLY-LIVE-OIL-CHART/

Multi Week Trading Range / Swings:

Note: Be carfeul with the prices you see in the purple boxes on the right – they do not line up on chart for price action (they are for indicators).

For swings, trade between the yellow lines – they are your primary support and resistance. If price gets up over that upper yellow line at 54.49 the trade between that line as support for longs as long as it stays above and ratchet up your stops when it gets close to major resistance at 54.49, 55.17, 58.37 and 58.57. There are of course other support and resistance lines – but those are they big ones.

Also, pay attention to the upward trending channel – you can enter long and sell in between the channel yellow lines as it trends.

If price stays below the resistance at 54.49 then you trade the channel under that.

I have been waiting for an opportunity to take a long position at a yellow line support. I have been patient with that because the price of crude has been so aggresive I thought it would come off to those lower targets it hit yesterday and looks like it will hit today at 10:30 AM. So I will likely take a long position (not for sure) but if I do my stop will be fairly tight. Ideally you want a long position at supports way down at channel bottom. But we’ll see how it goes in the room.

If you have any questions email info@compoundtrading with direct questions for direct answers. Or ask in the trade room in a private message to the lead trader.

Diagonal Trend Lines:

Diagonal trend-lines (blue). Diagonal trend-lines are critical inflection points. Please review many of my recent posts so you can learn about how important these diagonal trend-lines are. If one is breached you can look to pull-back to next diagonal blue trend line about 90% of the time. Also pay attention to how thick the lines are – the thicker the line the more important because they represent extensions from previous time / price cycles.

There is one diagonal trendline above intra price and on two below (blue diagonal thin lines trending up). Look at the chart above – you will see where the diagonal trendlines are trending – WATCH THEM CLOSE. And remember you can come in to the chatroom to message the trader and REMEMBER I have posted a live chart link earlier in this blog so if you can’t see the lines well on this chart above you can go to the live chart link and watch for member live algo chart links through-out the day in your email inbox!

Price Action with 20, 50, 100, 200 MA

So here you have a conflict. On the 15 minute chart the price is trading under the 200 MA – which is a BEARISH SIGNAL intra-day. And below it is not on the 30 minute chart – the price is above. Watch this really close because price under the 200 MA on the 30 minute could send price down to lower targets on the chart for Friday. I marked on on the chart lower for Friday.

Crude, Oil, Chart, 200 MA

Price under 200 MA on 15 min chart bearish, above bullish. Crude algo intra work sheet 522 AM Dec 14 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO $UWT $DWT #OOTT #algo

Crude, Oil, 200MA, 30 Min, Chart

Price under 200 MA on 30 min chart bearish, above bullish. Crude algo intra work sheet 522 AM Dec 14 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO $UWT $DWT #OOTT #algo

Fibonacci Levels:

I have left the Fib lines on this chart from yesterday because things haven’t changed. However, you can see tighter trading Fib lines in the trading room at times when I’m locking in on a trade or if you subscribe to Trading View you can set them yourself real quick. Watch these lines for support and resistance. I don’t use them as tradtional retracement levels with crude because the algo lines etc are more dominant. But the Fib lines are excellent indicators for intra-day trade support and resistance.

Horizontal Trend-Lines (purple):

Horizontal trend-lines are not as important as the other indicators reviewed above, however, they do serve as important resistance and support intra-day for tight trading and they are important if thick (in other words they come from previous time / price cycles). WE STARTED TO REPRESENT THE REALLY IMPORTANT LINES IN YELLOW FYI FOR EASE. Refer to chart for current applicable horizontal trend-lines.

Advanced Charting:

Respect support and resistance lines:

If you can be patient and take your long and short positions against these yellow lines for now that is your highest probability trading. With the recent geo political mess it makes the algo targets difficult because crude is not trading in its “natural” state that occurs when the geo political banter stops.

Crude oil is still bullish – but there is a high probability that crude oil either visits the bottom of the channel yellow lines (diagonal) either this Friday or early next week – the Fed speak may have some bearing on this too so stay tuned!

Oil Time / Price Cycles:

Time / price cycles are the single most important indicator I use as a trader and EPIC’s record with them is near 100% – and that’s since inception seven months ago. The reason they are so important is that I as a trader do not want to be holding a crude oil instrument at a termination of a time cycle if I am not absolutely sure if price will go up or down. I will however go really deep in advance of a time price cycle termination IF THERE IS A HIGH PROBABILITY OF A DIRECTION IN PRICE if we are trading at a really important pivot area. In other words, if we were trading at the bottom of the upward trending channel at a support (yellow lines) and I knew there was a significant time cycle about to terminate I would go really heavy with a long. The price really spikes or drops hard when these important time cycles terminate. Fantastic plays.

The problem with time / price cycle terminations is that they change from minute to minute (depending on where price is on the chart) so you have to be in the trade room to get the alert – now we will do everything we can in future to send these on SMS but I want to be careful because it can be difficult with so much going on in the room. The reason they change is because they are actually represented by or are geometric shapes in the chart – I know it sounds weird but we’ve hit them just shy of 100%. And the oil political guys know the same thing and they ALWAYS TIME THEIR BIG ANNOUNCEMENTS AROUND THESE TIME CYCLE TERMINATIONS. So if you can picture a triangle on the chart – and price is trading in the triangle – and price is going to come to the edge of the triangle and there is a significant support or resistance or an algo line terminating there too or a target (those type of things)… then we know there is a high probability of a time and price change. In other words, its where there are clusters of algorithm points that cross and when price is going to cross over that cluster is where they are. And these are represented on all the different time frames – the larger the time frame – the larger the time price cycle terminate – the larger the spike or downdraft. This is where we establish our intra-day qudrants from for sniping trades (which we will put in to the room soon because it looks like the geo political rhetoric is over for a while making them more predictable). Difficult to explain in short. So we will do our best to SMS alert these in future.

Also, the real large or important time / price cycle terminations we know far in advance and they can be put in these newsletters. Right now there are no large significant time cycles identified – there are smaller ones that affect intra-day price but no significant ones identified.

If you review EPIC’s Twitter feed, blog posts and his story on our website you will get a feel for how accurate these are.

Alpha Algo Trading Trend-Lines (Red dotted lines):

To determine which algo line is most alpha (or probable) intra day, it is the nearest line to price action. This can also help you determine the trend of trade. If the algo line is trending up the price will follow it up until price is tested at an algorithm indicator (the main tests are diagonal trendlines, horizontal trendlines, time / price cycles etc – as I have shared with you). This is why it is important to watch all the lines because they are all support and resistance. To keep it simple trade the range as I’ve mentioned but keep an eye on these indicators.

The alpha algo trendlines are on the chart above.

Current Alpha Algo Targets (Red circles):

I can report that the alpha algo primary probability target prediction from last week for Wednesday December 7 at 10:30 as a direct hit for that time / price cycle. And so did the Friday target at 1:00 PM as a direct hit! And yesterdays target was a hit! As I mentioned at the beginning of this post! Very trade-able calls – excellent!

So what is your most probable algo target for Wednesday at 10:30 EST and Friday 1:00 EST? Your closest target that crude is trending toward is always the most probable. Crude is currently trending toward a target (red circles on chart) Then, your second most probable is the one that is up or down trend depending on whether general price is in an upward or downtrend for the most recent week or so and what your other indicators look like (such as the MA’s I explained above).

The other way to determine which targets are in play is actually quite simple, you will notice that crude trades between the channel lines up and down and up and down and there are various support and resistance along the way. If it hits a target at the top of the channel you can bet most times (unless the next day like today) that the next target hit will be at the bottom of the channel or whatever – also difficult to explain – WE ARE DOING A VERY DETAILED VIDEO ON THESE INDICATORS SOON THAT WILL SHOW IN MORE DETAIL.

The targets for this week are represented on the chart above and for the ones above you will need to follow the algo lines. Again, refer to the live charting I send you for this also or be in the trading room.

Wait for the price to trend toward a target and take your position and watch as price gets closer and closer to the target. Remember, that the machines trade from decision to decision – or in other words from support to next resistance or resistance to next support or when the times come each week on Tuesday Wednesday and Friday they will trend toward the target that market price action determines they go to.

Our lead trader will explain more in the room and do not hesitate to ask our lead trader in the room by private message or on twitter to explain intra day decisions.

Also, please be sure to refer to the most recent post for your algo targets (there is an additional target as mentioned on the chart above now of course also).

Oil Intra-Day Algo Trading Quadrants:

Well we just got to a point where we were in a trading range and the quadrants were getting locked in last week and the geo political interference caused the break-out in crude oil price. So we need to wait now for Wednesday targets to expire and maybe Friday – but we’re getting to the point where we’ll be able to get aggressive with them soon because I am convinced the geo political catalysts will settle down for a while.

Indicator Methods:

As explained above, my algorithm is a consideration of up to fifty traditional indicators at any one time – each one given its own weight in accordance to its accuracy (win rate). This is how we establish the probability of specific targets hitting (we call them alpha algo targets).

Alpha Algo Targets, Algo Trend-lines, Algo Timing, Quadrants for Intra Snipes:

Algo targets are the red circles – they correspond with important times each week in oil reporting land. Tuesday 4:30 PM, Wednesday 10:30 AM and Friday at 1:00 PM. The red dotted diagonal lines are the algo trend-lines. And the vertical dotted (red or green) are marking the important times each week. You will find that the price of crude will hit one of the alpha algo targets about 90% of the time. In the absence of market direction the machines take price to the next algo line and/or target. Understanding how the price of crude reacts to the algos and how they move price from target to target is critical for intra-day and swing trading crude oil and associated instruments.

You will notice that price action of crude will use these algo trend-lines and act as support and resistance, and that price also often violently moves when an alpha algo line is breached either upward or downward.

We cover this in much more detail in the member updates, trading room. A review of my Twitter feed and previous blog posts will help you understand the relation of these indicators. We will start posting video blogs (for my subscribers) on YouTube (in addition to my daily blog posts) for swing traders that work during regular trading hours.

Also… we will cover how to establish algo trend-lines and price targets future forward (as you have seen me do on my Twitter feed for some time now).

Conclusion:

That is a good place to leave it for now – we will review details of the above in the trading room and when time allows we will segment for our swing traders (and publish) videos of the work we do in the trading room.

