ES Journal Archive (2009 - 2010)

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right now the sprd is 40, 24 is bearish, 40 is good for a 250 down dow day,so as a trader of any size acct,small acct would keep you weary of getting bullish,larger acct ,you catch it and it'll make your month...edit ...caution....it can get wider before that down move
 
Quote from emg:

It only works on big account a minmum somewhere $150K -$500K and begin adding to average down from there.
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I have to agree on this. For those who follow that thread (which is by the way misstitled and in the wrong forum) know I have criticized his NFV, because I don't see it as a real edge.

If the strategy makes money it isn't because NFV gives a true edge but because of money management >> averaging down. That's why one need a large account.

Recently I offered him as a test that I would trade random entries and use the same averaging down technic. 2 days ago when NFV had a 30 pts divergence which means short with high probability, I went long against it. Guess what? I made 5 pts, because the market went higher and NFV has now a 40 pts divergence. And his position is still in the red, with 3 entries already...

I mean sure, eventually the market is going to fall, and if you average down with a large account, you can make money, but that doesn't mean the strategy (using NFV for deciding entries) has any profitable outcome...

And NFV is the Newer one, the old one once had a 100+ points divergence. Some edge....
 
you can just throw it in with everything else you watch,you don't need to trade the system,use it as a how far is the rubber band stretched indicator
 
Quote from ammo:

you can just throw it in with everything else you watch,you don't need to trade the system,use it as a how far is the rubber band stretched indicator
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im not saying nfv is bad, but i think its works well for spread traders. as a spread traders like myself, it lowers the initial margin set by the exchange. And funds trades spread a lot using similiar formula what nitro uses
 
Quote from ammo:

emg, it's my understanding that you trade primarily commodities,are you doing more equities now, or did i misunderstand
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i trade mostly in cattles, grain, and interest rate. in fact spread trade mostly in the cattles. equity is like a part time thing when commodities are dead. just looking for some diversify in the equity futures side.

nitro formula may work well right now in the es dec/es sept or a bear spread meaning short es sept and long es dec.
 
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