ES Journal Archive (2006 - 2008)
- Thread starter Buy1Sell2
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i believe what you say about the big money being in position trading, jj...but good grief, that just scares the living daylights outta me, thinking about holding over night or for days, all the bad stuff that could happen. well, i'm not sure you'd lose more that way, it just SEEMS like you would. and how big of a stop would you have to have to make that work? hmmm... a lot to think about. to me, that would take a very skilled and experienced trader to pull it off well....or maybe you'd just have to have so much money that a few grand in losses wouldn't hurt much....
Quote from JimmyJam:
Ah, the joy of aliases.
8 to 10 points a week, that's good enough for me. The real trick in trading resides in the money management algorithm a trader uses to attain wealth.
But that's enough sharing for now.
JJ
and ftr, 10 points a week CONSISTENTLY would be enough for me too....
Don't waste your time touting high frequency trading here. The thread starter and followers are position traders. With exception to the thread starter and very few followers, the majority here are simply working towards better than average win/loss ratios trading once or twice a day. You know the ones. The ones that pay our bills and then call us liars because we don't make live calls.
imho, holding a position trade has very little to do with being "very skilled" ...it just takes some courage to get started and a little getting used to (experience doing it).
Get past the natural reactive fear of holding a position open when the market starts moving around after you are in the new position.
You will know your over it when you can hold a position open for a month and not feel any fear or concern in doing so.
I guess it helps a little if your not glued to a 3 minute chart all day long reacting emotionally to every little wiggle the market makes....just a matter of deciding to get off the old "emotional roller coaster"....letting go of the need to be right all the time...ect...
I post what makes sense to me. If it doesn't work for someone else, that's fine with me and I respect it. But I'm just showing some of the realizations that I've come to.
The overnight margin on the YM is $2,800, that for the TY is about $900. They both tend to make very long, protracted moves in a single direction, without too many false signals along the way.
A $500 protective stop in the YM would suffice for any entry, and the same could be said for a $200 protective stop on the TY.
Skill would play a considerable role on the part of anyone attempting to trade the larger, more extended moves, as well as the ability to sit patiently and wait for the profits to accrue.
I'm just introducing the concepts (uh actually it was B1S2), it's up to the individual trader to see if they can make it work for them.
Good trading,
JJ
The overnight margin on the YM is $2,800, that for the TY is about $900. They both tend to make very long, protracted moves in a single direction, without too many false signals along the way.
A $500 protective stop in the YM would suffice for any entry, and the same could be said for a $200 protective stop on the TY.
Skill would play a considerable role on the part of anyone attempting to trade the larger, more extended moves, as well as the ability to sit patiently and wait for the profits to accrue.
I'm just introducing the concepts (uh actually it was B1S2), it's up to the individual trader to see if they can make it work for them.
Good trading,
JJ
i guess i mostly agree with you guys.
SKILL...to do it well, taking in the risk:reward ratios and making them work for you.
EXPERIENCE...to get you over the fear of holding.
CAPITAL...to cushion the blows and make the fear less palpable. also, capital makes you less fearful b/c you can afford to lose more on any one trade.
if you could get in on an extended move...would make the holding worthwhile. could trail your stops as things progressed. could then use chops as an opportunity to add to your positions.
SKILL...to do it well, taking in the risk:reward ratios and making them work for you.
EXPERIENCE...to get you over the fear of holding.
CAPITAL...to cushion the blows and make the fear less palpable. also, capital makes you less fearful b/c you can afford to lose more on any one trade.
if you could get in on an extended move...would make the holding worthwhile. could trail your stops as things progressed. could then use chops as an opportunity to add to your positions.
JJ
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I post what makes sense to me. If it doesn't work for someone else, that's fine with me and I respect it. But I'm just showing some of the realizations that I've come to.
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Much appreciated,
It's starting to hit me more and more that the S&P has been in an uptrend for the last couple of years. There were several major pull backs but looking at weekly charts the uptrend hasn't been in danger. This is a much different and less stressful situation than the question of which way is it going and am I in at the right spot because I can't lose to much 10 times a day. I'm looking at going back part time to making pottery and some money to put into longer term plays. Eventually I hope that I can develope the skill neccesary to do short term stuff. I have been working with price moving though levels. It seems to have some good qualities and keeps me from seeing trades from both sides all the time. I especially like the longer times involvements with the daily's. Check out the moves on the S&P From the Monthly R2 to weekly resistance last friday. Might help with timing your long term plays.
Anyway thanks for explaining what your up to. Good day.
JIM
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I post what makes sense to me. If it doesn't work for someone else, that's fine with me and I respect it. But I'm just showing some of the realizations that I've come to.
----------------------------------------------------------------------
Much appreciated,
It's starting to hit me more and more that the S&P has been in an uptrend for the last couple of years. There were several major pull backs but looking at weekly charts the uptrend hasn't been in danger. This is a much different and less stressful situation than the question of which way is it going and am I in at the right spot because I can't lose to much 10 times a day. I'm looking at going back part time to making pottery and some money to put into longer term plays. Eventually I hope that I can develope the skill neccesary to do short term stuff. I have been working with price moving though levels. It seems to have some good qualities and keeps me from seeing trades from both sides all the time. I especially like the longer times involvements with the daily's. Check out the moves on the S&P From the Monthly R2 to weekly resistance last friday. Might help with timing your long term plays.
Anyway thanks for explaining what your up to. Good day.
JIM
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