ES Journal - 2013

Quote from hafez50:

ammo were you and me disagree is you act like every contrarian makes money and that's the furthest thing from the truth. maybe you have made money but even on this board will tell you its not for them how you trade. always being down and fighting for every inch sucks when the trend is the opp direction and many times its not near as easy as you say as the mkt grinds up for days or weeks in one direction and won't let you out. an example is facebook. contrarians who have shorted the last few days have been killed.look at tsla. fell from $130- $104. if one shorted the rebound it went straight back to $137.i always day trade for 4 pts here or 6 pts there but I want to see a trend change and pessimism before holding a longer term short. if your way of trading works for you great but 95% of people would be wiped out trading like you by either being margined out or by panicing to cover as they can't take the massive heat you take.
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Always boils down to controlling risk. Most don't understand that. Remember, 90% fail regardless if u trend, range, or contrarian trade.
 
Quote from trickshot:

FB is a bad example, the stock has been trading sideways to lower since it went public over a year ago, "trend followers" were doing what they had to do - follow the trend.

You only know that the trend is higher after the fact, no trader knows if he is buying the top or selling the bottom when he is "following the trend", you will know it in hindsight. Hence "following the trend" does not give you an edge over contrarians, its still gambling.

:D
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Well said :)
 
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