Quote from NoDoji:
The point isn't so much your survival, I mean you know what you can withstand and where your uncle point is, but you held (and added to) a long position through a nearly 60 pt move to the downside instead of extracting profits from that move. Why not short when the market was so overbought and double-toppy and average into a larger position as price broke down, then taken profits when the market became very oversold? Much larger profits that way, since you're into swing trading. Day trading, who cares, take whatever you can get
Its not how I chose to trade, but he seems to be making money.
Most traders lose!
He seems to make money everyday for months at a time, and then when the market goes South big time for various/rare economic disasters he has to average into trades where he seems to extract profits from his 'add-ons' (as he calls them) and eventually closes the overall position with no damage done.
'shorting when the market is overbought' is only easy in hindsight! In my experience, an overbought ES is a good time to go long and fade the losing retail traders who are picking tops!
I have my own methods, but there's more than one way to skin a cat.