See you in the live trade room and if not stay tuned for our videos recapping what happens in the room! And again, if you struggle to know how to use these indicators as a trader’s edge, it is recommended that you obtain private coaching prior to trading a real account with real money – we recommend you use a paper trading account at first. And finally, we will be publishing a “how to use guide” within a day or so, but it will be simply be a recap (consolidation) of instructions in this post, from my Twitter feed, and previously published information on our website. You can also send specific questions to our email inbox at info@compoundtrading.com – if you do this be sure to ask a specific question so it can be answered specifically. When the 24 hour oil trading room opens you will have ample opportunity in that 24 hour room to ask questions also.

Watch my EPIC the Oil Algo Twitter feed for intra day notices and your email in box for member only material intra day also.

EPIC the Oil Algo

 

Article topics: EPIC the Oil Algo, Crude Oil FX: $USOIL $WTI, $UWTI, $DWTI, $USO, $UCO, $CL_F, $UWT, $DWT, $ERX, $ERY, $GUSH, $DRIP, Chart, Algorithm, Indicators, Trading Room, Trading Edge, Fibonacci, Indicators, Algo, Targets


Tuesday Dec 13, 2016 EPIC the Oil Algo Oil Report (Member Edition). FX: $USOIL $WTIC ($USO, $UCO, $SCO, $CL_F, CL, $UWT, $DWT, $ERX, $ERY, $GUSH, $DRIP)

Welcome to my new FX: $USOIL $WTI oil trade report.

IMPORTANT NOTICES:

NEW: The is a new feature blog post at this link, “Why our Stock Algorithms are Different than Most.” If you are using our algorithms it is a must read.

ETN’s: $UWTI and $DWTI have been resurected by CitiGroup! $UWT and $DWT http://uk.reuters.com/article/usa-investment-etn-idUKL1N1E31ZB

LOCKED POSTS: Starting mid December the Member Editions will become available (be unlocked to general public) within days of original publication. Portions that include algorithmic calls and charting that are still in play will not be published until they expire.

MULTI-USERS: Institutional / commercial platform now available for multi-users – pricing and product information will be posted to website soon.

LIVE CHARTS: Live charting for members of my algorithmic modelling is now available on Trading View. Links are now emailed to members regularly.

PATENT PHASE: As I mentioned I am now in patent application phase. Stay tuned for agreements concerning disclosure and use coming to members.

24 HOUR TRADE ROOM: My charting transitions from FX $USOIL $WTI to 24hr crude oil futures early 2017. My sub service w incl 24 hr crude oil trade room.

PRICING: My proprietary services transitioned recently from free inaugural to subscriber only access. All rates for existing members for all service prices will be grandfathered in perpetuity (view website products page for conditions). Early 2017 when my 24 hour futures trading room opens along with 24 hour live charting I will have a rate increase but as with recent roll-over existing members will be grandfathered at locked-in current rates.

SOFTWARE: My algorithmic charting is going to developer coding phase early 2017 for our trader’s dashboard program. Please review my algorithm development process and about my oil algorithm story on our website www.compoundtrading.com and my oil algo charting posts on my Twitter feed.

HOW MY ALGORITHM WORKS: I am an algorithm in development. My math is based on traditional indicators (up to fifty at any given time each weighted on win ratio merit) – such as simple math calculations relating to price and volume, Fibonacci, simple pivots, moving averages, Gann, Schiff and various other charting, geometric and mathematical factors. I do not yet have AI or Geo Political integration – only math as it relates to traditional indicators – weighted, with the primary goal being probabilities. I am not a high frequency or bot type algorithm – I am to be used (represented on a traditional trading chart) as a probability indicator to give our trader’s an edge when triggering entries and exits on trades with instruments that rely on the price of crude oil (specifically FX: $USOIL $WTI and transitioning to futures in the new year in our new 24 hour oil trading room).

Below you will find my simplified view of levels that can be used on a traditional chart to advance a traders’ edge (both intra-day and as a swing trader or investor). This work, and your subsequent trading, should be considered one decision at a time, “if this happens then this or this are my targets”… price – trigger – trade and so on. If you need assistance email your questions to info@compoundtrading.com, message our lead trader on Twitter, or message a lead trader privately in the trade room.

FX: $USOIL $WTI Observations:

Today will not be a detailed report as data has not changed much from yesterday so you can use yesterday’s report, today’s report, the live charting link provided and the trade room as your guide as needed.

Here is the new : Live EPIC the Oil Algo Live Trading Chart

Price of crude trading in the range between the major support and resistance. Yesterdays market action had crude come off a bit because the Sunday night trade had it bid up to resistance. Crude did bounce off a Fibonacci support level and is trending up now intra-day. Alpha algo targets are in site for Tuesday 4:30 and Wednesday 10:30 AM.

Intra-day Crude Oil Trading Range: At time of writing FX $USOIL $WTI is trading at 53.24 (704 AM ET Dec 13, 2016). Some thoughts with respect to traditional charting that may help advance you trading edge:

Crude Oil, Intra-day, Chart

Crude Oil, Chart

Intra day price 53.24 Crude algo intra work sheet 704 AM Dec 13 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Multi Week Trading Range / Swings:

For swings, trade between the yellow lines – they are your primary support and resistance. If price gets up over that upper yellow line at 54.49 the trade between that line as support for longs as long as it stays above and ratchet up your stops when it gets close to major resistance at 54.49, 55.17, 58.37 and 58.57. There are of course other support and resistance lines – but those are they big ones.

Also, pay attention to the upward trending channel – you can enter long and sell in between the channel yellow lines as it trends.

If price stays below the resistance at 54.49 then you trade the channel under that.

If you have any questions email info@compoundtrading with direct questions for direct answers. Or ask in the trade room in a private message to the lead trader.

Diagonal Trend Lines:

Diagonal trend-lines (blue). Diagonal trend-lines are critical inflection points. Please review many of my recent posts so you can learn about how important these diagonal trend-lines are. If one is breached you can look to pull-back to next diagonal blue trend line about 90% of the time. Also pay attention to how thick the lines are – the thicker the line the more important because they represent extensions from previous time / price cycles.

There is one diagonal trendline above intra price and one below – crude is trading right in between them right now. Look at the chart above – you will see where the diagonal trendlines are trending – WATCH THEM CLOSE. And remember you can come in to the chatroom to message the trader and REMEMBER I have posted a live chart link earlier in this blog so if you can’t see the lines well on this chart above you can go to the live chart link and watch for member live algo chart links through-out the day in your email inbox!

Price Action with 20, 50, 100, 200 MA

Crude using 100 MA on 30 as support – watch this today! Crude algo intra work sheet 748 AM Dec 13 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Blue line on chart below is the 100 MA on the 30 minute chart.

Crude oil, 100 MA, Chart

Crude using 100 MA on 30 as support – watch this today! Crude algo intra work sheet 748 AM Dec 13 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Fibonacci Levels:

Fibonacci levels are included on this chart and price did bounce off a Fib line yesterday so watch these close today – price is trading technically here! t is the green line on the chart at bottom of price action in oil yesterday.

crude, oil, chart, $USOIL, $WTI

Trading in upward channel respecting support and resistance. Crude oil algo intra work sheet. 513 AM Dec 13 FX $USOIL $WTIC $CL_F $UWT $DWT $USO $UCO $SCO #Oil #OOTT #algo

Horizontal Trend-Lines (purple):

Horizontal trend-lines are not as important as the other indicators reviewed above, however, they do serve as important resistance and support intra-day for tight trading and they are important if thick (in other words they come from previous time / price cycles). WE STARTED TO REPRESENT THE REALLY IMPORTANT LINES IN YELLOW FYI FOR EASE. Refer to chart for current applicable horizontal trend-lines.

Advanced Charting:

Respect support and resistance lines:

If you can be patient and take your long and short positions against these yellow lines for now that is your highest probability trading. With the recent geo political mess it makes the algo targets difficult because crude is not trading in its “natural” state that occurs when the geo political banter stops.

Crude oil is still bullish – don’t listen to the noise. If this changes I will let you know. In the meantime trade the range or snipe knowing your lines and targets.

Oil Time / Price Cycles:

Well, we know from my celebration at the outset of this article that we hit the time / price cycle from last week…. IF $USOIL IS TRADING ABOVE 51.38 THERE IS A REALLY IMPORTANT TIME / PRICE CYCLE EXPIRING AT LATEST DEC 13 at 4:00 AM. AT LATEST. This means 98.5% of the time there will be a significant uptrend or downward trend established. WATCH VERY CLOSE. If you review my Twitter feed you will see that I AM ALWAYS RIGHT ABOUT THESE and the price normally drastically moves well before the termination of the time price cycle. IF PRICE IS TRADING UNDER 51.38 YOU CAN DISREGARD THIS NOTICE.

The time price cycle terminations are use-less to give you right now because the price of crude is right in between a tonne of price decisions – and depending on where price trades intra-day will depend on when the time / cycle terminates. SO WHAT YOU NEED TO DO IS COME IN TO THE ROOM AND ASK ME TO GIVE YOU THE CURRENT TIME / PRICE CYCLE TERMINATIONS BASED ON CURRENT PRICE AND I WILL. Until then the time cycle terminations are o Dec 12 at 5PMl Dec 13 12 AM, Dec 13 1:00 AM, Dec 14 1 AM, Dec 19 6 AM but with-out knowing where price is going to be during those cycles I can’t tell you right now if they are in play. So ask as needed intra-day until the price of crude finds its range.

Alpha Algo Trading Trend-Lines (Red dotted lines):

To determine which algo line is most alpha (or probable) intra day, it is the nearest line to price action. This can also help you determine the trend of trade. If the algo line is trending up the price will follow it up until price is tested at an algorithm indicator (the main tests are diagonal trendlines, horizontal trendlines, time / price cycles etc – as I have shared with you). This is why it is important to watch all the lines because they are all support and resistance. To keep it simple trade the range as I’ve mentioned but keep an eye on these indicators.

The alpha algo trendlines are on the chart above.

Current Alpha Algo Targets (Red circles):

I can report that the alpha algo primary probability target prediction from last week for Wednesday December 7 at 10:30 as a direct hit for that time / price cycle. And so did the Friday target at 1:00 PM as a direct hit! As I mentioned at the beginning of this post! Very trade-able calls – excellent!

