AHG - Profitable Strategy for Struggling Traders

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Quote from TrendPro:

...those bright red bars are a pretty strong signal in and of themselves.

its a bit of a catch-22 situation when you stop and think about it... there are two basic ways to enter during a strong trend...

1. once the weak bar signals start triggering, indicating the direction is down and you want to get short... you don't want to chase price so you wait for a bounce to get in, this alleviates the vertigo mindset of selling the low. The dilemma here is when the bounce forms you have no idea if another weak bar will come along after you enter, that is you have no firm confirmation the downtrend is resuming. So in this case you enter on the bounce without confirmation and hope the downtrend resumes.

2. same scenario as 1 but now you wait for that confirming weak bar to enter on, which puts you into this vertigo mindset because by definition the weak (bright red) bar is closing at a new low. The risk here being you just sold the low and the market quickly bounces or reverses right back into your face. So you have the confirmation but also an increased perceived risk of selling a new low.

Either way, to play in a strong trend you must pick a poison.

Most traders never participate in the strong trend moves because they are the hardest to step into, to step up to the plate and swing at that 95 mph fastball.

So in this case, its not so much a matter of screen time, and really more a matter of getting comfortable with the inherent risk of this style of trading.

Anek's suggestion of a lot of time, months, on the trading simulator makes a lot of sense. So simulator time, getting really comfortable with the pace of trading in a strong trend. This is where the feel of price action comes to life.

Best of luck in your trading :cool:
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Thanks TrendPro for your inputs

nt
 
You waited for confirmation as always? :D

By the way... since i've read your thread and started trading futures (sim) I havn't had a down day in 2 weeks (the first week I was really off by myself but the second week I got a lot of confidence from the journal to be able to execute the plan). Today was my first loss...

I should probably preface this by saying that I have been swing trading equities for about a year before this and was following a similar style. However, I have always thought that my time frame did not suit my psychology and this is only reaffirming this.

So its not overnight success, but the culmination of bits and pieces that i've picked up along the way that were useful.

Your journal has had the greatest impact on my trading in the time span that it took me to absorb the contents out of anything i've done throughout the year.
 
Quote from Anekdoten:

Blue,

Read a post above where I describe how to call the chop. One reminder, I had some minor losses today, sometime it's inevitable and you can tell only after it's happening.

Here are a few tips:

- On the big charts, is price trapped and congested?

- Any triangles around ?

- Any rectangles ?

- Is the market clear on the current direction ?

- The daily range is it tight ? as in narrow ranged day.

- Was the previous day range a wide one ?

- Are immediate trends changing every 30 min ?

- Are all the Market E-motions lines crossed like if it's no mans land ? good example today was NQ

Hope it helps.

Anek
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All good points. Thank you.
 
Just a comment for my friends who have only dome sim trading. Funny how when you go from sim to real money, the levels of emotion generated by fear, greed and the fight or flight instinct become so exagerated. It's when I'm in such a weakened state that the lizard brain takes over. I'm sometimes surprised at what it has done when I review the day's trades. Today was back on track after a Lizard day yesterday. :p (Lizards want that fly right now!)
 
Please take a moment of your time to examine this chart.

Slice and dice it anyway you like. Some might know what it is some might be surprised.

If possible post your comments on the journal.

Thank you.

Anek
 

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