ES Journal Archive (2006 - 2008)

Status
Not open for further replies.
Quote from jagmot:

I agree with the analysis for the most part, but my question is how do you know that 1454 is LOD and make a trade until after the fact?
More...

Because I use other indicators too. Also, let's say the market obviously turned and it is up from the low 4-5 ES. Then the trader don't consider seriously shorting it (intraday swing mentality) until it reached 10 pts from the high.

A good example would be yesterday, when the SPX went up 11 pts from the 11:35 low and then dropped back a decent 6 points. So that 10 pts was very easy to see/play. The next big turn came after 20+ points from the low and I guess at that point it was obvious too see that 11:35 was the LOD....

So the rule of 10 yesterday played out 4 times:

1. Morning high to 11:35 low 20 points.
2. From 11:35 low up 10 pts.
3. Afternoon high up from LOD 20 pts.
4. From afternoon high a big quick drop, 10 pts.

Now usually you don't get this many play on a single day....
 
Quote from jagmot:

I'm trying to understand the rule of 10 as well, it seems interesting but I'm not sure this rule can be used before the fact, it seems to me that it can only be used after the fact and say wow this move was approx 10 points.

Could you explain to me how you traded friday's or monday's action on the rule of 10? Also what risk/reward were you using?

Thanks,
jag
More...

Monday, high was 64, signal was ~ 54 I bought at 53.5 as posted last night. I use 2 -2.5 stop depending on my fill. With 2 -10+ target depending on what she wants to give.


Another one was on cash, previous support was 49, and monday we went 10 under previous before bouncing.

http://finance.yahoo.com/q/bc?s=^GSPC&t=5d
 
Quote from jagmot:

I agree with the analysis for the most part, but my question is how do you know that 1454 is LOD and make a trade until after the fact (and then consequently 1450 being LOD)? My answer, you can't. By the time you realize either is LOD and then use that as the new anchor point for rule of 10, the market has moved too much to make this trade because the risk reward is no longer favorable.
More...

Like I said before, don't think, just trade. Pull the trigger, set the stop, and let it work.
 
Quote from jagmot:

Agree 100%. I made one trade today (only trade of the day because I was traveling) and it was near session lows at 1443 (long). Even though my system still had a buy signal, I sold at 1446. With a paper trade, I probably would have let it ride and would have made much more in 'paper profits'
More...


Some will disagree with me but
Sell half at target 1, move the stop to BE to give the rest a chance to turn into a much bigger trade, builds confidence and cash at the same time while allowing you to ring the register and satisfy your brain's fear and greed.
 
I told you to get off that stuff...we didn't speak last night or any other night for a few years....this is not a team sport...nor do i care what happens after 3:00 cst..your time to quit also if u r smart
 
Quote from volente_00:

Some will disagree with me but
Sell half at target 1, move the stop to BE to give the rest a chance to turn into a much bigger trade, builds confidence and cash at the same time while allowing you to ring the register and satisfy your brain's fear and greed.
More...

I prefer moving all in with my full position and letting the full position ride for the bigger winner. This is my view. Selling half gives an emotional bounce, but the bigger winners are really what successful trading is about.
:)
 
Status
Not open for further replies.
Back
Top