So what is your most probable algo target for Tuesday at 4:30 EST and Wed 10:30 EST? Your closest target that crude is trending toward is always the most probable. Crude is currently trending toward a target to the upside (red circles on chart) Then, your second most probable is the one that is up or down trend depending on whether general price is in an upward or downtrend for the most recent week or so.

The targets for this week are represented on the chart above and for the ones above you will need to follow the algo lines. Again, refer to the live charting I send you for this also or be in the trading room.

Wait for the price to trend toward a target and take your position and watch as price gets closer and closer to the target. Remember, that the machines trade from decision to decision – or in other words from support to next resistance or resistance to next support or when the times come each week on Tuesday Wednesday and Friday they will trend toward the target that market price action determines they go to.

Our lead trader will explain more in the room and do not hesitate to ask our lead trader in the room by private message or on twitter to explain intra day decisions.

Also, please be sure to refer to the most recent post for your algo targets (there is an additional target as mentioned on the chart above now of course also).

Oil Intra-Day Algo Trading Quadrants:

Well we just got to a point where we were in a trading range and the quadrants were getting locked in last week and the geo political interference caused the break-out in crude oil price. So we need to wait now for two things; the price of crude to establish a trading range and for at least Tuesday and Wednesday targets to be established. Here again, watch for updates.

Indicator Methods:

As explained above, my algorithm is a consideration of up to fifty traditional indicators at any one time – each one given its own weight in accordance to its accuracy (win rate). This is how we establish the probability of specific targets hitting (we call them alpha algo targets).

Alpha Algo Targets, Algo Trend-lines, Algo Timing, Quadrants for Intra Snipes:

Algo targets are the red circles – they correspond with important times each week in oil reporting land. Tuesday 4:30 PM, Wednesday 10:30 AM and Friday at 1:00 PM. The red dotted diagonal lines are the algo trend-lines. And the vertical dotted (red or green) are marking the important times each week. You will find that the price of crude will hit one of the alpha algo targets about 90% of the time. In the absence of market direction the machines take price to the next algo line and/or target. Understanding how the price of crude reacts to the algos and how they move price from target to target is critical for intra-day and swing trading crude oil and associated instruments.

You will notice that price action of crude will use these algo trend-lines and act as support and resistance, and that price also often violently moves when an alpha algo line is breached either upward or downward.

We cover this in much more detail in the member updates, trading room. A review of my Twitter feed and previous blog posts will help you understand the relation of these indicators. We will start posting video blogs (for my subscribers) on YouTube (in addition to my daily blog posts) for swing traders that work during regular trading hours.

Also… we will cover how to establish algo trend-lines and price targets future forward (as you have seen me do on my Twitter feed for some time now).

Conclusion:

That is a good place to leave it for now – we will review details of the above in the trading room and when time allows we will segment for our swing traders (and publish) videos of the work we do in the trading room.

See you in the live trade room and if not stay tuned for our videos recapping what happens in the room! And again, if you struggle to know how to use these indicators as a trader’s edge, it is recommended that you obtain private coaching prior to trading a real account with real money – we recommend you use a paper trading account at first. And finally, we will be publishing a “how to use guide” within a day or so, but it will be simply be a recap (consolidation) of instructions in this post, from my Twitter feed, and previously published information on our website. You can also send specific questions to our email inbox at info@compoundtrading.com – if you do this be sure to ask a specific question so it can be answered specifically. When the 24 hour oil trading room opens you will have ample opportunity in that 24 hour room to ask questions also.

Watch my EPIC the Oil Algo Twitter feed for intra day notices and your email in box for member only material intra day also.

EPIC the Oil Algo

Article topics: EPIC the Oil Algo, Crude Oil FX: $USOIL $WTI, $UWTI, $DWTI, $USO, $UCO, $CL_F, $UWT, DWT, $ERX, $ERY, $GUSH, $DRIP, Chart, Algorithm, Indicators, Trading Room, Trading Edge, Fibonacci, Indicators, Algo, Targets


Monday Dec 12, 2016 EPIC the Oil Algo Oil Report (Member Edition). FX: $USOIL $WTIC ($USO, $UCO, $SCO, $CL_F, CL, $UWT, $DWT, $ERX, $ERY, $GUSH, $DRIP)

Welcome to my new FX: $USOIL $WTI oil trade report.

IMPORTANT NOTICES:

NEW: The is a new feature blog post at this link, “Why our Stock Algorithms are Different than Most.” If you are using our algorithms it is a must read.

ETN’s: $UWTI and $DWTI have been resurected by CitiGroup! $UWT and $DWT http://uk.reuters.com/article/usa-investment-etn-idUKL1N1E31ZB

LOCKED POSTS: Starting mid December the Member Editions will become available (be unlocked to general public) within days of original publication. Portions that include algorithmic calls and charting that are still in play will not be published until they expire.

MULTI-USERS: Institutional / commercial platform now available for multi-users – pricing and product information will be posted to website soon.

LIVE CHARTS: Live charting for members of my algorithmic modelling is now available on Trading View. Links are now emailed to members regularly.

PATENT PHASE: As I mentioned I am now in patent application phase. Stay tuned for agreements concerning disclosure and use coming to members.

24 HOUR TRADE ROOM: My charting transitions from FX $USOIL $WTI to 24hr crude oil futures early 2017. My sub service w incl 24 hr crude oil trade room.

PRICING: My proprietary services transitioned recently from free inaugural to subscriber only access. All rates for existing members for all service prices will be grandfathered in perpetuity (view website products page for conditions). Early 2017 when my 24 hour futures trading room opens along with 24 hour live charting I will have a rate increase but as with recent roll-over existing members will be grandfathered at locked-in current rates.

SOFTWARE: My algorithmic charting is going to developer coding phase early 2017 for our trader’s dashboard program. Please review my algorithm development process and about my oil algorithm story on our website www.compoundtrading.com and my oil algo charting posts on my Twitter feed.

HOW MY ALGORITHM WORKS: I am an algorithm in development. My math is based on traditional indicators (up to fifty at any given time each weighted on win ratio merit) – such as simple math calculations relating to price and volume, Fibonacci, simple pivots, moving averages, Gann, Schiff and various other charting, geometric and mathematical factors. I do not yet have AI or Geo Political integration – only math as it relates to traditional indicators – weighted, with the primary goal being probabilities. I am not a high frequency or bot type algorithm – I am to be used (represented on a traditional trading chart) as a probability indicator to give our trader’s an edge when triggering entries and exits on trades with instruments that rely on the price of crude oil (specifically FX: $USOIL $WTI and transitioning to futures in the new year in our new 24 hour oil trading room).

Below you will find my simplified view of levels that can be used on a traditional chart to advance a traders’ edge (both intra-day and as a swing trader or investor). This work, and your subsequent trading, should be considered one decision at a time, “if this happens then this or this are my targets”… price – trigger – trade and so on. If you need assistance email your questions to info@compoundtrading.com, message our lead trader on Twitter, or message a lead trader privately in the trade room.

FX: $USOIL $WTI Observations:

BIG NEWS! Friday premarket I gave you this in the report:

IF $USOIL IS TRADING ABOVE 51.38 THERE IS A REALLY IMPORTANT TIME / PRICE CYLE EXPIRING AT LATEST DEC 13 at 4:00 AM. AT LATEST. This means 98.5% of the time there will be a significant uptrend or downward trend established. WATCH VERY CLOSE. If you review my Twitter feed you will see that I AM ALWAYS RIGHT ABOUT THESE and the price normally drastically moves well before the termination of the time price cycle. IF PRICE IS TRADING UNDER 51.38 YOU CAN DISREGARD THIS NOTICE.

KABOOM!!!

My call to members Friday morning – and what happened next….Crude oil algo intra work sheet. 307 AM Dec 12 FX $USOIL $WTIC $CL_F $UWT $DWT $USO $UCO $SCO #Oil #OOTT #algo

Crude Oil. Algo, Target Hit

My call to members Friday morning – to be cont… Crude oil algo intra work sheet. 307 AM Dec 12 FX $USOIL $WTIC $CL_F $UWT $DWT $USO $UCO $SCO #Oil #OOTT #algo

Link to the Trading View Live Charting (Member locked version):

https://www.tradingview.com/chart/USOIL/QIRTUtPW-USOIL-Member-Live-Chart/


$USOIL Member Live Chart by curtmelonopoly on TradingView.com


Intra-day Crude Oil Trading Range: At time of writing FX $USOIL $WTI is trading at 51.31 (634 ET Dec 9, 2016). Some thoughts with respect to traditional charting that may help advance you trading edge (advance algorithmic modeling in member edition);

Crude Oil, Intra-day, Chart

Crude Oil, Intra-day Trade, Price, Chart

Crude oil trading intra-day at 51.20 Crude oil algo intra work sheet. 413 AM Dec 12 FX $USOIL $WTIC $CL_F $UWT $DWT $USO $UCO $SCO #Oil #OOTT #algo

From My Friday Report:

Crude is trading above mid range in its upward channel – AS I HAVE BEEN REPORTING DAILY don’t listen to anyone that says this bearish – it is not – trade the margin widths of the channel if unsure. This report (exactly 24 hours after the one yesterday) and oil is up 1.00.

And what happened next is certainly NOT BEARISH. Don’t forget (and in case you don’t know) EPIC the Oil Algo posted months ago a 72% change that by end of April crude would be between 63.00 – 73.00.

And then also from my Friday premarket Oil Report…. I directed you to the fact that crude was trading toward the alpha algo targets for Friday at 1:00.

Crude oil moving toward algo targets. Crude algo intra work sheet 639 AM Dec 9 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

KABOOM!!!

What happened next was a direct oil algo call hit right to the penny and the exact minute!!!! I am, if you don’t mind me saying, ON FIRE!

In the called target zone again! Crude algo intra work sheet 1221 PM Dec 9 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Crude oil, Algo, Direct Target Hit

In the called target zone again! Crude algo intra work sheet 1221 PM Dec 9 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

So in review, the alpha algo lines were target hits last week, the alpha algo targets were hitting…. and best yet the time / price cycle hit – it not only hit, but it hit in a really precise way. I called the exact price to watch for!!! When you learn how to trade my time / price cycle termination notices you will never leave me. That I can guarantee:)

The only algo indicator missing right now (that I developed proprietary also) are the intra-day quadrants for sniping – crude needs to settle in a natural trading state and then I can publish these. So when the geopolitical folks stop messing with the price of crude I will publish them. They are very, very precise. You may want to also review my Twitter feed since you did last to be sure you’re up to date there also just in case FYI.

