Dear diary,

This morning market started with negative tone. I did a quick scalp in 5-minute chart of NQ to get the mood right. I shorted NQ futures for very small profit. This is a squeeze trade as bolliger band was squeezing in Keltner channel and momentum turned negative. Short position was established when it broke down from the squeeze channel.

Let’s look at the market condition for the first 30 minutes of regular session. We have small gap down in NQ(E-mini Nasdaq) and ES (E-mini S&P). NYSE TICK spent most of time below zero, while NYSE TRIN was shooting above 1.25 level and trending up. This is not so good for bulls. For the time being, I will just ignore all Long setup. Volume is good enough to construct a volatile session.

Here is the chart of the scalp trade.

[photopress:NQZ06_Squeeze_setup.jpg,full,pp_image]