YVW.
how to manage false breakouts on NQ ES
- Thread starter pawpaw
- Start date
YVW.
Quote from bungrider:
quick [dumb] question - i'm not sure i know what you guys mean by 'retracement' - do you mean pullback to the breakout level? and when you say 'trading retracements' does that mean buying the pullback to the breakout level??
thanks in advance (and great thread, btw),
-b
The market, in a trend, advances the trend and also takes breathers. The non davancing portion of a trend is sometimes called a retracement.
There are ET'ers who recognize that in different time periods you can see differing aspects of market trends.
As a person gets to a neutral bias, they seem to be able to eliminate periods of market activity that do not make money.
By learning what is going on, each moment of change is filled with opportunity. The way you ease into making opimum money almost all the time is by meeting the challenges that you become conscious of.
As you see "retracements" appear, you are being given an new opportunity. Someone said here in response to a chicken person comment: Could you do both instead of doing the chicken thing only?
This consciousness is a terrific addition to the money that a person would be making.
You can see that drawdowns are poorly termed items. they make money just as well as non draw downs. Non drawdowns do not have a name I guess.
You see whipsawed people here. Instead of being a whipsawee, consider being a whipsawer.
there is the "chppy" club too. They, of course, are trading a periodicity that is incorrect and they haven't migrated to the correct one yet.
what happens to most peope who do not preserve the myths of the market is that they become conscious of opportunites and then learn to measure them. After that they devise strategies to make money from their stuff. If you see comments on how lousey some market phenomena is for a person, also sit for a moment and think about who is taking this guys money away from him.
We do know someone is getting it, don't we? How hard is it to get to the trading level of the neat guys who so much fun no matter what is going on? None of this is rocket science. Markets are just places where people do stuff according to human nature.
Are you using the same general system you're using now from one year ago? I have just been trading a similar system for 4 weeks and the results are good overall. But I'm still looking for more filters to improve the system. I think we should start a thread on the RS system talking just about tweaks and filters (similar to Hershey's stochastic thread). My system is similar to yours, except in addition I'm using BT of course. Ensign is really great for tweaking.
If you want a comparison with Hershey's method, you can just compare your results with dawg's results (assuming it is a good representation of Hershey's method) in the Dawg Pound thread - is his thread still alive? FWIW, I'm satisfied with my results compared to dawg's.
LBR says that profit per bar counts (I wonder what happened to tampa's "short skirt" trades - and, I think tampa also tried the "rocket" trades). IMO, scalpers should win in the profit per bar category.
pretzel