Multi Week Trading Range / Swings:

For swings, trade between the yellow lines – they are your primary support and resistance. If price gets up over that upper yellow line at 54.49 the trade between that line as support for longs as long as it stays above and ratchet up your stops when it gets close to major resistance at 54.49, 55.17, 58.37 and 58.57. There are of course other support and resistance lines – but those are they big ones.

Also, pay attention to the upward trending channel – you can enter long and sell in between the channel yellow lines as it trends.

If price stays below the resistance at 54.49 then you trade the channel under that.

If you have any questions email info@compoundtrading with direct questions for direct answers. Or ask in the trade room in a private message to the lead trader.

Crude oil, chart, trendlines, resistance, support

Primary support and resistance trendlines and horiztontal lines. Crude oil algo intra work sheet. 439 AM Dec 12 FX $USOIL $WTIC $CL_F $UWT $DWT $USO $UCO $SCO #Oil #OOTT #algo

Diagonal Trend Lines:

Diagonal trend-lines (blue). Diagonal trend-lines are critical inflection points. Please review many of my recent posts so you can learn about how important these diagonal trend-lines are. If one is breached you can look to pull-back to next diagonal blue trend line about 90% of the time. Also pay attention to how thick the lines are – the thicker the line the more important because they represent extensions from previous time / price cycles.

Look at the chart above – you will see where the diagonal trendlines are trending – WATCH THEM CLOSE. And remember you can come in to the chatroom to message the trader and REMEMBER I have posted a live chart link earlier in this blog so if you can’t see the lines well on this chart above you can go to the live chart link and watch for member live algo chart links through-out the day in your email inbox!

Price Action with 20, 50, 100, 200 MA

Because of the overnight trading break-out the 20, 50, 100, 200 are well above the trading price – so watch the live updates as they are sent or be sure to watch your charting. Watch all the MA’s on the various time-frames for signals in your trading. Most specifically the 200 on the 30 and 15 min charts. Really important price stays above the 200 on the 30 or even 1 hr. As price trades tighter to the MA’s I will update you also.

Fibonacci Levels:

Normally Fib lines for me are a big deal. But with the recent break-out I wouldn’t pay much attention. The reason is simple… you will find that major trendlines on this chart will correspond with major fib resistance and support 99% of the time, but more than that we need to let price settle in a trading zone outside of geopolitical interference and then your fib lines we can dial in for precision trades.

Horizontal Trend-Lines (purple):

Horizontal trend-lines are not as important as the other indicators reviewed above, however, they do serve as important resistance and support intra-day for tight trading and they are important if thick (in other words they come from previous time / price cycles). WE STARTED TO REPRESENT THE REALLY IMPORTANT LINES IN YELLOW FYI FOR EASE. Refer to chart for current applicable horizontal trend-lines.

Advanced Charting:

Respect support and resistance lines:

If you can be patient and take your long and short positions against these yellow lines for now that is your highest probability trading. With the recent geo political mess it makes the algo targets difficult because crude is not trading in its “natural” state that occurs when the geo political banter stops.

Crude oil is still bullish – don’t listen to the noise. If this changes I will let you know. In the meantime trade the range or snipe knowing your lines and targets.

Oil Time / Price Cycles:

Well, we know from my celebration at the outset of this article that we hit the time / price cycle from last week…. IF $USOIL IS TRADING ABOVE 51.38 THERE IS A REALLY IMPORTANT TIME / PRICE CYCLE EXPIRING AT LATEST DEC 13 at 4:00 AM. AT LATEST. This means 98.5% of the time there will be a significant uptrend or downward trend established. WATCH VERY CLOSE. If you review my Twitter feed you will see that I AM ALWAYS RIGHT ABOUT THESE and the price normally drastically moves well before the termination of the time price cycle. IF PRICE IS TRADING UNDER 51.38 YOU CAN DISREGARD THIS NOTICE.

The time price cycle terminations are use-less to give you right now because the price of crude is right in between a tonne of price decisions – and depending on where price trades intra-day will depend on when the time / cycle terminates. SO WHAT YOU NEED TO DO IS COME IN TO THE ROOM AND ASK ME TO GIVE YOU THE CURRENT TIME / PRICE CYCLE TERMINATIONS BASED ON CURRENT PRICE AND I WILL. Until then the time cycle terminations are o Dec 12 at 5PMl Dec 13 12 AM, Dec 13 1:00 AM, Dec 14 1 AM, Dec 19 6 AM but with-out knowing where price is going to be during those cycles I can’t tell you right now if they are in play. So ask as needed intra-day until the price of crude finds its range.

Alpha Algo Trading Trend-Lines (Red dotted lines):

To determine which algo line is most alpha (or probable) intra day, it is the nearest line to price action. This can also help you determine the trend of trade. If the algo line is trending up the price will follow it up until price is tested at an algorithm indicator (the main tests are diagonal trendlines, horizontal trendlines, time / price cycles etc – as I have shared with you). This is why it is important to watch all the lines because they are all support and resistance. To keep it simple trade the range as I’ve mentioned but keep an eye on these indicators.

I can report that the price action since Nov 30 break-out has been respecting the alpha algo trend-lines calculated and published over a week ago with precision.

In the chart below the arrows are for the targets (in the next section below) – the lines however represent where crude will track price – so watch for which line is closest and when price trends away from the line you know where your next alpha line is. Follow these lines for targets also and watch them for support and resistance indicators.

Crude oil, algo lines, algo targets

Alpha algo targets on chart – follow algo lines for off chart. Crude oil algo intra work sheet. 517 AM Dec 12 FX $USOIL $WTIC $CL_F $UWT $DWT $USO $UCO $SCO #Oil #OOTT #algo

Current Alpha Algo Targets (Red circles):

I can report that the alpha algo primary probability target prediction from last week for Wednesday December 7 at 10:30 as a direct hit for that time / price cycle. And so did the Friday target at 1:00 PM as a direct hit! As I mentioned at the beginning of this post! Very trade-able calls – excellent!

So what is your most probable algo target for Tuesday at 10:30 EST? Your closest target is always the most probable. Then, your second most probable is the one that is up or down trend depending on whether general price is in an upward or downtrend for the most recent week or so.

The problem you have to weigh is that crude is now consolidating after a break-out – so price needs to find it’s alpha algo line and range and then targets become way more predictable. Nonetheless, the targets for this week are represented on the chart above and for the ones above you will need to follow the algo lines. Again, refer to the live charting I send you for this also or be in the trading room.

I WOULDN’T BE SURPRISED ALSO IF THERE ARE NEW ALGO TARGETS ESTABLISHED BECAUSE NEW ALPHA ALGO LINES TEND TO GET ESTABLISHED AFTER A BREAK_OUT. So here again, watch the updates or be sure to be in the trading room.

Wait for the price to trend toward a target and take your position and watch as price gets closer and closer to the target. Remember, that the machines trade from decision to decision – or in other words from support to next resistance or resistance to next support or when the times come each week on Tuesday Wednesday and Friday they will trend toward the target that market price action determines they go to.

Our lead trader will explain more in the room and do not hesitate to ask our lead trader in the room by private message or on twitter to explain intra day decisions.

Also, please be sure to refer to the most recent post for your algo targets (there is an additional target as mentioned on the chart above now of course also).

Oil Intra-Day Algo Trading Quadrants:

Well we just got to a point where we were in a trading range and the quadrants were getting locked in and the geo political interference caused the break-out in crude oil price. So we need to wait now for two things; the price of crude to establish a trading range and for at least Tuesday and Wednesday targets to be established. Here again, watch for updates.

Indicator Methods:

As explained above, my algorithm is a consideration of up to fifty traditional indicators at any one time – each one given its own weight in accordance to its accuracy (win rate). This is how we establish the probability of specific targets hitting (we call them alpha algo targets).

Alpha Algo Targets, Algo Trend-lines, Algo Timing, Quadrants for Intra Snipes:

Algo targets are the red circles – they correspond with important times each week in oil reporting land. Tuesday 4:30 PM, Wednesday 10:30 AM and Friday at 1:00 PM. The red dotted diagonal lines are the algo trend-lines. And the vertical dotted (red or green) are marking the important times each week. You will find that the price of crude will hit one of the alpha algo targets about 90% of the time. In the absence of market direction the machines take price to the next algo line and/or target. Understanding how the price of crude reacts to the algos and how they move price from target to target is critical for intra-day and swing trading crude oil and associated instruments.

You will notice that price action of crude will use these algo trend-lines and act as support and resistance, and that price also often violently moves when an alpha algo line is breached either upward or downward.

We cover this in much more detail in the member updates, trading room. A review of my Twitter feed and previous blog posts will help you undersatand the relation of these indicators. We will start posting video blogs (for my subscribers) on YouTube (in addition to my daily blog posts) for swing traders that work during regular trading hours.

Also… we will cover how to establish algo trend-lines and price targets future forward (as you have seen me do on my Twitter feed for some time now).

Conclusion:

That is a good place to leave it for now – we will review details of the above in the trading room and when time allows we will segment for our swing traders (and publish) videos of the work we do in the trading room.

See you in the live trade room and if not stay tuned for our videos recapping what happens in the room! And again, if you struggle to know how to use these indicators as a trader’s edge, it is recommended that you obtain private coaching prior to trading a real account with real money – we recommend you use a paper trading account at first. And finally, we will be publishing a “how to use guide” within a day or so, but it will be simply be a recap (consolidation) of instructions in this post, from my Twitter feed, and previously published information on our website. You can also send specific questions to our email inbox at info@compoundtrading.com – if you do this be sure to ask a specific question so it can be answered specifically. When the 24 hour oil trading room opens you will have ample opportunity in that 24 hour room to ask questions also.

Watch my Twitter feed for intra day notices and your email in box for member only material intra day also.

EPIC the Oil Algo

Article topics: EPIC the Oil Algo, Crude Oil FX: $USOIL $WTI, $UWTI, $DWTI, $USO, $UCO, $CL_F, $UWT, DWT, $ERX, $ERY, $GUSH, $DRIP, Chart, Algorithm, Indicators, Trading Room, Trading Edge, Fibonacci, Indicators, Algo, Targets

 


Friday Dec 9, 2016 EPIC the Oil Algo Oil Report (Member Edition). FX: $USOIL $WTIC ($USO, $UCO, $SCO, $CL_F, CL, $UWT, $DWT, $ERX, $ERY, $GUSH, $DRIP)

Welcome to my new FX: $USOIL $WTI oil trade report.

