Quote from nakachalet:
@jerryadler
greetings my trading friend.
on pix 3, you executed a magnificent 3 contracts trade. CONGRATS.
NEVERTHELESS, there are some details that you need to perhaps watch over your own shoulder, ok?
i really like your 3 contracts trade here indeed. congrats again.
BUT DO READ OVER THE OBSERVATIONS NOTED IN THE ATTACHED PIX THOUGH, which would propel you to the front of the class in due course and i have no doubt about that at all.
let me know what you think, K? or anyone else that study the attachment and would like to respond, you are welcome too, K?
cheers, traders.
ok... one of us is on full retard here, it's either me or you. So let's figure this out.
The man placed a short trade of three contracts that went -1.75 points against before moving in favor afterwards. Three things...
#1: a lot of ES traders including myself use a -2.00 point initial stop because that's -$100 per contract, which is insignificant while seeking +$250 to +$500 (or more) potential gains.
#2: you don't count the sum total ticks against just because he had multiple contracts, because the same three contracts that go ten handles = forty ticks in favor x 3 contracts (or whatever) is the other side of that equation
#3: the ES does not trade to x.80 levels... it trades .25 / .50 / .75 / .00
perhaps you have never traded the ES before and didn't realize that. but anyone who has ever sim-traded ES knows that much
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Bottom line? Good trades. I commonly go -2pts / +8pts ES for routine, run-of-mill results. Only the pretenders and the clueless think scalping ES for ticks using miniscule stops is actually something that works.
Almost as ridiculous as paper-trade morons who pretend to target 1pt profit (!) trades in ES using much wider stops and martingale against in their pretend worlds between lunch orders