IMPORTANT NOTICES:

NEW ETNS: $UWTI and $DWTI have been resurected by CitiGroup! $UWT and $DWT http://uk.reuters.com/article/usa-investment-etn-idUKL1N1E31ZB 

LOCKED POSTS: Starting mid December the Member Editions will become available (be unlocked to general public) within days of original publication. Portions that include algorithmic calls and charting that are still in play will not be published until they expire.

MULTI-USERS: Institutional / commercial platform now available for multi-users – pricing and product information will be posted to website soon.

LIVE CHARTS: Live charting for members of my algorithmic modelling is now available on Trading View. Links are now emailed to members regularly.

PATENT PHASE: As I mentioned in my last report this week is a big week for me – I am going to go to patent phase. I have six months of proven predictability of over 90%. My process is proprietary and qualifies for patent. The charting for members will become much more involved over the coming weeks (specific to proprietary details). Stay tuned for agreements concerning disclosure and use coming to members.

24 HOUR TRADE ROOM: My charting transitions from FX $USOIL $WTI to 24hr crude oil futures early 2017. My sub service w incl 24hr crude oil trade room.

PRICING: My proprietary services transitioned recently from free inaugural to subscriber only access. All rates for existing members for all service prices will be grandfathered in perpetuity (view website products page for conditions). Early 2017 when my 24 hour futures trading room opens along with 24 hour live charting I will have a rate increase but as with recent roll-over existing members wll be grandfathered at locked-in current rates.

SOFTWARE: My algorithmic charting is going to developer coding phase early 2017 for our trader’s dashboard program. Please review my algorithm development process and about my oil algorithm story on our website www.compoundtrading.com and my oil algo charting posts on my Twitter feed.

How My Algorithm Works and Availability:

I am an algorithm in development. My math is based on traditional indicators (up to fifty at any given time each weighted on win ratio merit) – such as simple math calculations relating to price and volume, Fibonacci, simple pivots, moving averages, Gann, Schiff and various other charting, geometric and mathematical factors. I do not yet have AI or Geo Political integration – only math as it relates to traditional indicators – weighted, with the primary goal being probabilities. I am not a high frequency or bot type algorithm – I am to be used (represented on a traditional trading chart) as a probability indicator to give our trader’s an edge when triggering entries and exits on trades with instruments that rely on the price of crude oil (specifically FX: $USOIL $WTI and transitioning to futures in the new year in our new 24 hour oil trading room).

Below you will find my simplified view of levels that can be used on a traditional chart to advance a traders’ edge (both intra-day and as a swing trader). This work, and your subsequent trading, should be considered only one decision at a time, “if this happens then this or this are my targets”… price – trigger – trade and so on.

FX: $USOIL $WTI Observations:

Link to the Trading View Live Charting (Member locked version):

https://www.tradingview.com/chart/USOIL/9jlw8DPK-USOIL-Member-Chart/

$USOIL Member Chart by curtmelonopoly on TradingView.com

Intra-day Crude Oil Trading Range: At time of writing FX $USOIL $WTI is trading at 51.31 (634 ET Dec 9, 2016). Some thoughts with respect to traditional charting that may help advance you trading edge (advance algorithmic modeling in member edition);

Crude Oil, Intraday, Chart
Trading intra-day 51.31. Crude algo intra work sheet 632 AM Dec 8 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Crude is trading above mid range in its upward channel – AS I HAVE BEEN REPORTING DAILY don’t listen to anyone that says this bearish – it is not – trade the margin widths of the channel if unsure. This report (exactly 24 hours after the one yesterday) and oil is up 1.00.

Crude Oil, Chart

Crude oil moving toward algo targets. Crude algo intra work sheet 639 AM Dec 9 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Multi Week Trading Range / Swings:

Please refer to yesterday’s report for specific trading range triggers. They are specific to the yellow lines on the chart above (for those that need to be adjusted intra day).

Diagonal Trend Lines:

Diagonal trend-lines (blue). Diagonal trend-lines are critical inflection points. Please review many of my recent posts so you can learn about how important these diagonal trend-lines are. If one is breached you can look to pull-back to next diagonal blue trend line about 90% of the time. Also pay attention to how thick the lines are – the thicker the line the more important because they represent extensions from previous time / price cycles.

Price Action with 20, 50, 100, 200 MA

Crude is trading above the 200 MA on the 30 min… watch this close today and Monday.

Crude, Oil, Trade, 200 MA, 30 MIN

Crude oil trading above 200 MA on 30 Min. Crude algo intra work sheet 700 AM Dec 9 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

 

Fibonacci Levels:

Watch the fib level overhead at 51.90 really close – it corresponds with heavy resistance (yellow line)

Fibonacci, crude, oil, chart

Fibonacci levels to watch in crude oil. Crude algo intra work sheet 706 AM Dec 9 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Horizontal Trend-Lines (purple):

Horizontal trend-lines are not as important as the other indicators reviewed above, however, they do serve as important resistance and support intra-day for tight trading and they are important if thick (in other words they come from previous time / price cycles). WE STARTED TO REPRESENT THE REALLY IMPORTANT LINES IN YELLOW FYI FOR EASE. Refer to chart for current applicable horizontal trend-lines.

Advanced Charting:

Respect support and resistance lines:

If you can be patient and take your long and short positions against these yellow lines for now that is your highest probability trading. With the recent geo political mess it makes the algo targets difficult because crude is not trading in its “natural” state that occurs when the geo political banter stops.

Crude oil is still bullish – don’t listen to the noise – this is a consolidation period in the upward trend in a channel against resistance. If this changes I will let you know. In the meantime trade the range or snipe knowing your lines and targets.

Oil Time / Price Cycles:

IF $USOIL IS TRADING ABOVE 51.38 THERE IS A REALLY IMPORTANT TIME / PRICE CYLE EXPIRING AT LATEST DEC 13 at 4:00 AM. AT LATEST. This means 98.5% of the time there will be a significant uptrend or downward trend establshed. WATCH VERY CLOSE. If you review my Twitter feed you will see that I AM ALWAYS RIGHT ABOUT THESE and the price normally drastically moves well before the termination of the time price cycle. IF PRICE IS TRADING UNDER 51.38 YOU CAN DISREGARD THIS NOTICE.

Alpha Algo Trading Trend-Lines (Red dotted lines):

To determine which algo line is most alpha (or probable) intra day, it is the nearest line to price action. This can also help you determine the trend of trade. If the algo line is trending up the price will follow it up until price is tested at an algorithm indicator (the main tests are diagonal trendlines, horizontal trendlines, time / price cycles etc – as I have shared with you). This is why it is important to watch all the lines because they are all support and resistance. To keep it simple trade the range as I’ve mentioned but keep an eye on these indicators.

The algo lines and targets have been adjusted since last report and there is a new line and targets on this chart!!!

I can report that the price action since Nov 30 break-out has been respecting the alpha algo trend-lines calculated and published over a week ago with precision.

Current Alpha Algo Targets (Red circles):

I can report that the alpha algo primary probability target prediction from last week for Wednesday December 7 at 10:30 as a direct hit for that time / price cycle. Very trade-able call – excellent.

So what is your most probable algo target for Friday at 1:00 PM EST? Your closest target is always the most probable. Then, your second most probable is the one that is up or down trend depending on whether general price is in an upward or downtrend for the most recent week or so. FRIDAY targets do not hit as often as TUESDAY AND WEDNESDAY TARGETS FYI.

Wait for the price to trend toward a target and take your position and watch as price gets closer and closer to the target. Remember, that the machines trade from decision to decision – or in other words from support to next resistance or resistance to next support or when the times come each week on Tuesday Wednesday and Friday they will trend toward the target that market price action determines they go to.

Our lead trader will explain more in the room and do not hesitate to ask our lead trader in the room by private message or on twitter to explain intra day decisions.

Also, please be sure to refer to the most recent post for your algo targets (there is an additional target as mentioned on the chart above now of course also).

Oil Intra-Day Algo Trading Quadrants:

Now that Wednesday target is complete and it hit we are calculating quadrants for intr day trading and will post as soon as done.

Indicator Methods:

As explained above, my algorithm is a consideration of up to fifty traditional indicators at any one time – each one given its own weight in accordance to its accuracy (win rate). This is how we establish the probability of specific targets hitting (we call them alpha algo targets).

Alpha Algo Targets, Algo Trend-lines, Algo Timing, Quadrants for Intra Snipes:

Algo targets are the red circles – they correspond with important times each week in oil reporting land. Tuesday 4:30 PM, Wednesday 10:30 AM and Friday at 1:00 PM. The red dotted diagonal lines are the algo trend-lines. And the vertical dotted (red or green) are marking the important times each week. You will find that the price of crude will hit one of the alpha algo targets about 90% of the time. In the absence of market direction the machines take price to the next algo line and/or target. Understanding how the price of crude reacts to the algos and how they move price from target to target is critical for intra-day and swing trading crude oil and associated instruments.

You will notice that price action of crude will use these algo trend-lines and act as support and resistance, and that price also often violently moves when an alpha algo line is breached either upward or downward.

We cover this in much more detail in the member updates, trading room. A review of my Twitter feed and previous blog posts will help you undersatnd the relation of these indicators. We will start posting video blogs (for my subscribers) on YouTube (in addition to my daily blog posts) for swing traders that work during regular trading hours.

Also… we will cover how to establish algo trend-lines and price targets future forward (as you have seen me do on my Twitter feed for some time now).

Conclusion:

That is a good place to leave it for now – we will review details of the above in the trading room and when time allows we will segment for our swing traders (and publish) videos of the work we do in the trading room.

See you in the live trade room and if not stay tuned for our videos recapping what happens in the room! And again, if you struggle to know how to use these indicators as a trader’s edge, it is recommended that you obtain private coaching prior to trading a real account with real money – we recommend you use a paper trading account at first. And finally, we will be publishing a “how to use guide” within a day or so, but it will be simply be a recap (consolidation) of instructions in this post, from my Twitter feed, and previously published information on our website. You can also send specific questions to our email inbox at info@compoundtrading.com – if you do this be sure to ask a specific question so it can be answered specifically. When the 24 hour oil trading room opens you will have ample opportunity in that 24 hour room to ask questions also.

Watch my Twitter feed for intra day notices and your email in box for member only material intra day also.

EPIC the Oil Algo

 

Article topics: EPIC the Oil Algo, Crude Oil FX: $USOIL $WTI, $UWTI, $DWTI, $USO, $UCO, $CL_F, $UWT, DWT, $ERX, $ERY, $GUSH, $DRIP, Chart, Algorithm, Indicators, Trading Room, Trading Edge, Fibonacci, Indicators, Algo, Targets


Friday Dec 9, 2016 EPIC the Oil Algo Oil Report (Member Edition). FX: $USOIL $WTIC ($USO, $UCO, $SCO, $CL_F, CL, $UWT, $DWT, $ERX, $ERY, $GUSH, $DRIP)

Welcome to my new FX: $USOIL $WTI live chart algo target report.

Algo Targets Update:

The algorithm targets have been hitting with regularity and the target for Friday Dec 9 at 13:00 is now in sight. The price of crude $USOIL is intraday at 51.17 and is moving along the algo lnes toward the targets. Below are links to the live charting of my algorithm.

IMPORTANT NOTICES:

LOCKED POSTS: Starting mid December the Member Editions will become available (be unlocked to general public) within days of original publication. Portions that include algorithmic calls and charting that are still in play will not be published until they expire.

MULTI-USERS: Institutional platform now available for multi-users – pricing and product information will be posted to website soon.

LIVE CHARTS: Live charting for members of my algorithmic modelling is now available on Trading View. Links are now emailed to members regularly.

PATENT PHASE: As I mentioned in my last report this week is a big week for me – I am going to go to patent phase. I have six months of proven predictability of over 90%. My process is proprietary and qualifies for patent. The charting for members will become much more involved over the coming weeks (specific to proprietary details). Stay tuned for agreements concerning disclosure and use coming to members.

24 HOUR TRADE ROOM: My charting transitions from FX $USOIL $WTI to 24hr crude oil futures early 2017. My sub service w incl 24hr crude oil trade room.

PRICING: My proprietary services transitioned recently from free inaugural to subscriber only access. All rates for existing members for all service prices will be grandfathered in perpetuity (view website products page for conditions). Early 2017 when my 24 hour futures trading room opens along with 24 hour live charting I will have a rate increase but as with recent roll-ver existing members wll be grandfathered at locked-in current rates.

SOFTWARE: My algorithmic charting is going to developer coding phase early 2017 for our trader’s dashboard program. Please review my algorithm development process and about my oil algorithm story on our website www.compoundtrading.com and my oil algo charting posts on my Twitter feed.

FX: $USOIL $WTI Live Algo Target Oil Chart on TradingView:

https://www.tradingview.com/chart/USOIL/0MA1qwDa-On-its-way-to-another-algo-target-hit-Crude-algo-intra/

https://www.tradingview.com/chart/mfV4vCoW/

Alpha Algo Targets, Algo Trend-lines, Algo Timing, Quadrants:

Algo targets are the red circles – they correspond with important times each week in oil reporting land. Tuesday 4:30 PM, Wednesday 10:30 AM and Friday at 1:00 PM. The red dotted diagonal lines are the algo trend-lines. And the vertical dotted (red or green) are marking the important times each week. You will find that the price of crude will hit one of the alpha algo targets about 90% of the time. In the absence of market direction the machines take price to the next algo line and/or target. Understanding how the price of crude reacts to the algos and how they move price from target to target is critical for intra-day and swing trading crude oil and associated instruments.

You will notice that price action of crude will use these algo trend-lines and act as support and resistance, and that price also often violently moves when an alpha algo line is breached either upward or downward.

We cover this in much more detail in the member updates, trading room. A review of my Twitter feed and previous blog posts will help you undersatnd the relation of these indicators. We will start posting video blogs (for my subscribers) on YouTube (in addition to my daily blog posts) for swing traders that work during regular trading hours.

Also… we will cover how to establish algo trend-lines and price targets future forward (as you have seen me do on my Twitter feed for some time now).

How My Algorithm Works and Availability:

I am an algorithm in development. My math is based on traditional indicators (up to fifty at any given time each weighted on win ratio merit) – such as simple math calculations relating to price and volume, Fibonacci, simple pivots, moving averages, Gann, Schiff and various other charting and mathematical factors. I do not yet have AI or Geo Political integration – only math as it relates to traditional indicators – weighted, with the primary goal being probabilities. I am not a high frequency or bot type algorithm – I am to be used (represented on a traditional trading chart) as a probability indicator to give our trader’s an edge when triggering entries and exits on trades with instruments that rely on the price of crude oil (specifically FX: $USOIL $WTI and transitioning to futures in the new year in our new 24 hour oil trading room).

Conclusion:

That is a good place to leave it for now – we will review details of the above in the trading room and when time allows we will segment for our swing traders (and publish) videos of the work we do in the trading room.

See you in the live trade room and if not stay tuned for our videos recapping what happens in the room! And again, if you struggle to know how to use these indicators as a trader’s edge, it is recommended that you obtain private coaching prior to trading a real account with real money – we recommend you use a paper trading account at first. And finally, we will be publishing a “how to use guide” within a day or so, but it will be simply be a recap (consolidation) of instructions in this post, from my Twitter feed, and previously published information on our website. You can also send specific questions to our email inbox at info@compoundtrading.com – if you do this be sure to ask a specific question so it can be answered specifically. When the 24 hour oil trading room opens you will have ample opportunity in that 24 hour room to ask questions also.

Watch my Twitter feed for intra day notices and your email in box for member only material intra day also.

EPIC the Oil Algo

 

 

Article topics: EPIC the Oil Algo, Crude Oil FX: $USOIL $WTI, $UWTI, $DWTI, $USO, $UCO, $CL_F, $UWT, $DWT, $ERX, $ERY, $GUSH, $DRIP, Chart, Algorithm, Algo, Targets


Thursday Dec 8, 2016 EPIC the Oil Algo Oil Report (Member Edition). FX: $USOIL $WTIC ($USO, $UCO, $SCO, $CL_F, CL, $UWT, $DWT, $ERX, $ERY, $GUSH, $DRIP)

Welcome to my new FX: $USOIL $WTI oil trade report.

IMPORTANT NOTICES:

LOCKED POSTS: Starting mid December the Member Editions will become available (be unlocked to general public) within days of original publicatio. Portions that include algorithmic calls and charting that are still in play will not be published until they expire.

MULTI-USERS: Institutional platform now available for multi-users – pricing and product information will be posted to website soon.

LIVE CHARTS: Live charting for members of my algorithmic modelling is now available on Trading View. Links are now emailed to members regularly.

PATENT PHASE: As I mentioned in my last report this week is a big week for me – I am going to go to patent phase. I have six months of proven predictability of over 90%. My process is proprietary and qualifies for patent. The charting for members will become much more involved over the coming weeks (specific to proprietary details). Stay tuned for agreements concerning disclosure and use coming to members.

24 HOUR TRADE ROOM: My charting transitions from FX $USOIL $WTI to 24hr crude oil futures early 2017. My sub service w incl 24hr crude oil trade room.

PRICING: My proprietary services transitioned recently from free inaugural to subscriber only access. All rates for existing members for all service prices will be grandfathered in perpetuity (view website products page for conditions). Early 2017 when my 24 hour futures trading room opens along with 24 hour live charting I will have a rate increase but as with recent roll-ver existing members wll be grandfathered at locked-in current rates.

SOFTWARE: My algorithmic charting is going to developer coding phase early 2017 for our trader’s dashboard program. Please review my algorithm development process and about my oil algorithm story on our website www.compoundtrading.com and my oil algo charting posts on my Twitter feed.

How My Algorithm Works and Availability:

I am an algorithm in development. My math is based on traditional indicators (up to fifty at any given time each weighted on win ratio merit) – such as simple math calculations relating to price and volume, Fibonacci, simple pivots, moving averages, Gann, Schiff and various other charting and mathematical factors. I do not yet have AI or Geo Political integration – only math as it relates to traditional indicators – weighted, with the primary goal being probabilities. I am not a high frequency or bot type algorithm – I am to be used (represented on a traditional trading chart) as a probability indicator to give our trader’s an edge when triggering entries and exits on trades with instruments that rely on the price of crude oil (specifically FX: $USOIL $WTI and transitioning to futures in the new year in our new 24 hour oil trading room).

Below you will find my simplified view of levels that can be used on a traditional chart to advance a traders’ edge (both intra-day and as a swing trader). This work, and your subsequent trading, should be considered only one decision at a time, “if this happens then this or this are my targets”… price – trigger – trade and so on.

FX: $USOIL $WTI Observations:

IMPORTANT NOTE: If you do not invest the time to review at least the last few of my oil reports on this blog, our website pages (as it applies to my algorithm) and my Twitter feed (which all-in will take you at most an hour to catch up and also understand how my algorithm works) this report will be of no good to you. The reports are a running story and just one post won’t do it – there is zero benefit:)

Intra-day Crude Oil Trading Range: At time of writing FX $USOIL $WTI is trading at 50.26 (636 ET Dec 8, 2016). Some thoughts with respect to traditional charting that may help advance you trading edge (advance algorithmic modeling in member edition);

Crude Oil, Intraday, Chart

Trading intra-day 50.26. Crude algo intra work sheet 632 AM Dec 8 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Crude is trading mid range in its upward channel – don’t listen to anyone that says this bearish – it is not – trade the margin widths of the channel if unsure. It just hit a significant support at that yellow line and bounced – and it even cleared it’s mid channel resistance (the thin yellow line) and now its up at an algo line.

Multi Week Trading Range / Swings:

Intra day range pivot areas of support and resistance.

There are six arrows on this chart. Starting from top to bottom here’s your trading levels:

  1. Top of the channel is at about 53.00 above top white arrow. Price has to get through resistance first however at second arrow down. Great place to short.
  2. Arrow two is a resistance point at 51.90 that you could also short – but you have to know that price is still bullish because it is still in upward channel so careful shorting.
  3. Arrow three is a mid range line at 50.23 (yellow thin dotted) in the channel that price has used as intra support and resistance while in uptrend in the channel. You can trade against this too. Careful though because it is mid range in channel.
  4. Arrow four is at a support level at 48.28 that crude overnight traded against and bounced to the upside from.
  5. Arrow five is the bottom of your uptrend channel at 47.10 ish so it is a great place to short if price loses that range and confirms on back test or is a really good (preferred) location to go long. Just be careful with your other indicators per my posts.
  6. Arrow six at the bottom is the bottom of this wide time / price cycle range at 42.30. Critical support you can easily trade against.
Crude oil, trading, range

Trade the outside range pivot areas. Crude algo intra work sheet 645 AM Dec 8 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Diagonal Trend Lines:

Diagonal trend-lines (blue). Diagonal trend-lines are critical inflection points. Please review many of my recent posts so you can learn about how important these diagonal trend-lines are. If one is breached you can look to pull-back to next diagonal blue trend line about 90% of the time. Also pay attention to how thick the lines are – the thicker the line the more important because they represent extensions from previous time / price cycles.

You can see how the price action in this chart is affected by the trend lines (algorithmic charting has considerable more detail for advance preparation – the trader’s edge is increased knowing where they are in advance and in relation to upcoming alpha algo targets and alpha algo trend-lines).

Crude Oil, $USOIL, $WTI, Diagonal Trendlines

Trade the outside range pivot areas. Crude algo intra work sheet 645 AM Dec 8 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Use the diagonal trend-lines for your entry and exit points when trading.

Price Action with 20, 50, 100, 200 MA

MA, Crude Oil, $USOIL, Chart

Look at how the 200 100 50 on 3 min work price action. Crude algo intra work sheet 704 AM Dec 8 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Watch these close and use them when triggering intra day snipe trades (along with all other indicators of course).

Also, watch the 200 MA on the 30 minute chart – price this morning is right above it and the 200 MA on the 30 minute has been in recent weeks acting as support and resistance (along with other indicators of course). @CAUTION

200 day MA, 30 Minute, Chart, Crude, Oil

200 MA on the 30 minute chart. Crude algo intra work sheet 710 AM Dec 8 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Fibonacci Levels:

50.85 – 50.93 may be intra resistance. Watch it.

Fibonacci, Crude Oil, Chart

Fibonacci levels in oil to watch. Crude algo intra work sheet 716 AM Dec 8 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Horizontal Trend-Lines (purple).

Horizontal trend-lines are not as important as the other indicators reviewed above, however, they do serve as important resistance and support intra-day for tight trading and they are important if thick (in other words they come from previous time / price cycles). Refer to chart for current applicable horizontal trend-lines.

Advanced Charting:

Respect support and resistance lines.
If you can be patient and take your long and short positions against these yellow lines for now that is your highest probability trading. With the recent geo political mess it makes the algo targets difficult because crude is not trading in its “natural” state that occurs when the geo political banter stops.

Crude oil is still bullish – don’t listen to the noise – this is a consolidation period in the upward trend in a channel against resistance. If this changes I will let you know. In the meantime trade the range or snipe knowing your lines and targets.

Oil Time / Price Cycles:

None to report as new. Do not forget to refer to the previous time / price cycles I listed on previous posts.

Alpha Algo Trading Trend-Lines (Red dotted lines):

To determine which algo line is most alpha (or probable) intra day, it is the nearest line to price action. This can also help you determine the trend of trade. If the algo line is trending up the price will follow it up until price is tested at an algorithm indicator (the main tests are diagonal trendlines, horizontal trendlines, time / price cycles etc – as I have shared with you). This is why it is important to watch all the lines because they are all support and resistance. To keep it simple trade the range as I’ve mentioned but keep an eye on these indicators.

The algo lines and targets have been adjusted since last report and there is a new line and targets on this chart!!!

I can report that the price action since Nov 30 break-out has been respecting the alpha algo trend-lines calculated and published over a week ago with precision.

Algo Trendlines, Algo targets, crude oil, chart

Alpha algo targets (red circles) and algo trendlines (dotted red). Crude algo intra work sheet 723 AM Dec 8 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Current Alpha Algo Targets (Red circles):

I can report that the alpha algo primary probability target prediction from last week for Wednesday December 7 at 10:30 as a direct hit for that time / price cycle. Very trade-able call – excellent.

Algo target, Direct hit, Crude, Oil, $USOIL

Kaboom! Direct target hit!!! Crude algo intra work sheet 1042 AM Dec 7 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

So what is your most probable algo target for Friday at 1:00 PM EST? Your closest target is always the most probable. Then, your second most probable is the one that is up or down trend depending on whether general price is in an upward or downtrend for the most recent week or so. FRIDAY targets do not hit as often as TUESDAY AND WEDNESDAY TARGETS FYI.

Wait for the price to trend toward a target and take your position and watch as price gets closer and closer to the target. Remember, that the machines trade from decision to decision – or in other words from support to next resistance or resistance to next support or when the times come each week on Tuesday Wednesday and Friday they will trend toward the target that market price action determines they go to.

Our lead trader will explain more in the room and do not hesitate to ask our lead trader in the room by private message or on twitter to explain intra day decisions.

Also, please be sure to refer to the most recent post for your algo targets (there is an additional target as mentioned on the chart above now of course also).

Oil Intra-Day Algo Trading Quadrants:

Now that Wednesday target is complete and it hit we are calculating quadrants for intr day trading and will post as soon as done.

Indicator Methods:

As explained above, my algorithm is a consideration of up to fifty traditional indicators at any one time – each one given its own weight in accordance to its accuracy (win rate). This is how we establish the probability of specific targets hitting (we call them alpha algo targets).

Alpha Algo Targets, Algo Trend-lines, Algo Timing, Quadrants for Intra Snipes:

Algo targets are the red circles – they correspond with important times each week in oil reporting land. Tuesday 4:30 PM, Wednesday 10:30 AM and Friday at 1:00 PM. The red dotted diagonal lines are the algo trend-lines. And the vertical dotted (red or green) are marking the important times each week. You will find that the price of crude will hit one of the alpha algo targets about 90% of the time. In the absence of market direction the machines take price to the next algo line and/or target. Understanding how the price of crude reacts to the algos and how they move price from target to target is critical for intra-day and swing trading crude oil and associated instruments.

You will notice that price action of crude will use these algo trend-lines and act as support and resistance, and that price also often violently moves when an alpha algo line is breached either upward or downward.

We cover this in much more detail in the member updates, trading room. A review of my Twitter feed and previous blog posts will help you undersatnd the relation of these indicators. We will start posting video blogs (for my subscribers) on YouTube (in addition to my daily blog posts) for swing traders that work during regular trading hours.

Also… we will cover how to establish algo trend-lines and price targets future forward (as you have seen me do on my Twitter feed for some time now).

Conclusion:

That is a good place to leave it for now – we will review details of the above in the trading room and when time allows we will segment for our swing traders (and publish) videos of the work we do in the trading room.

See you in the live trade room and if not stay tuned for our videos recapping what happens in the room! And again, if you struggle to know how to use these indicators as a trader’s edge, it is recommended that you obtain private coaching prior to trading a real account with real money – we recommend you use a paper trading account at first. And finally, we will be publishing a “how to use guide” within a day or so, but it will be simply be a recap (consolidation) of instructions in this post, from my Twitter feed, and previously published information on our website. You can also send specific questions to our email inbox at info@compoundtrading.com – if you do this be sure to ask a specific question so it can be answered specifically. When the 24 hour oil trading room opens you will have ample opportunity in that 24 hour room to ask questions also.

Watch my Twitter feed for intra day notices and your email in box for member only material intra day also.

EPIC the Oil Algo

 

Article topics: EPIC the Oil Algo, Crude Oil FX: $USOIL $WTI, $UWTI, $DWTI, $USO, $UCO, $CL_F, $ERX, $ERY, $GUSH, $DRIP, Chart, Algorithm, Indicators, Trading Room, Trading Edge, Fibonacci, Indicators, Algo, Targets

 

 

 


Wednesday Dec 7, 2016 EPIC the Oil Algo Oil Report (Member Edition).

Welcome to my new FX: $USOIL $WTI oil trade report.

IMPORTANT NOTICES:

NEW: Starting mid December the Member Editions will become available (be unlocked to general public) within about ten days of original publication so folks that are considering subscriptions can evaluate my value.

NEW: Institutional platform now available for multi-users – pricing and product information will be posted to website soon.

NEW: Live charting for members of my algorithmic modelling is now available on Trading View. Links are now emailed to members regularly.

PATENT PHASE: As I mentioned in my last report this week is a big week for me – I am going to go to patent phase. I have six months of proven predictability of over 90%. My process is proprietary and qualifies for patent. The charting for members will become much more involved over the coming weeks (specific to proprietary details). Stay tuned for agreements concerning disclosure and use coming to members.

24 HOUR TRADING ROOM: My charting transitions from FX $USOIL $WTI to 24hr crude oil futures sometime in Jan 2017. My sub service w incl 24hr crude oil trade room.

PRICING: My proprietary services transitioned recently from free inaugural to subscriber only access. All rates for existing members for all service prices will be grandfathered in perpetuity (view website products page for conditions). Early 2017 when my 24 hour futures trading room opens along with 24 hour live charting I will have a rate increase but as with recent roll-ver existing members wll be grandfathered at locked-in current rates.

How My Algorithm Works and Availability:

I am an algorithm in development. My math is based on traditional indicators (up to fifty at any given time each weighted on win ratio merit) – such as simple math calculations relating to price and volume, Fibonacci, simple pivots, moving averages, Gann, Schiff and various other mathematical factors. I do not yet have AI or Geo Political integration – only math as it relates to traditional indicators – weighted. I am not a high frequency or bot type algorithm – I am to be used (represented on a traditional trading chart) as a probability indicator to give our trader’s an edge when triggering entries and exits on trades with instruments that rely on the price of crude oil (specifically FX: $USOIL $WTI and transitioning to futures in the new year in our new 24 hour oil trading room).

Below you will find my simplified view of levels that can be used on a traditional chart to advance a traders’ edge (both intra-day and as a swing trader). This work, and your subsequent trading, should be considered only one decision at a time, “if this happens then this or this are my targets”… price – trigger – trade and so on.

My algorithmic charting is going to developer coding phase early 2017 for our trader’s dashboard program. Please review my algorithm development process and about my oil algorithm story on our website www.compoundtrading.com and my oil algo charting posts on my Twitter feed.

FX: $USOIL $WTI Observations:

IMPORTANT NOTE: If you do not invest the time to review at least the last few of my oil reports on this blog, our website pages (as it applies to my algorithm) and my Twitter feed (which all-in will take you at most an hour to catch up and also understand how my algorithm works) this report will be of no good to you. The reports are a running story and just one post won’t do it – there is zero benefit.

Intra-day Crude Oil Trading Range: At time of writing FX $USOIL $WTI is trading at 50.67 (126 AM ET Dec 7, 2016). Some thoughts with respect to traditional charting that may help advance you trading edge (advance algorithmic modeling in member edition);

Currently trading at 50.67 – crude held its current intra trading range.

Per yesterday:

Above 51.90 watch for a break-out (best to let it retest support at 51.75 before going long and best to let it test resistance at 50.44 or even 49.46 “the yellow lines” if it breaks down below that before going short). You can use your indicators below (on the charting) for intra snipes.

Trading Price, Crude Oil, Chart

Trading intra-day 50.67. Crude algo intra work sheet 144 AM Dec 7 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Multi Week Trading Range / Swings:

Per yesterday:

Your primary pivot areas for swing trading crude are at the multi week low around 42.46 (bottom yellow line – be careful with misreading the white numbers on side of chart in purple they don’t represent price at that level) and the top side of your mutli week trading range is around 51.90. Shorting below 51.90 considering crude oil recent rally does not represent good probability. Long at the bottom of the range represents excellent probability.

Trade the outside range for highest probability. Crude algo intra work sheet 154 AM Dec 7 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Crude Oil, Stock, Trading Range

Trade the outside range for highest probability. Crude algo intra work sheet 154 AM Dec 7 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Diagonal Trend Lines:

Diagonal trend-lines (blue). Diagonal trend-lines are critical inflection points. Please review many of my recent posts so you can learn about how important these diagonal trend-lines are. If one is breached you can look to pull-back to next diagonal blue trend line about 90% of the time. Also pay attention to how thick the lines are – the thicker the line the more important because they represent extensions from previous time / price cycles.

You can see how the price action in this chart is affected by the trend lines (algorithmic charting has considerable more detail for advance preparation – the trader’s edge is increased knowig where they are in advance and in relation to upcoming alpha algo targets and alpha algo trend-lines).

Diagonal Trend Lines, Crude Oil, Trading, Chart

Trading, Diagonal, trend Lines, Oil, $USOIL

Trade the outside range for highest probability. Crude algo intra work sheet 154 AM Dec 7 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Price Action With 20, 50, 100, 200 MA

How crude price reacts to 20 50 100 200 MA on 3 min.

Crude oil, chart, MA, 20, 50, 100, 200 MA

Crude Oil, MA, Chart

Trade the outside range for highest probability. Crude algo intra work sheet 154 AM Dec 7 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Fibonacci Levels:

Per yesterday:

The fib level is important above 51.75 because that puts the trading price in to possible break-out territory. Your full extension above there is 55.99 on the fib. A break down of 50.44 and you would want to see if the next at 49.12 holds and so – on. In a break down you want to wait for next Fib level to hold and if triggering a long trade wait for price – trigger – power – trade. In other words, wait for a re-test of the support or if it doesn’t retest wait for the price to prove itself by being higher than the most recent high on the 1 min, 3 min, 5 min etc intra trading. If you do not know how to trigger trades based on price – trigger – power – trade disciplines it is best to research online or sign up here or somewhere for some private coaching. This discipline with intra-day trading is critical.

Crude Oil, Fibonacci, Trading, Chart

Intra fibonacci levels to watch. Crude algo intra work sheet 217 AM Dec 7 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Crude Oil, Fibonacci, Trading, Chart

Intra fibonacci levels to watch. Crude algo intra work sheet 217 AM Dec 7 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Horizontal Trend-Lines (purple).

Horizontal trend-lines are not as important as the other indicators reviewed above, however, they do serve as important resistance and support intra-day for tight trading and they are important if thick (in other words they come from previous time / price cycles). Refer to chart for current applicable horizontal trend-lines.

Advanced Charting:

Respect support and resistance lines. Crude algo intra work sheet 325 AM Dec 7 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

Support, Resistance, Trading, Chart, Crude Oil

Respect support and resistance lines. Crude algo intra work sheet 325 AM Dec 7 FX $USOIL $WTIC #OIL $CL_F CL $USO $UCO $SCO #OOTT #algo

If you can be patient and take your long and short positions against these yellow lines for now that is your highest probability trading. With the recent geo political mess it makes the algo targets difficult because crude is not trading in its “natural” state that occurs when the geo political banter stops. See yellow arrows on chart.

Crude oil is still bullish – don’t listen to the noise – this is a consolidation period in the upward trend against resistance. If this changes I will let you know. In the meantime trade the range or snipe knowing your lines and targets.

Oil Time / Price Cycles:

Crude, Oil, Price, Time

Crude oil charting time price cycle indicators.

In the time / price cycle component of the algorithm there are a number of indicators and clusters that I will explain over time. However, for now I will show you one immediately important indicator as it applies to significant indicators intra day to keep it simple for your trades. Thhe first white triangle and green arrow shows what happened when price was moving through to terminate at the end of that triangle (which is up against resistance and above an algo line). When price does that you have to watch close because if it fails it will fall as it did. There is another one (the second white triangle) that price may test. Watch this close as it potenially pinches. So in short, when price loses a diagonal trendline (blue), an algo line (red dotted) or the pinch in the triangle between resistance and an algo line you have to be careful because if price loses to the downside it then goes to the next algo line or diagonal trendline for support. So when shorting you know where it will typically find support (if it is going to find support intra day).

Do not forget to refer to the previous time / price cycles I listed on the last post (however, they are not as important as the one shown here).

Alpha Algo Trading Trend-Lines:

So there is a new algo line calculated on the chart above – it is where the orange arrow is – this makes targets more complicated – which is typical when the geo political thing is messing with the natural state of trade… nonetheless at least you know where this algo line is. To determine which algo line is most alpha (or probable) intra day, it is the nearest line to price action. This can also help you determine the trend of trade. If the algo line is trending up the price will follow it up until price is tested at an algorithm indicator (the main tests are diagonal trendlines, horizontal trendlines, time / price cycles etc – as I have shared with you). This is why it is important to watch all the lines because they are all support and resistance. To keep it simple trade the range as I’ve mentioned but keep an eye on these indicators.

I can report that the price action since Nov 30 break-out has been respecting the alpha algo trend-lines calculated and published over a week ago with precision.

Current Alpha Algo Targets:

I can report that the alpha algo primary probability target prediction from last week for Tuesday December 6 at 16:30 came within a few cents of price action for that time / price cycle. Very tradeable call.

So what is your most probable algo target for 10:30 AM time / price target zone and for Friday at 1:00 PM EST? Your closest target is always the most probable. Then, your second most probable is the one that is up or down trend depending on whether general price is in an upward or downtrend for the most recent week or so.

So as the price action is (above chart) intra day it is almost perfectly between two targets. Wait for the price to trend toward a target and take your position and watch as price gets closer and closer to the target. Remember, that the machines trade from decision to decision – or in other words from support to next resistance or resistance to next support or when the times come each week on Tuesday Wednesday and Friday they will trend toward the target that market price action determines they go to.

Our lead trader will explain more in the room and do not hesitate to ask our lead trader in the room by private message or on twitter to explain intra day decisions.

Also, please be sure to refer to the most recent post for your algo targets (there is an additional target as mentioned on the chart above now of course also).

Oil Intra-Day Algo Trading Quadrants:

When Wednesday target is completed this and maybe Friday – but for sure Wednesday we will publish theses and work with you in the trading room on how to trade these for your intra day snipes.

Indicator Methods:

As explained above, my algorithm is a consideration of up to fifty traditional indicators at any one time – each one given its own weight in accordance to its accuracy (win rate). This is how we establish the probability of specific targets hitting (we call them alpha algo targets).

Alpha Algo Targets, Algo Trend-lines, Algo Timing, Quadrants for Intra Snipes:

Algo targets are the red circles – they correspond with important times each week in oil reporting land. Tuesday 4:30 PM, Wednesday 10:30 AM and Friday at 1:00 PM. The red dotted diagonal lines are the algo trend-lines. And the vertical dotted (red or green) are marking the important times each week. You will find that the price of crude will hit one of the alpha algo targets about 90% of the time. In the absence of market direction the machines take price to the next algo line and/or target. Understanding how the price of crude reacts to the algos and how they move price from target to target is critical for intra-day and swing trading crude oil and associated instruments.

You will notice that price action of crude will use these algo trend-lines and act as support and resistance, and that price also often violently moves when an alpha algo line is breached either upward or downward.

We cover this in much more detail in the member updates, trading room. A review of my Twitter feed and previous blog posts will help you undersatnd the relation of these indicators. We will start posting video blogs (for my subscribers) on YouTube (in addition to my daily blog posts) for swing traders that work during regular trading hours.

Also… we will cover how to establish algo trend-lines and price targets future forward (as you have seen me do on my Twitter feed for some time now).

Conclusion:

That is a good place to leave it for now – we will review details of the above in the trading room and when time allows we will segment for our swing traders (and publish) videos of the work we do in the trading room.

See you in the live trade room and if not stay tuned for our videos recapping what happens in the room! And again, if you struggle to know how to use these indicators as a trader’s edge, it is recommended that you obtain private coaching prior to trading a real account with real money – we recommend you use a paper trading account at first. And finally, we will be publishing a “how to use guide” within a day or so, but it will be simply be a recap (consolidation) of instructions in this post, from my Twitter feed, and previously published information on our website. You can also send specific questions to our email inbox at info@compoundtrading.com – if you do this be sure to ask a specific question so it can be answered specifically. When the 24 hour oil trading room opens you will have ample opportunity in that 24 hour room to ask questions also.

Watch my Twitter feed for intra day notices and your email in box for member only material intra day also.

EPIC the Oil Algo

Article topics: EPIC the Oil Algo, Crude Oil FX: $USOIL $WTI, $UWTI, $DWTI, $USO, $UCO, $CL_F, Chart, Algorithm, Indicators, Trading Room, Trading Edge, Fibonacci, Indicators, Algo, Targets

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